E-merchants find it difficult to comply with PSD2 – Monitoring & Tribuna > Payments

A study carried out by Forrester Consulting among 207 business leaders in Europe and the UK and commissioned by Riskified, a fraud management platform, reveals that nearly half of European and UK e-merchants still struggle to comply with the Payment Services Directive (PSD2), while it is now in full force, after being deferred. she reveals that 45% of respondents meet the minimum requirements of the directive or are still in the process of resolving issues related to its implementation. The aim of PSD2 is to reduce fraud and make payments more secure. Nonetheless, 39% of merchants revealed that fraudulent chargebacks increased on transactions authenticated through 3DS, which impacted the overall fraud rate.

Optimization far from being achieved

PSD2 was launched in 2015 for a more secure, integrated, open and convenient European payments ecosystem. This new law notably introduced Strong Customer Authentication (SCA), requiring multi-factor verification for online CNP (Card Not Present) transactions. However, more than a year after its entry into force in the European Economic Area, almost half (45%) of companies have only done the minimum to comply with PSD2 or are still trying to solve the problems (technical or integration) that arise. of this directive in order to optimize their payment strategies.

Most respondents revealed that they had noticed an increase in fraud prevention costs after the arrival of DSP2. In fact, 43% said costs had increased, not including 3DS authentication costs. Between them, 57% said their expenses have increased by 25% since implementing PSD2. E-merchants are still seeing an increase in fraudulent chargebacks on authenticated orders, which affects their overall fraud rate.

Blocks and Restrictions

80% of merchants surveyed believe that waivers (whether offered by a fraud prevention specialist or a payment service provider) are effective. Thanks to the waivers, 60% of merchants report that they can avoid the SCA step on more than half of their orders. Some executives also said they face restrictions related to exemptions. While they are technically eligible for higher waiver thresholds, they cannot waive further due to general restrictions set by their payment service providers. They also said that it was difficult for them to take advantage of the solutions available on the market, because of the ecosystems of their payment service providers: 31% of them explained that they were required to only use tools provided by their payment service providers.

What is missing from PSD2?

Respondents revealed that more data and transparency would help companies advance their PSD2 strategy. Nearly two-thirds (65%) want greater transparency of payment processing fees, while 61% want regular updates on market performance and 59% want feedback on available solutions to optimize compliance.

It should also be noted that traders are not resistant to PSD2, but rather believe that it has the potential to improve their business. They are also ready and willing to strategize around PSD2 once the system becomes more transparent. Respondents also said that the competitive advantage gained by optimizing their payment flows in PSD2 is crucial to their future strategy, as well as improving customer experience, increasing customer conversion and retention.


The survey was commissioned by Riskified and conducted in May 2022 by Forrester Consulting. For this study, 207 payment decision makers in France, Germany, Italy and the United Kingdom were interviewed, in companies with a turnover of at least 75 million euros.

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