As global finance embraces digitalization fully, organizations are making moves to step up their payment security. The advent of the Payment Card Industry Data Security Standard (PCI DSS) version 4.0 brings in new compliance standards that will cause the most radical shift seen in the industry. With over 50 new requirements, companies must dash to keep up with security protocols in the new environment.
New dangers continue to emerge with more advanced methods, so companies must urgently apply PCI DSS’ latest version to stay ahead of the curve, prevent financial breaches, and avoid lost profits. Malicious attacks on both B2B and B2C transactions are relentless, costing companies over $4.45 million in 2023 alone. That’s why it’s worth stressing the importance of PCI DSS within the world of revenue management.
Breaking down revenue management today
Revenue management is the practice of maximizing profit and minimizing loss by using analytics to track demand and performance. This requires data from all potential sources of revenue in order to monitor changes and emerging patterns. In doing so, businesses are able to adjust their tactics, inventory, and other aspects accordingly.
The most strategic implementation of this is to use forecasting methods in the pursuit of growth instead of simply trying to prevent decreases and weather hurdles. Softrax’s revenue management solution lends itself to this approach, automating all aspects of billing and revenue recognition so that businesses can focus on strategic revenue increases. Using multi-tenant cloud software allows for dynamic pricing, revenue recognition, and complex billing. This system also deploys various models that not only comply with PCI DSS standards but also easily adapt transactions within its overall system.
Reliable automation requires seamless transitions and interactions between varied data sets, hence the popularity of such solutions within revenue management. Essentially, this strategy is meant to drive businesses toward secure choices by creating an environment built for informed decisions. As systems deploy and manage accounts for taxes, payment data, and various financial rates, individuals or teams in charge of management can confidently take savvy steps without worrying about operational efficiency.
Most importantly, revenue management requires the use of accurate data. Without these standards priming revenue processes, any forecast would simply be a pure guessing game instead of an informed strategic plan.
The relationship between PCI DSS and revenue management
When diving into revenue management, dealing with PCI DSS is inevitable. Card transactions are a significant portion of today’s streams of revenue. With further digitalization, its integration will become inescapable. Security breaches are a major point of financial loss for businesses and often impact the perception and trust of customers. When customers trust a business with their card information, they are more likely to develop brand loyalty.
Consider how over 254 million financial records were leaked in 2022. On top of that, ransomware attacks hit 64% of financial services in 2023. Malicious attackers have more robust tech and sophisticated tactics, so businesses face constant risk. When you create a management plan assessing patterns and risks, you minimize your vulnerabilities.
The changes brought on by the new PCI DSS also help combat stolen credentials and undetectable exploits on financial systems. At a time when retailers are increasingly pushing for mobile transactions, it’s essential to hit compliance to cover various platforms and devices. The CFPB also reports an increase in Buy Now, Pay Later products, adding more complications to the financial landscape. As consumers gain access to new modes of payment, businesses must now assess the security of these revenue streams and treat them like credit card transactions.
Anxiety over the security of transactions also plays a significant role in how PCI DSS and revenue management interact. As major financial players, including mobile payment services Google Pay and Apple Pay, deploy new protective measures for card users, the goal post shifts with a need to simplify and cultivate better tokenization. This tech, in compliance with new standards, aims to preserve data privacy and confidentiality with sensitive financial information. Promising times come with this change, and there is hope yet for businesses and consumers alike to face a more positive financial forecast in the digital era.
