A war is brewing between old-fashioned wallets and modern mobile payments, and small businesses need to choose a side in this war. The losers of this war will be those who think it’s best to stick with antiquated methods of making transactions and who can’t be bothered by adopting newer, more convenient payment systems.
If you think there is still plenty of time to wait before you adopt mobile payments at your business, you better think again. Experts predict that by 2016, the mobile payment market (worldwide) will include 448 million users making $617 billion in transactions, according to Gartner, an information technology research firm.
By 2017, the way U.S. customers behave while engaged with mobile phone technology is expected to boost revenue from mobile commerce to 50% of all digital commerce, up from the current 22%, according to another study by Gartner. If you want to get your fair share of this revenue, the simple, secure and eminently affordable payment solution made possible by ProPay may be just what you are looking for.
Why Small Business Owners Need to be on the Mobile Side of the Payments War:
* Customers can make their purchase right from the sales floor instead of waiting for a register
* People in a hurry show loyalty to establishments that cater to their needs for mobile purchases
* Entrepreneurs make more money and are more competitive when they accept mobile payments
* Letting customers make payments with the same mobile device they used to find the store or call for directions provides a seamless shopping experience
Mobile Payments Are on the Rise
It’s so easy to use a mobile device to make a payment, customers often prefer to use their phone for purchases and leave their wallet back at home.
Indeed, researchers at Deloitte predict that by the close of 2015, some 5% of the 600 million to 650 million NFC (near-field communication) smartphones will be used by consumers once a month or more to make payments at retail stores.
Small business owners must recognize the special interests and needs of millennials and adjust the way they accept their payments accordingly. For example, Adweek noted that 63% of people aged 18-34 responding to a study by JWT indicated that they have used a credit card during the last 12 months, and 85% of millennials used cash (compared to 95% of older people). About 70% of members of Gen Y said that they think the way people pay for things will be radically different five years from now.
In fact, 44% of millennials responded that they would prefer to whip out their mobile phone to purchase small items rather than handing over cash. Many people want to use mobile payments because they make for faster purchases (50% of millennials, 31% of Gen X and 26% of baby boomer feel this way).
You don’t want to be left in the dust, as nearby stores continue to roll out mobile payment capability and shoppers flock to them in droves. Whether you run a coffee shop or restaurant, work out of a home office or are an entrepreneur spending much of your time on the road, offering mobile payments is your best option for staying relevant and keeping your customers happy.
If you’ve come to realize that the best way to ensure the long-term success of your company is to let customers make payments the way they want to, using their portable devices, it’s time to get on the right side of the mobile payment war. The winners of this battle can expect to gain more market share from rivals as well as develop more loyal customers when they make mobile payments a routine part of their business.