subject: Increase Your Customer Base With Credit Card Processing [print this page] You can't have a successful business without customers.
That's why, as a business owner, you spend every spare moment thinking of ways to grow your customer base. Is there a different market niche you could focus on? Is there a better way to advertise your company so that more consumers know that you exist? Is there another product or service you could offer that would appeal to people who aren't already patronizing your business?
Here's another one: what if my business began accepting credit cards?
Credit cards have become the most popular form of payment in some economic sectors, and they are fast approaching that distinction in many others. Years ago, people tended to use cash to handle their day-to-day purchases. But these days, consumers are less likely to carry wads of bills around for fear of their wallets or purses getting lost or stolen. Retailers and other businesses are encouraging this shift away from cash because it allows them to keep less hard currency on hand - which can help deter thieves or robbers.
There was a time when checks were the preferred method of purchase. But in today's fast-paced world, even the act of writing a check is becoming less convenient for consumers. So instead of fishing out a checkbook, finding a pen, writing out the check and recording the transaction in the check register, people are opting for quickly swiping their card and getting on their way. Plus, because false checks are becoming easier to create with computer software, the incidents of bad check writing have increased, making it even harder on unsuspecting retailers who are already worried about false signatures on checks.
But the convenience of credit cards extends far beyond quick transactions. Consumers get a periodic itemized list of all of their purchases for their records. Many credit card companies offer rewards points which can be earned with every charge and can be redeemed for airfare, gifts, lodging, dining or other entertainment options. Best of all, consumers can notify their company if their cards are stolen or lost, and they won't be held responsible for most or all illegal charges made on them.
The most obvious reason businesses around the world are embracing credit card use is customer service. After all, the customer is always right; and if consumers like to use credit cards, then any retailer or service provider is smart to allow them that privilege. But businesses can also benefit from the detailed list of transactions that they can access. This can assist business owners with trend spotting and market analysis, which they can use to tweak their business models or product offerings.
This consumer convenience is important to keep in mind when mulling whether or not to accept cards for your business. Some business owners focus too much on the startup costs and periodic overhead expenses they will incur in order to accept credit cards. What they should also consider is the amount of potential lost business they will experience if they do not allow customers to pay with credit cards. Because customers are fickle- if they can get the same product or service at a comparable price at a competitor which accepts credit card payments, then they will take their business elsewhere.
To begin accepting credit cards, businesses need to contact a merchant services provider in order to set up a merchant account. There are many different types of merchant accounts to choose from. A conventional storefront would be best served by one or more retail swipe terminals. These terminals, which are installed at checkout points within a store, allow either the sales clerk or the customer to swipe a credit card through the terminal. Authentication of the transaction takes place within seconds, and the customer then signs either a credit slip or an LCD screen.
If your business consists mainly of onsite sales, you may be better served by having mobile swipe terminals. These are similar to retail swipe terminals, but they are battery-operated and can be taken anywhere. Instead of using a phone line to transport data to the processing center, mobile swipe terminals utilize what's known as the GPRS network.
When a credit card is swiped through the handheld terminal, the data is transmitted wirelessly to the processing center, and the approval notice is sent back the same way. Mobile swipe terminals can allow your salespeople to complete credit card transactions onsite - without having to scribble down a credit card number and then enter it into the main system back at company headquarters.
There are many other merchant account solutions for companies that utilize e-commerce, telephone ordering, or other business models. Each of them can be tailored to fit your specific business needs. And once these systems are implemented, you may very well wonder how you've gotten along without them for so long.
Increase Your Customer Base With Credit Card Processing
