While consumers still carry credit cards, they’re increasingly looking for other ways to pay. As a result, digital wallets such as PayPal and Venmo are growing in popularity. Moreover, these digital payment methods aren’t just for online shopping; they are increasingly accepted in many physical locations.
Some reasons for this include safety, security, and convenience. In addition, customers are looking for the most convenient way to spend their money, and having alternative payment options will remove constraints for either traditional or trendier clients.
You must know your customer’s preferred payment options. Then you must consider new payment methods like Apple Pay, Venmo, or PayPal. If you don’t offer these options, your business will lose sales and revenue.
On the other hand, opening your business to alternative payment options can increase success rates. Furthermore, we are not discussing replacing your current options but enriching your customer experience.
Research by Checkout.com, in partnership with Oxford Economics, concluded that consumers are more likely to avoid shopping on a site that wouldn’t allow them to use their payment method.
Consumers are looking for safety and convenience when they shop online. Adopting these APMs can provide ease to your customers.
Some of the most common alternative payment methods (APMs) include brands like PayPal, Stripe, Apple Pay, Samsung Pay, CashApp, AliPay, Klarna, Grabpay, and even newer cryptocurrency ones, Bitso and Binance.
Adaptability is vital for business success. Adapting to new trends can help the business show that you care for your consumer’s preferences. If you want to take advantage of this growing opportunity and increase your sales by adding more payment options for your customers, the first step is determining the best choice for your business.
As with any change, you need to evaluate what will help improve your business. Influencer Marketing Hub says, “To find the best APMs for your business, think about your target market, the nature of your transactions, and your budget.”
There are many perks of having APMs available for your consumers. The following are a few ways they can increase your business reach.
Make money on the go with mobile payments.
Mobile payment technology offers you fast and secure ways to make money on the go. Whether at a busy grocery store or waiting for your flight at an airport, you can easily use your smartphone to complete financial transactions.
It’s also suitable for business owners who want to accept credit card payments from their customers but don’t have a traditional point-of-sale (POS) system installed in their stores.
Another option for mobile payments is to accept payments through social media.
Social media payments are a great way to accept payments without building a business page.
Social media payment apps like Venmo and PayPal allow users to send money directly from one person’s bank account to another’s in minutes. This can be useful if your customer doesn’t have access or is uncomfortable with traditional payment methods such as credit cards or e-checks.
You can also allow consumers to go cashless with digital wallets.
Digital wallets are an alternative to cash, checks, and credit cards that enable customers to pay for purchases through their phone or computer.
With digital wallets like Apple Pay and Google Pay, you can instantly accept payment using a unique QR code that customers scan with their phones. This payment method is gaining traction among merchants because it’s fast, easy, and convenient for both parties.
However, before you jump right in, you should take some essential security measures to protect your business against fraud:
- First, ensure that your customer’s data is encrypted during all transactions.
- Make sure the transaction meets all legal requirements to comply with regulations set by governments or financial institutions.
- Use two-factor authentication (2FA) or Touch ID fingerprint scanning to protect against unauthorized access to customers’ personal information.
Alternative payment options can help your business reach new markets and even make you money by following the trends of your customers. By making sure these payment methods are available where customers shop for goods and services, you’ll be able to help them get what they want without having any problems.
To recap, alternative payment options are available. Of course, cash and credit card payments are still the most common ways for customers to pay, but there is room to grow into new alternative payment options and prepare for the upcoming consumer trends.
Adding these options will allow all generations to feel comfortable making payments in your business. The shift to these alternative options can take a while to assimilate, but it is possible. Make sure to provide your consumers with the best choices using data to verify your decision.
Data-driven decision-making can provide your company with feedback from consumers that will allow you to understand them better. As mentioned in an article by Tech Vice, studying data is the best way to receive your customer’s feedback and learn from it.