The rise of technology means that business owners and consumers have a lot more choice when it comes to payment. The onset of the digital age has enabled consumers to enjoy a greater diversity when it comes to their payment choices.
For the average American business owner keeping on top of and understanding these trends can be difficult. Keeping up to date with technological issues may seem like an added pressure when it comes to running your business, but it is necessary to stay relevant in the market place and not fall behind. Staying ahead of the game is the only way to succeed in any business. Irrespective of what kind of retail outlet that you own, having robust payment systems keep consumers happy and ensure that you don’t miss out on a sale.
There has been an onset of mobile payment processing within businesses across the US in response to consumer buying habits. This is going to become a fundamental part of the business arena, particularly in the retail sector, and it will impact your business. Let’s find out more.
The Rise of Mobile Payment Processing
A mere matter of one year ago, mobile payment processing was barely in the public domain. This little heard-of technology was not on the public radar. However, all that is set to change. The growth of mobile payment processing has been monumental. More and more retailer business owners are keen to implement this kind of system into their businesses. Why? The growth of mobile payment processing is not just a trend; it is going to become a pillar of the credit card processing system.
By 2018, it is predicted that 3.5 million mobile payment processing devices will be in the retail industry. These will include a wide range of features giving consumers a greater range of choice when it comes to paying for goods and services, which enhance the consumer shopping experience. Tablets and smartphones will enable the customer to have a bigger, and brighter, shopping experience, which helps to increase positive brand association and sales for your business.
According to recent statistics, 16% of consumers have already purchased their goods via a smartphone. This may seem like a small statistic. But, the point of sale and technology was still in its infancy when this statistic was released.
The rise of mobile payment processing is going to evolve, and it’s going to get bigger. 78% of consumers have already expressed an interest in paying for their goods via their smart phones. As the rise of mobile processing continues, the impact on business is going to be huge.
Mobile Payment Processing: The Impact on Business
Staying ahead of the game means having to adopt new technology within your business. In regards to payment processing, embracing mobile payment processing will have a positive impact.
Think about the biggest restaurant or food chains. Wendy’s, as an example, has begun its nationwide mobile payment launch. Now, over 85% of its stores are embracing and using this kind of technology. Starbucks has also embraced the rise of mobile payment processing within their franchise with over $1 billion mobile transactions amassed in 2013.
For businesses, smart phones and devices are a convenient way to increase sales and to boost profit margins. For any business that wishes to encompass the rise of technology, mobile payment processing is the only way to do this. The return on investment (ROI) can be enormous. With more and more people choosing to pay in this way, retailers have to give consumers alternative means of payment. Payment via smart devices is increasingly popular. If a business owner does not embrace this kind of technology, they run the risk of being left behind.
Traditional payment processing with clunky cash registers has been successful in the past, but they are quickly being replaced. The evolution of payment technology means that businesses need to accommodate the rise of mobile payment processing. What is more, business owners do not need to have an extensive infrastructure to implement and deploy this kind of technology. The technology is easy to use for both the consumer and the business owner. The impact of this on US market principally relates to the lucrative nature of the payment device. Starbucks and Wendy’s are using it and finding that they have increased their revenue by doing so.
Consumers always want convenience and mobile payment processing is a sure fire way of giving them what they want. You can process their transaction anywhere in your store or restraint simply with the use of a smartphone or tablet. No more waiting in long lines for one open register or trying to find the check-out counter. When a sales associate has help the customer and made a sale, they can process their payment right there on the spot.
Some more advanced businesses have developed apps that customers can download and use to process their own payments, which can be done from literally anywhere. This is the next step in the evolution of online shopping. Credit cards and physical money can be unsafe to use. They are susceptible to fraud or getting lost, whereas contactless mobile payment processing reduces this risk and gives consumers control and security over their own private information.
65% of Smartphone users in the USA perform a wide range of shopping activities using their devices. Flashing the cash is no longer a requirement of the customers. They want to flash their device instead. Safety and security is a detrimental part of the mobile payment process. Consumers are happier to conduct business transactions in this way due to these security features. With a change of attitude in regards to consumer buying habits, businesses need to give consumers what they want by accepting credit card payments via a mobile device.
The Importance of Mobile Payment Processing in 2014 and Beyond
Mobile payment processing is on the rise. It is predicted that by 2017, mobile payments will be exceed $90 billion per year. By 2020, 90% of consumers will be paying using smart technology. With that in mind, the importance of mobile payment processing cannot be ignored. If businesses fail to implement this kind of technology, they run the risk of losing customers and profits. The importance of mobile payment processing means that every business will have to adopt this kind of technology in order to meet their consumer’s demands.