The title of this Total Retail article appears to suggest the answer is yes, and the article indicates it’s causing an annual $10B loss. However, the article points to a Chargebacks911 report that does not appear to document any such loss, especially not related to contactless.
The article also conflates the EMVCo standard with merchant bar code and QR Code implementations and even appears to bundle in merchant operational issues such as order ahead for pickup. In short, the article appears to generate fear regarding contactless without offering specifics that might help mitigate the problem:
“In March, Walmart announced a no-contact service for payment, pick-up, and delivery in an attempt to protect its customers and employees. Through QR code scanning via the company’s app, in-store shoppers can make contactless purchases. In addition, Walmart customers can also open their trunks and have an employee load their groceries without the need for a signature. Another great example is Sam’s Club’s use of contactless technology to allow customers to pay from their phones, skipping the checkout line completely. Much to the customer and company’s benefit, Scan & Go usage has increased for Sam’s Club fourfold since the start of the pandemic.
With the impending surge of everyday use of contactless payments, businesses have discovered its many benefits as well as its security flags. Inefficiencies in contactless food delivery, ride share, and retail contribute to more than $10 billion in annual losses for businesses, for example.”
Overview by Tim Sloane, VP, Payments Innovation at Mercator Advisory Group
