Ensure your online payment provider is working for you
From flexible Multi-Bank Connectivity to reduced banking fees and charges, there are a lot of factors that go into finding the perfect payment provider to match your business needs. So, if you’re just getting started or have been considering switching your long-term payment provider to a new provider, here are five critical features to ensure your payment services are working for both you and your customers.
They are bank independent
Multi-Bank Connectivity connects financial institutions and businesses with their customers via a single secure network. This is great for retailers, because it means they’re not being tied to one bank or institution.
Multi-Bank Connectivity delivers strategic bank independence, which enables businesses to access a range of services at the best price from a number of financial institutions – much better than being tied to a single bank.
Advanced payment service providers can also dynamically switch transactions between banks or bank links in times of service disruption to ensure your customers are not affected, thereby improving customer service, while protecting sales and cash flow.
Multi-Bank Connectivity means reduced fees and charges, improved customer experience and service availability. It also ensures you won’t lose out on revenue due to financial system outages, which will, in turn, build customer loyalty.
They explore ways to reduce your business costs
Your payment service provider should always be exploring ways to reduce your costs of acceptance. A recent study found that in August in 2021 alone, Australian retailers paid $67 million in avoidable merchant fees.
There is a wide range of ways your payment service provider can help reduce costs, from reduced bank fees and charges to least cost routing and reduction of your company’s annual security and compliance costs.
Your payment provider should act as a strategic partner and trusted advisor to your business. They should be responsive and adaptable to your needs as your business requirements evolve, and always be willing to help you navigate the ever-changing world of payments.
They offer flexible cloud-native services
Having a cloud-native solution means your business can access multiple cloud-based services without the constraints and rigidity associated with traditional payment platforms.
Cloud solutions also allow retailers to upgrade their systems far more easily as new improvements and upgrades come along via a simple managed services model.
Security is critically important for any retailer, especially when it comes to keeping customer data secure. Thankfully, there are several security benefits of operating in the cloud – as long as it is set up and managed correctly (ideally within Australia).
In general, cloud security is better than on-premise options, due to what is commonly known as ‘the intelligence of the crowd’. Since a number of cloud providers are security specialists, they can better manage known security threats in a timely and cost-effective manner.
They provide multiple, cost-effective payment channels
An ideal payment provider works no matter where and how your customer prefers to pay, whether it’s via a mobile app, on the web, a recurring payment or through a call centre.
Your payment service provider should be able to incorporate a range of payment channels thereby facilitating sales transactions via a seamless omnichannel customer experience.
New payment methods are popping up all the time, so your payment service provider must make it easy to implement new ways to pay without requiring a complete overhaul of your systems.
They can handle and secure large amounts of your data
Finally, your payment provider should be able to augment traditional payment data with additional customer-specific information, allowing you to tailor your marketing and service provision using more detailed customer data to increase brand loyalty and repeat business.
The future of commerce will be heavily focused on online frictionless services which secure data and facilitate information enrichment and the delivery of personalised customer-specific services. Your payment provider should be able to help make this happen.
In short, your service provider should help you protect and grow your business, build your brand, increase customers, and ultimately, improve your cash flow. If your current provider is not able to offer all of the above features, then it might be time to make the switch.
This blog post was written by Michael Donoghue, CEO and co-founder of IPSI, and was first featured in Retail World 360