E-commerce has seen great demand and growth in recent years and things have turned more profitable ever since COVID-19 has entered everyone’s life. Researchers observed an increase in mobile traffic by 85% in the first year of the pandemic. As evident, the phenomenal growth in online transactions have made businesses develop an unbreakable trust in online payments.
Customers and businesses are keen to have a simple yet reliable buying and selling experience and online payments is a part of that. But what are the other benefits to consider? What makes online payments a necessity? How does the distance between buyers and sellers decrease with digital payments? Find out everything in detail in the points explained below.
Contents:
Authority and Credibility
Online payments push businesses on the wheels of building authority and earning trust at the same time. More than 60% of consumers tend to find and shop online for their favorite products and services. This clarifies that businesses lacking a digital presence not only miss such a huge consumer traffic but also remain away from the lifetime opportunity of forming authority and brand recognition.
Online presence also provides safe and quick communication channels. Customers fall for businesses that are quick to reach, can be approached online and assist them with instant solutions related to their queries or doubts.
More Customers
Customers are the backbone of every business and online presence acts as the magnet to attract them. Digital payments are not restricted by geographical boundaries, which puts businesses in the position to sell their products and services without being confined to geographical boundaries. Apart from engaging with national clients or prospects, they can even reach international clients.
To widen the customer reach and extend the business further, an international payment gateway is an undeniable need. Apart from growing the business, it also lets customers pay in their preferred currency and consider the business again and again.
More Sales
Online payments allow businesses to collect data of customers and appease them through discounts, customized services and experiences. One more great way to skyrocket the sales is making the best out of mobile shopping, as customers love to shop from their phones instead of visiting physical stores.
The ability to pay online frees customers from issues such as lack of cash at any time. As a result, they can keep shopping for their products and services without looking at their wallet or heading to a bank or ATM to withdraw money.
Secure Transactions
Despite online frauds and cybersecurity crimes threatening customers and sellers, online payments come with security for transactions. Merchants who are involved with managing, processing and accepting online payments should ensure compliance with PCI-DSS (Payment Card Industry Data Security Standard). Techniques like encryption and tokenization are included to transform confidential details into code for safe transmission online.
SSL encryption, PSD2, two-factor authorization and 3D secure are various other security methods. Implementing a payment gateway that complies with such measures is the quickest way for security while processing digital transactions.
OmniCent is a great example of an easy and smooth instant payment alternative. Powered by AI, it allows quick and easy payments by allowing businesses to send payment links to customers across several business mediums.
Also Read: This is why you should be using Omnicent for payment links
Manage Subscriptions
Payment related reminders can be eased with online payments systems since they provide a recurring billing option to automate the subscriptions collection process. The feature optimizes the cash flow by automatically charging for services based subscriptions, communicating with customers, sending payment reminders and providing flexible payment options in case the transaction doesn’t proceed.
The entire scenario helps with predictability of the payments. Also, being convenient, online payment curbs the chances of delayed payments of bills. Putting all this together, businesses are free from getting into the hassle of sending reminders.
Less Operational Costs
One of the best benefits of online payments is that they enable merchants to eliminate operations and administrative costs in many ways. For instance, there’s no paper-based work as bills and payments are delivered through text or email. Another benefit is saving money in terms of labor costs, thanks to restricted work related to payments management, which lowers the dependency on more and more manual labor.
Data-based Decisions
Online payments provide the opportunity to monitor and analyze the behavior of customers, which is of great support to conclude decisions based on real-data. All that’s needed to be done is looking at the products or services viewed by customers on the website, checking the device used by them for purchase, checking payment methods chosen by them and the time they spend on the website.
Other useful data that can be tracked include age, gender and location of customers to understand their needs and issues better. All the data collected also leads to identifying strengths and weaknesses of a business.
Conclusion
The benefits mentioned above clearly state how powerful online payments are and why must businesses leverage them. Accepting online payments is easy, simple and involves an easy set-up. If you are still away from accepting digital payments, now is the time to include them in your business strategy and reach more potential customers who appreciate businesses like yours. Want to know more? Contact us right away.
