Have you ever been ready to make a purchase and once you were all set to pay, the business didn’t accept your preferred form of payment? We’ve all been there where we had something we really wanted to purchase and instead of walking away with it, we turn away empty handed due to the lack of payment options. Unfortunately, this is something that happens all the time and business owners constantly lose out on sales because of it.
It is crucial that you accept a wide variety of different payment options whether it’s a traditional cash payment or a payment made through an e-commerce company such as PayPal. Just being aware of the many different payment options being made available through can help your business adjust to accommodate customers who wish to use these payment methods. If you choose not to adapt, it could lead to your business losing customers and revenue from an increasing number of people who solely use one payment method over another. So, let’s look at some of the biggest advantages to accepting a wide variety of payment options.
The advantages of flexibility
There are several advantages associated with being flexible with the types of payment your business is willing to accept from customers. A few of the more important ones are:
- Increased revenue
Increasing your revenue should be a huge motivating factor for accepting different payment methods. As you can imagine, the more customers your business can accommodate reduces barriers to purchasing. Don’t give people reasons not to buy from you! When you accept more customers’ preferred payment method you will make more sales.
- Convenience for customers
We live in a culture of convenience where people don’t have the patience for inefficiencies, no matter how small they may seem. A customer will be more likely to shop at your store if they have more options. If they don’t have cash on hand, they can still make a purchase if they have a credit card. If they forgot their wallet or purse and don’t have a credit card, then they can still pay with their phone if you accept payment from digital wallets like Apple Pay or Google Pay.
- Potential to attract new customers
Some customers prefer one method of payment over another and that’s all they will use. So, by accepting more payment methods, you’ll be able to get business from some of these very particular customers who may otherwise not do business with you. Being flexible can be particularly helpful in areas where your competitors have fewer options. Word of mouth can spread quickly and help you attract referrals.
- Encourage repeat business
It should not be hard for a customer to make a purchase. For customers who have had a negative experience trying to pay your competitors, you’ll have a very good chance of establishing brand loyalty once you’ve proven to be more accommodating. In a marketplace where consumers thrive on convenience, offering a wide range of payment options will keep customers coming back.
It’s crucial to stay up to date with developments in payment technology and have an ongoing dialog with your customers to make sure you’re making it as easy as possible for them to do business with you. The bottom line is that the future is digital, and your business must be able to adapt to the digital payment platforms that consumers use the most, while not leaving your more traditional paying customers behind.
Kim Phillipi is currently the President and owner of Building Science Academy, LLC, a startup company that was formed in 2009 operating a construction business, GreenFit Homes, and an app development company for the construction business, JobFLEX.