Payment systems are changing and along with it, customer preference. As e-wallets, credit cards and cardless app payment systems are on the rise, consumers are beginning to choose this type of transaction over traditional cash payments. This has been heavily influenced by the necessity of contactless payment during the Pandemic, which has forced consumers to adopt this method as a safety precaution. This means that many people who were previously keen on cash, will now have a whole new attitude towards transacting with it. This will inevitably lead to even more digital and credit card payments long term. So if your business wants to move forward, you need to quickly adapt to these shifts in payment perceptions.
So why should my business adopt cashless transactions?
1. Accounting will be simpler
Cash businesses require manual cashing up processes. This not only takes time at the end of each day, but it also opens you up to human error. Cashless payments on the other hand can be centralized with an online dashboard. Everything will be automatically recorded including tracking history, suppliers and customer details, all captured in an accurate and reliable way.
2. Reduction of risk
You may think that being physically able to handle cash is more secure, but this is not always the case. In many ways, accepting cash digitally can definitely be a lot safer. Now more than ever, cyber-security is extremely advanced and credit card systems have built-in fraud protection. To ensure you enjoy all these security benefits, do your homework on the suppliers and go with a cashless payment provider that is well-known and trusted.
3. Cashless payments legitimize your business
Here there is a subtle, but notable, influence on your customer. By displaying the card and payment logos at your point of sale, the card holder will notice and be more likely to trust your business, simply by brand association. Remember that by offering alternative payment methods you are also giving lots of options to your clients and they will appreciate that you are anticipating their needs.
3. You will boost sales
Because people don’t carry a lot of cash anymore, you may lose a customer altogether just because they are not carrying any cash on that specific day. So by offering alternative payment methods you are essentially giving customers more ways to buy from you. Further to this, customers today are extremely savvy and their preference for digital transactions may lead them to go elsewhere to have their needs met.
4. You can improve your cash flow
For the most part, credit card and digital transactions are processed relatively quickly and will be transferred into your business bank account in a matter of hours or days. This is likely to increase your cash flow and alleviate issues around checks, invoicing and collection with your clients.
5. Credit cards and digital payment systems are inexpensive
While some small businesses worry that they will have to absorb additional associated fees, this is not necessarily the case. Credit card and digital cash processing is a very competitive space and there are many reasonable merchant packages available to alleviate this burden. In any case this will always be made up against the larger loss of clients.
The bottom line
At the end of the day you want to sell as much of your product or service as possible. So, it’s just a logical move to give your customer as many ways as possible to purchase from you. In today’s cashless society, by not embracing the future of transacting, you are actually at risk of losing savvy customers who are brave enough to move with the times. By diversifying payments, you are opening your business up to many more exciting possibilities and ultimately, sales. Now who doesn’t want that?
