In retail shopping, what takes more effort than shopping is to stand in the queue for your turn for billing and then arrange for the exact cash amount as shown in the bill. In addition to this, customers can feel frustrated because of several other reasons, like any hidden charges, non-acceptance payment via cards, the slow billing process, no online payment options, and others.
People today have a lot of stress and fuss in their lives, so they do not want to prioritize such petty matters related to payments. That is why they crave faster and more manageable payment modes, such as online payments. Today, the demand for online payments by people is at its peak. That is why more businesses are turning their collections online to satisfy the needs of their customers and provide them with a higher customer experience. For that, we have listed significant benefits of online payments, especially for businesses.
Advantages Of Online Payments To Businesses
- Expanding reach to your targeted audience:
Per Statista, the total transaction value of digital payments in India through mobile phones is around 29.5 Trillion INR. Irrespective of your business size, accepting online payments gives your business the power to go beyond geographical boundaries and extend its reach to customers. Accepting virtual payments is far better than accepting payments in cash or cards for the sale proceeds made. This way, apart from walk-in customers, you make new ones who shop from your store sitting at their homes.
- An easy way to accept recurring payments:
Until today, small businesses that used to receive recurring payments from their customers primarily preferred cash as their payment method. With the changing technology, it is now possible to accept the same frequency or even larger recurring payments through online means. So whether you visit your customers to collect a monthly fee or sell a subscription-based service, taking payments online will help you immensely by saving your time, efforts, and resources and automating the collection process.
- Leveraging the current payment trends:
The majority of the online shopping population are young adults who love to shop from the comfort of their homes. There is a 74% active e-commerce penetration in India, increasing as more buyers are joining the spree of online shopping over the experience of shopping from the traditional retail stores. This trend will only grow in the future, so accepting payments online will help your business reap the benefits of the current trends and create a road to growth and success.
- Creating strong brand identity:
Shoppers online and offline prefer buying branded stuff, seeing the amount of investment they have made to enable secure and reliable payment methods for their customers. Thus, if you too start accepting online payments, you will make your customers believe that you as well have facilitated secure and reliable payment methods for their convenience. So, they would not hesitate shopping from your store. Hence, you create a strong brand image in front of your customers.
- Ease of using multiple payment methods:
The comfort that online payments offer is that your customers can make payments through various payment channels, viz debit/credit cards, UPI, e-Wallets, net banking, and more. With so many methods to choose from, your customers will be overwhelmed when selecting their convenient mode of payment.
- Enhanced Security:
Online payment systems will give businesses access to the latest technology that will help them protect their transactions as much as possible. Online payment systems also have high standards to detect and prevent fraud. With the help of Machine Learning, your applications will be able to see and block any potential security breaches. With innovative and more intelligent systems, adapting in real-time makes it possible for them to detect fraud actively.
- Reduced Expenses:
Cash and other offline payments attract considerable expenses. Even a lot of paperwork in the form of printing of physical invoices is also involved. Collecting cash, counting it daily, and depositing it into your bank account is also a tiresome task. Moreover, liquid money in the safe is easy to steal.
But, with online payments, you free yourself from the burden of managing and computing cash manually as transactions are recorded automatically under the former mode of payments. The money you receive online either goes to your linked bank account or your associated e-Wallet saves it from getting stolen or unnecessary spending.
- Automated Process:
Humans tend to make mistakes, but technology cannot. Online payments are processed automatically, which reduces the scope of any error that employees might make manually. With online payments, you can share necessary functions with your customers, such as credit information, balancing, and transaction history, all by yourself. Online payments make transactions quicker and faster, which today’s generation generally prefers. In addition, online payment portals come with 24×7 customer support in the form of AI-based chatbots.
To Part With
Not only 2021, but the future has a great value in the payment ecosystem. It’s the businesses that need to take charge, come forward, and offer global, transparent, secure, and agile payment options to your customers. E-payments will help your business improve its revenue collection system, build a brand image, and enhance its customer experience.
Mashum Mollah is a tech entrepreneur by profession and a passionate blogger by heart. He is on a mission to help small businesses grow online. He shares his journey, insights, and experiences at socialmediamagazine.org & searchenginemagazine.com If you are an entrepreneur, digital marketing professional, or simply an info-holic, then this blog is for you.