Today, most people prefer to pay with debit or credit cards rather than physical cash. No matter what kind of business you’re running, providing your customers with a modern payment alternative will make their payment experience more efficient and convenient. Especially with the rise in online shopping, conducting transactions for payment cards has become extremely important. Being reluctant to make this shift could lead you to lose a significant share of the market.
Here is why accepting payment cards are essential for any business.
Encourage Impulse Purchases
Mostly, shoppers like to make quick and easy purchases without the involvement of trips to the nearest cash machine. Not being limited to the amount of cash available, people are likely to spend more. That is why, if you don’t accept card payments, you might lose a potential customer to your competitor. There is a possibility that your customers might make instant or impulse purchases when they’re paying by card. This can help to increase your sales and revenue, making it all the more important to expand your payment options.
Getting Paid Faster
Payments made through credit or debit cards have a much faster funding time than other methods since the funds are deposited in your bank account within two days of the transaction. Unlike ACH or checks, you won’t have to wait for the checks to clear in order to get paid. Adding the option of payment cards will reduce the time it takes for your business to get paid while also increasing cash flow. This boost in cash flow will also contribute to your business growth.
Reduced Risk of Cyber Threats
Considering the rise in cybercrime, protecting the private information of your customers is extremely crucial. However, as an owner, you want to spend all your time focusing on customers and growing your business. You can make your business more secure without having to deal with the technicalities. There is an option to partner up with a PCI compliance service that handles credit card numbers for you and will make the data security practices more simplified. By following PCI standards, you won’t lose the confidence of your customers that are making transactions through payment cards. Additionally, establishing security practices will keep your business safe from hackers that want cardholder data.
Analyze Trends by Looking at Transaction History
Without a digital payment method, it can be difficult to track the products you’re selling. With payment card transactions, data is generated with each swipe. Having an electronic record of your buyer’s spending information can help you analyze specific buying habits. This transaction data can be beneficial in a number of ways. For instance, by identifying new trends and patterns, you can target a specific group of customers. Furthermore, these data insights can help you create promotional campaigns that will prompt customers to make purchases.
Makes Bookkeeping Easier
Accepting payment cards means not having to worry about bookkeeping since it is done automatically. Your team will be able to devote their time to other important business matters instead of counting and handling all the cash. The credit card process will generate the data and thus, you can use those records rather than doing time-consuming bookkeeping. Since you won’t be handling cash on your premises, there will also be a reduced risk of business theft.
Crucial for Online Selling
If you’re thinking of expanding your business online, it’s necessary to expand your payment options as well. Not only does this give your customers an opportunity to pay in the method they’re more comfortable with, it is also crucial for your business to compete with other online businesses. Without accepting cards, it will be hard for your business to grow in the online market.
Inexpensive for the Business
If you’re worried that incorporating card payments in your business will be expensive, guess what? They’re more affordable than you think. Even if you’re a small business with a tight budget, you’ll be able to afford the merchant services that processors provide. The rates are usually minimal which can help you with cost-savings for the business.
Taking card payments will legitimize your business and add credibility to it. If you have a merchant account, it can act as an intermediary between your bank account, the credit or debit card networks, and you. During this process, the bank states that the business is credible enough to have credit. If you accept more types of credit cards, this credibility will increase. Aside from that, another way to gain the trust of your customer is by displaying the logos of the cards you accept on your cash register or the company’s website. Consequently, accepting cards will build your brand while also establishing it as legitimate.
These are some of the reasons why you should consider activating payment card acceptance. It is useful for both customers and business owners since it improves the customer experience as well as increases sales of a business. Once you start collecting payments through cards, you’ll notice the time and hassle it’ll save you. You never know, it can act as a solution to all your payment processing challenges.