More and more, the vital functions of our businesses and personal financial transactions are moving to mobile applications. Spurred on by our increasingly rising on-the-go culture, the consumer is demanding fast and easy payment options. Some businesses have already recognized this demand and have taken actions to meet the needs of the consumer – and they are reaping the benefits. Read more to find out why you need to implement Smart Phone merchant services immediately.
Contacts going ‘Contactless’
Across the country, most vendors are recognizing the need to adopt payment solutions and merchant services that meet the demands of the consumer. Swiping your payment card is becoming increasingly passé and time consuming which is why many businesses are offering faster and easier solutions. While the customer demand is always a little behind technological capabilities, more and more people are starting to get on board with the increased functionality and diversity of payment options.
One such device where both merchant services terminals and card issuers have seen a lot of customer participation is with contactless devices. Nearly every gas station, grocery store, and fast food restaurant offer this as a way to pay and many merchants predict that this technology will eliminate the need to swipe a card altogether. Because this is becoming the norm, and expected by customers making a purchase, when a customer arrives at the check-out stand and a contactless device is not present it makes the business seem dated. Sort of like 10 years ago seeing an old manual credit card swipe machine. Another merchant services device that is growing in popularity is the wireless credit card machine which allows credit card transactions to occur right at the table or out in the parking lot, whatever the case may be. The devices are relatively cheap, and it’s an easy way to keep your business at the forefront of merchant services.
Dousing the Ignition Strategy
The ignition strategy was a great way for new merchant services companies to successfully launch their platform. Unfortunately this strategy is not as potent as it once was for a number of reasons. First, we have arrived at ‘critical mass.’ This means it has become so tough to launch a new merchant/consumer platform that the ignition strategy is no longer effective. The ignition strategy is based on the premise of ignition. The nature of merchant services means a new platform for merchant/consumer transactions needs to explode off the launch pad or it will sputter. Also, a platform such as this needs both parties involved in order to be successful. If merchants like your platform but customer don’t care for it, then it won’t succeed and the same is true in the reverse. The problem now is there are so many merchant/customer platforms that finding a niche is next to impossible, especially for the start-up. Companies such as AXIS and PayPal have come to dominate the market and now Google is jumping on the dog-pile. So the question becomes, “where does this leave me?”
The best thing you can do to improve your merchant services is to adapt to new technologies early. There’s no easy way around this. You have to stay informed on new technologies and merchant/consumer trends to be able to predict the next big thing. Of course, you don’t want to overhaul your merchant services and credit card processing every time a new technology comes along. But due diligence and keen discretion will have your company at the forefront of new merchant/consumer trends.
All of this comes back to the main point and one of the fastest growing trends: NFC readers for smart phones. Nearly everyone has a smart phone and since the advent of being able to pay with one, many merchants and consumers are hopping on board. In anticipation for its growing popularity, many merchants are already gearing up for the Christmas season, and they expect smart phones to be the ‘in’ way to pay. This is not something that merchants can be behind on. More and more customers are leaving other payment options in the car because they have become accustomed to paying with their smart phone. The implementation is easy and it can really boost the sales and buzz about your business.
Staying at the forefront of merchant services is one of the best ways to keep your business fresh. NFC readers are a great way to meet the growing demand of paying with a smart phone and this trend is only going to increase. Update your business today and implement smart phone merchant services today!
Merchant Service provides leading edge credit card processing and merchant services solutions to merchants through a consultative approach by educating merchants on credit card interchange fees and practices to ensure they are receiving the best possible rates when accepting electronic payments.