Modern-day consumers expect quick transaction processes. So, the decision on whether or not your small business should switch to cashless transactions is an important one as it will affect the profits you generate and the competitiveness of your business.
Introducing a cashless ecosystem around small businesses provides an opportunity for financial inclusion. It’s unfortunate that some small business owners still view cashless acceptance as an unpleasant value proposition.
Here are reasons why you should consider cashless transactions in your small business.
It’s important to ensure that your business stays ahead of the competition at all times. So, if the competition is thinking of going cashless, then it’s wise to hop on early onto this market trend.
According to Paymentsense CMO, Guy Moreve, businesses that embrace new payment methods such as voice ID and fingerprint scanning will stay on top of future competition.
In addition, today’s smart shoppers seem to demand fast and secure payment systems when shopping offline or online. So, you can boost your competitiveness by adapting to changing consumer demands such as cashless payments.
With cashless technology, you don’t have to deal with a lot of cash on your small business premises. You can keep conducting your business as usual without living in fear of random burglaries.
Consumers are also looking for multichannel payments systems. These allow them to quickly process their transactions via smartphones, laptops or tablets. In other words, the cashless transaction technology is not only faster but also safer for everyone.
Cashless Transactions Offer Increased Efficiency
While plastic cards will remain a choice way to pay for most consumers, they won’t stay for long. The average-spend per card transaction keeps decreasing because most people want increased efficiency.
Both consumers and businesses want efficient payment systems that reduce down times. Moreover, cashless payments are more environment-friendly than plastic cards.
Eliminates Identify Theft
With the growth of user-friendly app-based payments such as the Apple Pay, customers don’t have to use PINs or remember complex passwords to make payments.
In fact, some customers become vulnerable to identify theft when they keep records of this sensitive financial information on their computers or mobile devices. Some app-based payment services use fingerprint scanning or touch ID to enable users to make payments.
A technology that allows a customer to link his physical features to his finances eliminates chances of identity theft and cybercrime as customers don’t have to enter their identification details every time they pay for goods.
Most of the small businesses haven’t adopted the cashless transaction technology to save on tax expenses and processing fees. Conversely, these businesses don’t know that they are losing out on considerable profits simply by avoiding the cashless route.
For instance, most consumers would prefer to swipe a card to have a quick cup of coffee than to hunt for an ATM, withdraw the cash and then buy the cup of coffee.
Therefore, if you want your business to tap into the modern-day consumer’s shopping patterns, you need to embrace the cashless transactions technology.