Five Ways Mobile Payments Enhance Small Businesses
Customers catch on with faster, more secure ways to pay
Not long ago, the idea of eliminating long checkout lines with instantaneous transactions was a dream for small and midsize businesses (SMBs).
Technology advancements have turned this idea into a reality as SMBs begin embracing mobile payment services. The advantages are not limited to efficient payment processing—mobile payments have essentially transformed the small business landscape, enabling a diverse range of strategic benefits:
Customer convenience
Mobility equals convenience for consumers, and that convenience serves as a crucial competitive differentiation among successful businesses. SMBs that leverage mobile capabilities, such as one-click checkout services, online or in-store, save time and effort for customers.
The incentive of mobile payments allows customers to purchase from anywhere, any time and as frequently as they like without limitations associated with traditional payment methods. Organizations that facilitate customer convenience by offering mobile payments receive greater customer loyalty.
Data contextualization
Customers invest in products and services that fulfill their needs and wants. Successful businesses understand these requirements and work to deliver beyond expectations. And in the present digital age, data drives decision making.
The increase of mobile devices is responsible for the exploding contextual customer data that contains actionable insights on customer behavior, preferences, market trends and a range of important business decision data points.
Mobile payments generate insights on what, when, where and how customers want to perform purchases. This information further allows organizations to offer tailored loyalty programs for every customer, individually.
Cost savings and manageability
Budget-bound SMBs pursue cost savings across all operational areas to maximize profitability, and sometimes to merely survive the competition.
Mobile payment services allow SMBs to save on credit card fees, as well as eliminate the cost associated with administration, management and accounting of traditional payment data. Online accounting tools with integrated mobile payments data management automate the accounting process, thereby saving time, budget and human errors associated with manual accounting.
Innovation
Mobile payment capabilities have changed the financial landscape, replacing traditional means of payment processing with faster and more secure, more manageable alternatives. Embracing technology and innovation is no longer an option for progressive organizations pursuing new ways to capture customer loyalty. Innovation in the mobile payments segment will revolutionize the way SMBs operate not only from a financial perspective, but also in terms of regulatory compliance, security and business management.
Omnichannel shopping experience
Customers demand a seamless shopping experience across online and offline sales channels. For instance, the ability to compare product reviews online while physically examining the product at the store, and the option to pay online, collect the product and leave the store without having to wait in line—this is only possible with merging online and offline sales channels.
Mobile payment services allow customers to switch between multiple sales channels throughout the purchase cycle, and to complete the purchase without tying them to any channel in particular.
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