In the UK, cashless payments have now overtaken the use of notes and coins. 52% of transactions made over the last year were made electronically and this number is only expected to rise. By implementing these systems in your own business, you’re not only providing a convenience, but recent statistics show these payment methods also encourage spending amongst consumers. Here’s what you need to know.
Credit and Debit Cards
Credit and debit cards are the number one method of payment for consumers now. These give consumers the benefit of not having to worry if they have enough cash with them, while also providing an extra layer of security in the form of four-digit security code. The easiest way for your small business to accept card payments is by investing in a chip and pin machine from suppliers such as Card Cutters. These are a variety of different models available, including low-cost, portable solutions that can process up to 650 transactions on a single charge. This makes them ideal for either mobile or stationary businesses.
Online Payment Methods
The number of online payments is increasing every year in the UK as people realise the benefits of online shopping. There’s a generation of shoppers growing up with this kind of technology, and older consumers, too, are also gradually becoming more comfortable with the idea of purchasing goods online. PayPal is currently the world’s leading online payment system and a large portion of the company’s popularity comes from their promise to protect shoppers against online scams. Whether or not they accept payments through PayPal is often one of the first questions any start-up business with little-to-no brand recognition will receive.
Near Field Communications
Near field communications (NFC) is a new technology that allows credit and debit cards to pay for goods without having to enter a pin number. For security reasons, NFC compatible devices are currently limited to transactions with a value of no more than £30. This technology has also been implemented into smartphones. Apple Pay, which debuted in the United States last year, made its way to the UK this summer and allows users to pay for goods through their compatible iPhones and Apple Watches. This is limited to the same transaction limits as contactless cards.
The payment processing industry has seen a lot of changes in recent years. Make sure that you invest in the right technology to future-proof your business. Delaying the switch could cause problems down the line.