Similar to how GDPR hugely impacted how millions of organizations handle personal data when it was enforced last year, Strong Customer Authentication (or SCA) will have profound implications for how businesses handle online transactions and how we pay for things in our everyday lives when it is enforced on September 14.
SCA will require an extra layer of authentication for online payments. Where a card number and address once sufficed, customers will now be required to include at least two of the following three factors to do anything as simple as ordering a taxi or pay for a music streaming service. Something they know (like a password or PIN), something they own (like a token or smartphone), and something they are (like a fingerprint or biometric facial features).
Without careful preparation, failed transactions and additional friction may have a significant negative impact on conversion rates.