When it comes to businesses, whether an online one or an extension of a brick and mortar business, or even just any business itself, one of the most stressful parts for a business owner is payment processing.
Payment Processing is basically how a business completes payments transactions, usually a debit or credit card, e-wallet, bank transfers, electronic checks, local payment methods or even a checking account payment transaction.
But how exactly does this give an additional stress to the business owners? Late payments of invoices for one, can add to this business related problem. But payment processing should not add to the stress of a business owner as a whole, instead, it should only boost the business by adding to its sales, profits, and even happy and contented customers.
Payment processing, though costly, is essential, due to the fact that paying using mobile payments and credit cards are now almost a norm in the world today. So how can someone reduce the stress of payment processing for their businesses?
Here are some 7 ways to do so:
1. Get to know the Basics
Jargons, complicated percentages, the parties that are involved in payment processing transactions, these are only some of the things that you will be hearing about once you start handling your payment processing, and it can get overwhelming for anyone.
Take a look and read up on some key terms and basic principles. This is so that you can at least relate to more than the usual things when it comes to talking with sales representatives.
2. Fast and Easy checkouts
Consider the entire process and not just the moment when a customer enters his or her credit-card or any other payment information. Start from the moment the customer or buyer adds an item to their shopping cart.
According to research, one of the top-cited reasons why potential customers tend to abandon their carts in the middle of checkout is when a site requires too much work, i.e. asking customers to make accounts on their site or when there is a long checkout process.
Remember that the more friction is reduced in checking out, there will be less frustration and an increase in user experience. This will be beneficial to the overall outcome of your business.
3. Global plans make for global business reach
Today’s world seems a lot smaller because of the digital age and people from the other side of the globe seem to be easier to reach than ever before. Many of the successful businesses today don’t just target their home country but they expand into other markets.
Consider all the payment options that your customers, both local and international, use.
4. Embrace Automation
Remember that payment processing doesn’t end once the customers submit their card or payment information. Confirmation emails, shipping updates and even a small thank you email can go a long way.
There are payment-processing systems that allow you the option to automate these additional steps. Integrate these with third-party plugins and you’ll have yourself a well-oiled payment processing system.
5. Protection your Payment Processing from Fraud
Fraud is a double edged sword, both can hurt not only the customer but also the seller. Upgrade your website’s security and be able to prevent data theft. In addition, a business owner can use payment processors that can help in identifying and blocking fraudulent transactions. Even basic fraud filters help in ensuring that you avoid chargeback fees.
6. Pick the working Pricing Model
There are a number of payment processing vendors and they usually charge their merchants in different ways. Make sure that you are working with a payment processor whose charging method works for you.
7. It’s More than Just The Price
Never decide on the pricing alone when it comes to your payment processing. Even if you’re only a small business, there are several factors that, if chosen, can affect your business, no matter how small. Be sure to take into consideration the effect of your chosen payment provider as a whole on your business before signing a contract with one.
It’s true, choosing a payment processing partner is one tough decision, but it doesn’t mean that it’s not possible to choose one that can benefit your business greatly. Follow these 7 effective ways and you’ll find that you will have nothing to worry about.