New Visa Report Shows GCC's Online Consumers Favor Biometric Authentication Over Traditional Card Payment Manual entry of card details and security concerns are major pain points for consumers shopping online, resulting in lost revenue for businesses.

Visa, the global digital payments platform, has revealed its "Checkout Friction Report", a new study which dissects factors that consumers demand for a more secure and seamless e-commerce experience.

The research is based on a survey of 2,016 online shoppers across the GCC, including the UAE, and explores their experiences with e-commerce purchases. It examines common pain points during the checkout process that affect both consumer satisfaction and business outcomes.

Speaking exclusively to Entrepreneur Middle East, Dr. Saeeda Jaffar, Senior Vice President and Group Country Manager - GCC at Visa, notes that difficult or time-consuming checkout processes continue to be a leading reason for cart abandonment. "Across the GCC, 43% of respondents cited concerns around payment security, while 38% pointed to the inconvenience of manually entering card details," she says. "These are often decisive moments in the online shopping journey. If the process feels clunky or untrustworthy, it increases the likelihood that a customer will leave before completing their purchase.

Specificially with regards to the UAE, the report shows that one in three respondents (33%) in the country shops multiple times a week for groceries. For categories such as fashion, entertainment, and electronics, shopping frequency ranges from once to a few times a month.

According to 40% of respondents, the biggest frustrations with online checkouts are security concerns, followed by the hassle of entering card details manually (37%). Indeed, 58% of the surveyed consumers say they're worried about the risk of fraud or hacking when storing their card details on multiple websites, with the report also showing that 42% of respondents have experienced fraud or security breaches.

By addressing these challenges, retailers can enhance the checkout experience which could lead to increased customer satisfaction- a demand that, as per the "Checkout Friction Report," is continually surging. "Almost 80% of respondents said they would be more likely to complete their purchases with a one-click checkout option," Dr. Jaffar explains. "To address this, merchants can explore streamlined checkout methods that reduce friction and meet rising expectations around convenience and security. Whether through faster authentication, fewer form fields, or one-click options, improving this final step can help reduce abandonment and improve overall customer satisfaction."

Reflecting this sentiment is a key finding in Visa's "Checkout Friction Report", which reveals a strong preference for a more streamlined checkout: 65% of respondents support a single registration process for online payments across all participating merchants.

Source: Visa

But all of this brings forth an inevitable question: have there been any statistics within the report to suggest that users abandon checkout at the payment entry stage compared to other stagesof purchasing? Dr. Jaffar replies that while the report does not break down abandonment by specific stages, the data points towards one concrete conclusion: the payment stage is where many consumers encounter the most friction.

"Consider this scenario: you are ordering a last-minute birthday gift on your phone during a busy day; you find the right item, add it to your cart, and proceed to checkout, but just as you are ready to pay, you are prompted to manually enter your card details and asked whether you want to save them for future purchases," Dr. Jaffar explains. "You pause — not because you changed your mind about the gift, but because you are not comfortable storing your card information on an unfamiliar website. This hesitation is common. Nearly 6 in 10 consumers across GCC said they are concerned about the risk of fraud or hacking when storing card details across multiple sites. That moment of doubt, especially when combined with time pressure or a poor mobile experience, is often where a purchase is lost."

The solution, Dr. Jaffar reiterates, lies in creating trust at the checkout stage. "When customers feel confident their payment details are protected, they are more likely to complete the purchase and return again, Jaffar notes. "In today's digital landscape, a seamless checkout is not just a convenience — it is a driver of business performance."

One particular option that has emerged as a winning solution in this regard is that of biometric authentication- two-thirds (67%) of Visa's respondents said they would use it to check out, with many trusting biometric authentication (fingerprint/face ID) more than traditional payment methods (passwords/OTP). As such, catering to the consumer base's growing affinity towards this option is Visa's Click to Pay- a service that streamlines online shopping by providing advanced checkout experiences, eliminating the need to manually enter card details, thereby making transactions significantly faster. At participating e-commerce platforms, consumers can simply click the Click to Pay button to complete their purchase quickly and easily using their preferred Visa card and shipping address.

For businesses, the demand for simpler and safer checkout options is clear. Most respondents (82%) would shop online more frequently and be more likely to complete their purchases with a one-click checkout option. Two-thirds of the surveyed consumers (66%) show a high likelihood of using Click to Pay with Biometrics if offered by online retailers.

"Challenges in the online checkout process have direct implications for businesses, resulting in lost revenue, and hampering both customer acquisition and retention," said Salima Gutieva, Visa's VP and Country Manager for UAE, added in a separate statement. "Today's consumers expect – and deserve – a more seamless and secure e-commerce experience. That's why Visa is working with partners to enable solutions like Click to Pay, which leverages biometrics and tokenization to eliminate key pain points and deliver a more convenient shopping experience. Improving these moments not only drives business results but also builds on the UAE government's achievements in building a seamless, secure digital economy."

Now, while Visa's Click to Pay relies on biometric authentication available on the consumer's device and does not require transfer of biometric data, there still exist general concerns surrounding the use of such sensitive- more specifically, howand where they are stored. "These concerns are valid and increasingly important as biometric authentication becomes more common in digital payments," Jaffar says. "How this data is handled plays a crucial role in building and maintaining consumer trust. That's why Click to Pay is designed with security in mind. It uses biometric authentication through Visa Payment Passkey, allowing consumers to approve payments just as they unlock their phone — with a fingerprint or face identification. Importantly, this biometric data stays on the user's device and is not shared with merchants or payment networks. Keeping it local significantly reduces the risk of misuse or interception.Tokenization adds another layer of protection by replacing card details with a unique, encrypted token. This allows transactions to be processed securely without exposing actual card information. Merchants also play a key role in safeguarding data. Adopting standards such as the Payment Card Industry Data Security Standard (PCI DSS) helps ensure secure storage, encryption, and access control within their systems.

"Protecting sensitive information ultimately requires a layered approach — combining secure technology, compliance with established standards, and a strong culture of data responsibility across the payments ecosystem," Jaffar concludes.