The Internet is a booming marketplace where millions of consumers from around the world are shopping day and night. By getting a foothold in this emerging channel, you can not only generate extra sales from more customers, but also reduce operations, marketing, distribution, and fulfillment costs.
While these "Best Practices", which include both "Mandatory Policies and Procedures" and "Product and Service" guidelines provide you with some useful guidance, they are not comprehensive. Additional clarification is provided by our Merchant Agreement(s) and accompanying Operating Procedures.
i) Sales/Refunds
You must not engage in the sale of prohibited products and services
Examples of the prohibited products and services that would not be accepted include, but are not limited to the following:
- Sale of pornographic or illicit material of any type
- Escort services, gambling operations (including, without limitation, virtual casinos) ticket factoring, pyramid schemes
- Goods or services (or both) otherwise prohibitive by applicable law or under the rules, regulations or directives of any Card association
Give complete and accurate descriptions of your goods and services.
Since customers are not physically present to examine your products, you need to ensure that they know exactly what they're buying. Detailed product and service descriptions and photos/graphics help customers make informed purchasing decisions and avoid unnecessary problems later (e.g. voltage requirements, measurement scale, clothing size, etc.). Remember that a picture is worth a thousand words. On the other hand, do not exaggerate or otherwise misrepresent your services and products.
Use the same merchant name on the Web site and the transaction receipt.
To avoid queries from consumers, always ensure that the name on the transaction receipt is identical to that of the Web site.
Provide on-line receipts for every transaction
An on-line receipt must be provided to the consumer, upon purchase of products/services. Email confirmations, which are sent to the cardholder after a purchase, is also a good practice to follow, but should not be relied as the only method of confirming a transaction to your customer. Surveys show that 30% of the time, customers incorrectly input their email address on the on-line merchants form.
The on-line receipt must adhere to Royal Bank and Visa regulations. Click on On-line Receipt Sample to view an example of an on-line receipt that meets these guidelines.
Think international. Disclose transaction currency, export restrictions (if known), and country of business operations on your Web site.
When you're on the Internet, your customers will not just be from around town. Shoppers may arrive from all over the world to buy your products or services. Be sure that all visitors know you are based in Canada by highlighting your business name and physical address on your Web site. It's also important to state that your prices are in Canadian dollars and that transactions are processed in this currency. If you're aware of any export restrictions, you should post these on your Web site as well. Also, post your shipping policy so customers know where you can and will ship your product.
Post clear delivery, return, and refund policies on your Web site.
When will customers receive their purchases? How do shipping and handling fees affect final cost? What if a customer isn't satisfied with a purchase? Be sure that shoppers know your delivery, return, and refund policies and highlight any special conditions or restrictions. If you provide an ongoing service, define the customer's financial liability if a cancellation is requested after the service has started.
Provide customer service and contact information.
If your on-line customers have questions after they make a purchase, they must know how to reach you. Give your customers at least two relatively fast ways to contact your customer service representative (for example, by email and by telephone, facsimile numbers). Highlighting customer support lets shoppers know that you are service-minded and helps promote both customer goodwill and sales. Encourage a "Feedback Form" to get suggestions from your clients.
ii) Chargebacks
Keep chargebacks to a minimum.
There are several ways in which you can reduce chargebacks:
- authorize all transactions regardless of the dollar amount;
- obtain a pre-authorization and only complete the sale when the product and/or services are shipped;
- perform address verification procedures especially for International orders (strongly recommended)
- always send an e-mail to notify the customer of the order (strongly recommended),
- track problem accounts (strongly recommended), and,
- use fraud detection software (strongly recommended) (Ask your Visa Representation for further details).
iii) Security/Privacy/Trademarks
Use secure Internet technology and highlight this fact on your home page.
Channel encryption such as SSL (Secure Sockets Layer) is now the predominant security protocol for on-line transactions. Messages between the merchant's server and the consumer's browser are automatically encrypted, or scrambled, when sent and then decrypted, or unscrambled, when received. This process prevents unauthorized persons from reading the data. By supporting SSL, you can make your Web site as safe today as the other sales channels you already use.
And watch for evolving security advances, such as SET Secure Electronic Transaction™, which lets on-line consumers and merchants authenticate each other by exchanging SET digital certificates (electronic IDs issued by financial institutions) before proceeding with an on-line transaction. Visa and other leaders in the financial and technology industries are working together closely to provide merchants, financial institutions, and consumers with SET for maximum on-line shopping security.
When accepting credit card payments over the Internet a secure payment solution must be used. A SSL enabled on-line "real time" Internet payment solution such as e-SELECT™, can increase security by eliminating manual transactions and reduce the time required to complete the transaction. For more information on the e-SELECT product, click here.
Include a privacy statement on your Web site.
Privacy is a concern among many consumers. Do you plan to use the personal data of your customers to send them future offers or to make their names available to other merchant mailing lists? Be sure you have your customer's consent to do so and post your privacy statement on your Web site to let customers know your intentions.
Only use Visa Flag (logos) for your Web site in accordance with the appropriate terms and conditions.
The Visa Flag denotes the acceptance of Visa credit cards at the point of transaction. As a service to authorized Visa Member financial institutions and Visa merchants, Visa makes available electronic artwork of the Visa Flag and links to the Visa Web site, subject to the following conditions:
- The availability of this electronic artwork does not constitute a license to use it, but rather is a service for those already authorized to use it.
- Under no circumstances should the Visa Flag be altered, manipulated, or distorted. If you are a Visa merchant and have any questions about the appropriate use of the Visa Flag, please contact Royal Bank, Merchant Services via email or at (800) 268-8644.
- Electronic copies of the Visa Flags can be obtained by going to the Visa International Web site at: http://www.visa.com/ut/faq/visalogos.html.
Note: The electronic copies of the Visa flags are intended for Internet Web sites only. For other forms of reproduction (for flyers or direct mail) contact Royal Bank, Merchant Services at (800) 268-8644 or by email.
Copyright, 1996, 1997, 1998, Visa International. All rights reserved
Ensure that any cardholder information, stored or otherwise, is appropriately managed, controlled and protected.
Cardholder information should be held in a secure manner on your database to avoid access by unauthorized parties.
These "Product and Service Guidelines" are strongly recommended to help you position your E-commerce site for long term success.
Unlike paper catalogues, electronic catalogues can be updated easily and permit daily control over listings, pricing, and promotions. Give your customers reasons to return to your Web site often by keeping your marketing messages current. For example, use special promotions to coincide with events and holidays, update facts and statistics on at least a quarterly basis, and ensure that sales and other limited time product
Announcements are posted only for the duration of the promotion.
Continually check your web site's accessibility, especially during peak shopping periods.
Royal Bank reserves the right to perform periodic audits of your Web site to confirm that you are adhering to the "Policies and Procedures" set out in this "Best Practice" statement and otherwise meeting your obligations contained in your merchant agreement(s) and accompanying operating procedures.
