Two ways mobile payment systems can help small businesses grow
There has never been a better opportunity for small merchants to think about the role of mobile payments systems in their business' growth. Whether you're considering the ability to accept mobile wallet payments or making your business more mobile, by having the ability to accept payments anywhere or more affordable, now is the perfect time to take the leap into mobile payment systems.
When discussing mobile payments, it's helpful to segment the discussion into two categories: acceptance, and payments. Mobile payments generally refers to the ability of consumers to pay for their goods and services with a mobile wallet like Apple Pay. The most popular mobile payment services from major players including Apple, Google and Samsung are actively competing for the hearts, minds and wallets of consumers and merchant businesses alike. Taking advantage of the push for mobile payments can give your business a competitive advantage by delivering on consumer's desires to pay with their phones.
Mobile payment acceptance refers to the ability to take payments without a standard POS system or payment terminal. With mobile acceptance, merchants themselves are mobile, and can process payments away from their brick and mortar locations, if they even have a physical store. This form of mobile payments requires a simple card reader device that plugs into a smartphone or tablet.
Mobile payment acceptance systems have a lot of applications when it comes to on-the-go selling at shows, festivals and other events. But mobile payments also have the capability to change the DNA of a young company, making it faster, more nimble – and ready to grow.
Opening Up Your Customer Base
Mobile payment systems can make a great difference for small companies that don't accept credit cards at all. Thanks to the streamlined apps and devices that mobile payment systems providers are currently offering, many of the old complaints that kept businesses from adopting credit card payments are fading. Getting set up with a payment account on an existing phone or tablet device greatly reduces the barrier to entry that some businesses have felt in the past with expensive POS systems.
It should come as no surprise that the small businesses beginning to accept cards see an immediate increase in their customer base. There are an increasing number of people (particularly millennials) who go out without any cash at all. Businesses that tap into the card market are going to win their loyalty – especially if none of their competitors are following the same practices.
Customer Information Collection
When a customer pays with a phone, much of the mobile payment process is automated…which means that there is tremendous opportunity to collect customer information with each purchase. This type of data collection is simple to integrate with today's mobile payment systems, and forms the base of many important marketing/sales tools, include targeted ads, cross-selling, customer email lists, buying habits, and other forms of analysis.
For a growing business, this type of customer information is an invaluable foundation to jump into accurate, effective marketing, both online and off.
Once customers began to associate your business with mobile payments and mobile apps, this provides an ideal gateway to creating your own mobile content. Advertising mobile coupons, apps, mobile site extras, and additional content is much easier when your customers are already used to pulling out their phones, or using a mobile device for payment in your store. Don't let this mental synergy go to waste – expand further into the mobile world and see the results.
Additional Mobile Opportunities
Mobile marketing isn't the only option open to small businesses that have begun mobile payment systems. There are plenty of opportunities for cross-sales and joint ventures that would have been much more difficult without an automated mobile payment system. Mobile payments allow your business to be much more creative about where it goes and what it offers.
Depending on your business type, your goals for growth and your customer base, mobile payments and mobile acceptance could give your business the boost you're looking for.