The 3 Biggest Benefits of Implementing Mobile Payment in Your Business
For many small businesses out there, mobile payments have become a necessary part of how they do their transactions. Mobile payments – in place of credit cards, checks and cash – have become increasingly popular with over half of all customers preferring to pay through their mobile devices. Half of the millenials and mass affluent customers are more willing to go cashless, forgoing the traditional forms of payments.
Mobile payments are huge business, and American businesses should expect to process more than $220 billion through the numerous digital payment options available to their customers. In fact, mobile payments will not only grow, but will also herald in dramatic changes in how businesses conduct transactions. Below are the biggest 3 advantages that small businesses should expect to gain from using mobile payment systems.
More Incentive Programs
One of the greatest advantages of using a mobile payment system in your business is the ease of integrating incentive and loyalty programs into the payment applications. Instead of customers relying on key ring tags or punch cards, all their information is stored in a mobile payment application once they make a purchase via their mobile phone. Businesses can use this technology to link payments to a loyalty program that adds value for your customer; making them more likely to return, increasing your revenue.
Better Security
As more and more businesses adopt mobile payment systems across the economy, some even applying for short-term business loans to help them, one trend that will get an increased focus is security. With more transactions running through mobile payments, you can expect fraud to follow suit. In many ways, fraud through mobile payments can be a serious problem; even though the numbers are currently low.
Today, digital payments account for about 20 percent of all payment fraud cases in North America. The trend may get worse as these systems make their way to the mainstream. Many mobile payment-processing companies have anticipated the challenge and have put in place resources heavily focusing on building security features.
For example, you should expect top of the class encryption to protect data and a responsive customer service that deals with cases of loss of a mobile payment device, fraud or theft. Biometric verification will be increasingly used to enhance security in payment transaction. In addition, features like retina scanners will become part of the routine life, increasing transaction security.
The 3 Biggest Benefits of Implementing Mobile Payment in Your BusinessMore Ways to Save
One of the best benefits of mobile payments and e-cash is their ability to help small businesses like yours to save some money. The highly competitive mobile payments industry, for starters, will compete to offer cheaper processing fees, which is a huge advantage over the traditional credit card processing fees. In the end, every mobile payment you are processing will go towards saving you more.
Plus, many mobile payment options out there have created a way of tracking and paying your bills more easily, and even automating payments so you never have to worry about late fees. The ability to pay your bills on time instantly can save you hundreds, if not thousands of dollars over the course of 12 months. Instead of cash, you are likely going to save even more money that would have otherwise be spent at an ATM point.
Final Thoughts
The era of credit cards, checks and cash is rapidly disappearing and mobile payments making their way into the mainstream. As the business world moves ahead, it is important that you note that 57 percent of Americans no longer carry cash, and more and more of your customers use their smartphones to process payments for things. So, look forward to becoming a believer in effective mobile payments and move with the society into a world that will forgo the leather wallet for smartphones at the checkout counter.
Founder Dinis Guarda
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