Why do customers prefer to pay by card?
Whatever kind of business you are running or thinking about starting in the future, if you’re going to take payments from customers, it’s important to consider the payment options that you are going to offer. Today, electronic payments have become the standard in most of the world, and the majority of customers have come to expect them from the businesses that they shop at. Today, businesses can choose from a range of different payment methods to offer to their customers, from traditional cash payments to more sophisticated contactless payments using a smartphone. Today’s customers want as many options as possible throughout the checkout process, and being able to find the payment method that they prefer to use is often a key factor in the customer experience. Here are some of the main reasons why today’s customers prefer to pay by card.
Health and safety
Over the past year, the COVID-19 pandemic has seen more customers switch to contactless and other electronic methods of payment than ever before. In fact, many businesses have urged customers to avoid paying with cash wherever possible and use a contactless card or a smartphone payment system instead to make payments without having to come into contact with a card reader or a person. Cash is covered in bacteria and is a breeding ground for disease, and during a pandemic, it’s not a surprise that many people might be more concerned about avoiding touching something that could have been anywhere. Since you can’t wash money, it’s much easier for most customers to make payments with a credit or debit card. Learn more about credit card processing for your business with no fees from NadaPayments. NadaPayments offers debit and credit card processing allowing you to provide your customers with a range of different options when paying for goods and services.
Convenience
Another main reason why more and more customers are paying by card and contactless payments is that it’s undoubtedly more convenient compared to paying with cash. Card payments don’t require the customer to visit an ATM to withdraw cash, taking an extra step out of their busy day. In addition, there’s no need to worry about running out of cash when on a shopping spree, which not only makes it easier for customers to make the purchases that they want but can also have benefits for your business when it comes to making more sales and increasing revenue. The fact that customers with most smartphones today can use Google Pay or Apple Pay to make their payments contactless has made shopping even more convenient, since customers don’t even need to bring their card out to shop.
Time
Another reason why more customers are starting to prefer paying for goods and services by card is that it’s much faster overall. Not only can they have a quicker shopping experience without the need to visit an ATM to withdraw cash before they start, but the experience at the checkout is often much faster since there’s no need for cash to be counted. Customers who are paying using a contactless card or a smartphone payment option will find that the process of making their payment is even faster, since all they need to do is tap their card or phone. Not only is this faster for the customer who is paying, but it can have a beneficial effect on the rest of the customers in the store at the time, including reducing queuing times – which can in turn improve customer satisfaction and the customer experience.
Security
Customers who pay with card often do so because the option is more secure compared to paying with cash. Withdrawing large amounts of cash can put customers at a risk of personal theft, so it’s no surprise that more and more people are looking to avoid doing this wherever possible. And, there’s no risk of having a wallet filled with cash stolen never to be found again. While wallets can and still do get stolen with a debit or credit card inside, it’s easier than ever to have that card frozen as soon as you notice that it has gone, to make sure that no matter whose hands it falls into, your money will still be secure as they will not be able to make any payments. In addition, any payments that are made fraudulently as the result of the theft of a debit or credit card can often be refunded to the customer once reported. Today, many debit and credit cards come with smartphone apps that customers can use to easily control their card and freeze it when needed, offering much more security compared to cash.
What are the benefits for your business?
There are many reasons why customers want to make payments with card wherever possible. But what are the benefits of accepting electronic payments for your business? The truth is that a company that doesn’t accept card payments is likely to be viewed as being dated and this could impact customer trust levels. Today, customers tend to place more trust in companies that are keeping up with the times and embracing new technologies.
Improve customer relationships
The fact is that accepting card payments in your business can help you to improve customer relationships in a variety of different ways. Customers who have a wider range of options to choose from when it comes to making payments for the goods and services that they purchase will tend to view your company in a more positive light, since the shopping experience will be as convenient as possible for them. In addition, during the COVID-19 pandemic, accepting a wide range of electronic payments including contactless payments shows your customers that you are concerned for their health and safety and want to do whatever it takes to make sure that they can protect themselves while shopping with you. Customers who have the option to pay with a wide range of payment cards can also choose between paying with debit or credit, which is not possible when a business only accepts cash.
Getting set up
If you’re starting a new business or want to start accepting card payments from customers in your current business, the good news is that getting set up is easier than ever. Today, there are several companies to choose from offering electronic payment systems and card readers, so it’s worth doing your research into the different options to find one that meets your needs and requirements for your business and offers the best fees. Read some reviews before deciding, to ensure that other clients have had a good experience and that it’s been able to improve customer relationships for them. To get set up, you will usually need to have a business bank account that electronic payments can be sent to. You can choose from different types of card readers including stationary card readers for checkout points, and portable readers that are an ideal option for restaurants and other types of service businesses.
Card payments are becoming the standard for businesses all around the world, with fewer people using cash as their main payment option. Whether you’re running a business or thinking about starting one, accepting card payments is more important than ever.
