If you are a business owner who does not give his customers the option to pay through credit cards, you might be missing out on a large window of opportunity. Whether it’s a brick-and-mortar shop or an online store, accepting credit cards is a surefire strategy to increase sales. Wondering how? Let’s look at a few reasons:
Customers do not like to waste time when buying a product or service. Purchases become quick and easy when made through credit cards. With more flexible payment options, more customers will be encouraged to buy from you because of the efficient and reliable services that your business offers.
Increase Average Ticket Size
Credit cards encourage buying in general, particularly impulse buying. When customers have a more convenient option of making payments, they spend less time thinking over a purchase decision and tend to make impulse buys. In fact, customers who pay with credit cards have been found to spend 20% more than when paying with cash or check.
Legitimize Your Business
Allowing payments through credit card will help establish trust in your business. Customers trust the credit card company enough to buy their cards, and when you offer to accept those cards, the trust will be transferred to your business. By giving clients more options to pay, you will create a positive image of your business and a level of legitimacy that will build rapport with your customers.
Improve Cash Flow
Since credit card transactions are authorized quickly and processed electronically, the proceeds will be deposited into your bank account within a matter of days. This means no more billing, no more waiting for checks to clear, and less cash to handle.
Reach a Wider Audience
By having an online business with updated credit card processing software for payments, you are able to offer your products to potential customers living anywhere around the globe. Automatic currency conversion facilitates international purchases for both the merchant and customer.
Your competitors are most likely accepting credit cards. Given the choice between buying from a business that accepts credit cards and one that does not, customers will be more attracted to the former. Not giving the facility of flexible payment options can put you at a competitive disadvantage.
These are just a few of the many reasons why your business should accept credit cards for improved sales!