Online businesses depend on customers being able to quickly and easily pay for purchases over the Internet. If the payment process is too complex or confusing, it can be the kiss of death for an Internet-only business. Here are three ways businesses can simplify transactions so that customers will be eager to do business with them.
Third-party payment services sometimes allow users to pay directly from their bank accounts. It’s a good idea to sign up with this type of service because not every consumer has a credit card or is willing to put credit card numbers into an online form. If businesses allow customers to use a third-party service to safely and securely transfer money directly from their bank account or debit card, these customers will be more likely to make a purchase. As an added bonus, most third-party services make it easy and more convenient to pay — customers just have to click a button and sign into their accounts. As another added bonus, this can cut down on involuntary churn quite a lot, as credit card expiration dates are no longer an issue.
If a business offers monthly subscription services, setting up automatic payments makes it much easier for customers to keep using the service. Instead of having to sign into their accounts and make a payment each month, users can sign up for auto pay and forget about it; all they have to do is make sure the money is in their account prior to the payment date. Consumers are much more likely to make on-time payments using this type of system because it makes it so simple for them to pay.
If a business uses a third-party provider, it still has to depend on its bank and the customer’s bank for payment, and this transfer can take 24 hours or more to clear. In order to simplify the payment process, consider using an instant transfer method such as wire transfers or bitcoin. Instant transfers are superior to other payment methods because the consumer’s account is debited and the business’ credited as soon as the payment is made.
The easier online payment is, the more likely customers are to do business over the Internet. There are many ways to simplify the payment process; the important thing is to offer flexibility and automation whenever possible so that consumers can pay in the way that’s easiest for them.
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