Nowadays many customers use their smartphone or tablet for making payments. Businesses will have to adapt to this system as it has various advantages.
Time is money
People do not have much time to wait and do not have the patience standing in long lines of customers. Therefore, businesses will have to adapt and find quicker solutions. According to last year’s Attention Span Statistics, the extent of consideration of the average person was 8.25 seconds compared to 12 seconds in 2000. By accepting payments on the go, as soon as a person made his mind to buy a product, you will instantly obtain his money.
No straight Investment
There is no upfront investment or difficulty if you are the owner of a smartphone or tablet which accepts mobile payments. Many retailers offer a dongle freely so that the customer can plug it into his mobile phone or their protected payment processing application. It is also easier if you have a bank account. You will simply require establishing a merchant account with a mobile payment supplier.
Financial risk protection
Most credit or debit card have EMV-enabled chip card; that is, a magnetic band on the back of the card and a metallic chip on the front. If a trader is caught up in a payment security violation and his enterprise does not have an EMV payment processing tool, he can pay up to $38,000.
However, with digital payments you can protect your enterprise in a profitable way from such a threat. You are not obliged to spend a big amount of money in processing clients’ EMV chip cards. In reality, many mobile payment suppliers propose EMV-enabled terminals for not more than $100.
Better cash flow
Businesses are well aware of the implications of payment by cash, credit or check especially the paperwork involved. Sending a person to deposit the cash into the bank (with the risk of a theft by larceny) or waiting for checks clearances or even preparing and sending invoices are time consuming processes and a tension on cash flow.
When the client pays electronically, all these issues are bypassed and the money is directly credited to the company’s account at once. Thus, having sound receivables accounts.
Anytime & anywhere
With mobile payments the client can buy from wherever he is; be it at a concert, a fair or a convention. At the same time, you can ask your sales force to safely use your mobile payment vendor account on their individual smartphones.
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