Can Contactless Payments Benefit Your High-Risk Business?
High Risk Business Lean Toward Contactless Payment in The New World
As a merchant or business proprietor of a brick and mortar company, regardless of what category your business falls into, be it CBD, Nutraceuticals, Adult Entertainment etc., imagine just how great it would be if your high-risk firm was on the cutting edge of technology when it comes to accepting customer card payments.
Contactless Payments Pave The Way
In fact, what if you could offer your customers an extremely fast, easy and safe way to pay for purchases of products and services rendered? Well, the truth is, you absolutely can in the form of contactless payments, also known as “tap & go.” What consumer doesn’t love simplicity, security and convenience? And as we all know, happy customers tend to purchase more, which is an outcome that all merchants, high risk or not, welcome and appreciate.
Contactless Payments Pave The Way
In fact, what if you could offer your customers an extremely fast, easy and safe way to pay for purchases of products and services rendered? Well, the truth is, you absolutely can in the form of contactless payments, also known as “tap & go.”
What consumer doesn’t love simplicity, security and convenience? And as we all know, happy customers tend to purchase more, which is an outcome that all merchants, high risk or not, welcome and appreciate.
What Exactly Is Tap and Go?
Contactless payments provide consumers with the ability to tap their credit or debit cards to the point of sale terminal in order to pay for their purchases.
Using technology known as “Near Field Communication” (NFC), “tap & go” takes about half the time necessary to otherwise swipe or insert a credit or debit card and wait for approval. This method is proven to be as safe and secure as using a chip card and far more convenient, resulting in happy and satisfied customers.
The Arrival Of Tap & Go
Truth be told, contactless payments have been around for many years. They originated in Australia back in 2006.
Many other countries, like Canada and the United Kingdom, have since followed suit. It has taken the United States a bit longer to catch on, as we’ve only recently begun to get in on the “tap and go” process. In reality, less than .20 percent of current United States transactions are done through contactless payments.
However, with the arrival of the Covid19 pandemic and safety issues at the forefront, merchants and proprietors can expect to see that percentage increase exponentially.
Is It Worth It?
Don’t let the slow start of our country stop you from forging ahead when it comes to enabling your high-risk business to accept contactless payments.
Visa tells us that at present, close to 50% of their in-person payments are being made through the usage of “tap & go” technology. As a high-risk business owner, you can pretty well count on the fact that contactless payments are strongly growing in consumer popularity and usage, especially among Millennials and Generation Z.
Eventually Generation Alpha will join in that equation as our younger population grows into adulthood and becomes increasingly technology based. Contactless payments are most definitely here to stay.
In addition to contactless credit and debit cards, consumers are now able to use mobile digital wallets as well, in order to make tap & go payments.
The consumer does a one-time entry of their payment information into their mobile wallet within their smartphone.
That information is then encrypted and ready for use with any NFC enabled payment terminal. As with tap & go cards, the digital wallet payment process provides consumers with a very safe, speedy and convenient payment method. Again, happy customers tend to spend more money.
Getting The Process Going
In order to enable your business to accept contactless, tap & go payments, be they through the use of credit and debit cards or digital wallets, you’ll need to purchase an NFC payment terminal. This is generally a fairly quick, easy and inexpensive process, well worth the effort. Since the beginning of commerce of any kind, customers have always wanted to feel taken care of. T
oday’s consumer is no different, except for the fact that they view the offering of advanced technology, in the form of speed and convenience, as the best way to offer that. And it can’t be said enough… happy customers spend more money, come back more often and add to profitability. It will probably do your high-risk business a very profitable favor to get the contactless payment process enabled and watch your bottom line grow.
Joyce Hope is a writer who specializes in merchant accounts. She has worked for First Card Payments since 2017.