Mobile payments are on the rise. According to a Forrester report, U.S. mobile payments made to both national brands and local businesses will grow from $52 billion in 2014 to $142 billion by 2019. That’s good news for businesses because mobile payments come with a number of benefits including increased revenue, stronger brand loyalty, faster checkout times and an automated system for tracking customer trends and inventory.
The transition from traditional cash or credit card payments to new methods hasn’t happened overnight, but the ease of use and convenience associated with mobile payments is appealing to a large portion of U.S. consumers. However, there are still a number of customers who haven’t made the transition. If your customers are dragging their feet, here are a few methods to help incentivize mobile payments:
1. Make sure your customers know you accept mobile payments.
While mobile payments are gaining popularity and more and more businesses are starting to embrace the technology, not all retailers accept mobile payments. That means many customers won’t expect your business to accept mobile payments unless they’re told otherwise. Make sure to publicize your ability to accept mobile payments at the register and throughout your store. You will also need to specify which types of mobile payments you accept.
2. Be the expert. Have an educational elevator pitch ready.
Many customers may hesitate to make mobile payments because they’re concerned about security. It’s also possible that your customers haven’t made the transition because they aren’t familiar with the benefits or they’re nervous because they don’t know how the system works. Encourage customers to pay with their phones by explaining that the method actually increases security compared to traditional magnetic-stripe credit card payments. Each mobile transaction is authorized with a fingerprint scan or password entry before funds are transferred and confidential customer information is replaced by a unique code, eliminating credit card numbers from the equation. Mobile payments are also convenient and easy to use.
Prepare your sales associates with an elevator pitch so they can quickly and easily explain what mobile payments are and how they benefit consumers. Make sure your employees are also prepared to answer any questions and respond to any concerns.
3. Integrate mobile payment capabilities directly into your mobile app.
If your business offers a mobile app, make sure to integrate payment capabilities. Big name mobile payment players like Apple, Android and Samsung are making the process quick and easy by offering open APIs. Providing payment capabilities within your app creates a seamless shopping experience for the consumer. That means your business will be one step closer to a truly omnichannel approach.
4. Link your rewards program to mobile payment platforms.
Another benefit associated with mobile payment technology is it can sync with rewards programs. That means customers can leave their membership cards at home and still reap the benefits associated with being a loyal customer. It also makes tracking rewards easier for shoppers. Customers are more likely to take advantage of mobile payments if it also makes loyalty programs easier to manage. Businesses might also consider creating a unique, mobile-only rewards system or making certain deals and offers only available on mobile devices.
What are you doing to encourage customers to make mobile payments? Tell us in the comment section below or send us a tweet @Cayan and let us know!
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