Mobile payments are on the upswing. Merchant Savvy predicts that 1 billion people will use a mobile payment app worldwide in 2020.
That prediction alone should be reason enough for small businesses to start accepting the technology. But beyond keeping your business relevant, there are a number of other key benefits to setting yourself up for accepting mobile payments. Here are six tips to help you be successful in managing mobile payment systems.
1. More foot traffic
A simplified payment platform that accepts mobile payments may increase foot traffic to your business. Many people’s ideal payment method is mobile contactless payment, due to speed, convenience, and security. And perhaps as a result, consumers may actively seek out businesses that accept the technology.
2. More sales
Not only do mobile payment users frequent mobile-payments-enabled businesses, they may spend more once they get there. It’s definitely worth setting up the technology for your business to boost your sales.
3. More tips
Mobile payments users may be more generous with gratuity due to the ease of payment. Data from Square’s #PayFasterPortland event shows that US customers who used their NFC (near field communication) device with Square’s contactless and chip reader tipped more than customers who used traditional magstripe cards. This data might translate to Ireland, where NFC mobile payment is on the rise.
4. Improved customer experience
Waiting in slow lines is consumers’ number one frustration with shopping in stores. A key benefit of contactless payment by mobile phone is that it’s fast — far faster than both magstripe and chip cards. To complete a transaction, all customers have to do is hover their phone over the contactless card reader or card machine and voilà — it’s done. A speedy line and checkout process make for a much better customer experience.
5. Enhanced security
Protected by cryptograms and sophisticated tokenization methods, mobile payments are the most secure form of payment. Consumers can also activate fingerprint and facial technology in most mobile payment solutions — another layer of NFC mobile payment security that protects data on lost or stolen devices. Accepting mobile payments at your business means you’re accepting the safest way for customers to pay.
6. Attract millennial customers
A 2020 survey showed that millennials aged 18-37 expect digital payment to be available. Almost 70 percent of this age category said they’d expect any bar, retailer or shop they visited to accept contactless or digital payment. Businesses should take note and provide the mobile contactless payment experience that this generation will soon come to expect.
Adopting mobile payment systems, like Square’s point-of-sale system that can accept any type of mobile payment, keeps you relevant and secure, and can even boost your bottom line. Square Reader for contactless and chip is simple to set up and costs just €19 + VAT. Our payment solutions are designed with you in mind.