New Payment Methods to Consider in 2018
A new year is the perfect time for business owners to set goals to improve profitability.
If you aren’t yet familiar with digital wallets and the latest mobile payment technologies, you might be interested in the benefits they afford small businesses, such as:
- instant access to funds and real time financial data
- cost savings on third party transaction fees and POS systems
- competitive edge—making it easy for customers to pay quickly and securely on any device.
Here’s a quick look at a few emerging payment options you may want to consider integrating with your business in 2018.
What makes Apple Pay so appealing to consumers and business owners alike is its ease of use, speed, and security. Anyone with a smart phone or Apple watch can make a purchase instantly by simply holding their device at a wireless payment terminal set up for Apple Pay.
Apple Pay can also be used to make secure purchases within apps or on the web.
If you run a business where completing transactions quickly is crucial—for instance, a coffee shop or fast food outlet—the speedier your service, the happier everyone will be. Your patrons won’t have to wait, and you’ll make more sales.
If your business already accepts major credit cards (e.g. Visa, Mastercard, American Express, or Discover), or Interac contactless payments, the good news is you should be able to set up Apple Pay without making any changes.
Even better news: Apple doesn’t charge additional fees for businesses who accept Apple Pay.
Apple Pay has been growing in popularity since its launch in 2014, and is currently used around the world (the full list is available here). For more info to get you started, visit the Apple Pay website.
Android Pay and Samsung Pay
Working in a way similar to Apple Pay, both Android Pay and Samsung pay will allow guests to pay by simply opening the app and holding their device over the point-of-sale terminal.
If cryptocurrencies, like Bitcoin, have been on the periphery of your awareness, look out. These alternate currencies are fast becoming mainstream payment options for small and big businesses alike.
Large companies including Microsoft, Tesla, and Shopify now accept Bitcoin. For businesses trading in large sums, the pros of accepting cryptocurrency can be very attractive, such as:
- no transaction fees
- instant payments
- no exchange rates or conversion fees
- encryption technology (e.g. blockchain) ensures secure transactions.
The ease and affordability of using Bitcoin for global business transactions is a major reason small business owners looking to expand into foreign markets adopt this cryptocurrency.
Of course, any new financial technology comes with its risks. Some worry about cryptocurrency’s potential volatility, and the risk of loss in an unregulated system.
The best advice before investing in any cryptocurrency is to make sure you understand exactly how it works—then weigh all the pros and cons for your business.
To learn more, take a look at Inc’s list of cryptocurrencies to watch in 2018.
As digital technologies bring us closer to paperless financial systems, it’s important you offer your customers a range of convenient payment options, so they aren’t tempted to shop somewhere else.
Ensuring your customers can buy from you using their preferred payment options, whether cash, check, debit card, credit card, mobile payment options, or EFT, will help you stay competitive, long-term.