Running a business is all about capturing customers and making sales. As a consequence, you’re always looking for new and innovative ways to convert leads into paying customers. There are loads of different ideas and techniques to try – and the backbone of your success is a solid business plan with a great product/service.
At the same time, there are simple tricks you can use to drastically increase your customer acquisition rate. Today, we’re going to look at one specific trick a lot of small business owners don’t tend to consider. It requires minimal effort yet has a huge impact on your success.
What is it? Well, it’s the simple idea of implementing multiple payment methods in your business. How can you do this and why is it so important? Let’s find out!
How do you add multiple payment options?
When we talk about multiple payment options, we’re talking about giving your customers more options to pay for things. You can do this in a variety of ways depending on how your business is set up.
For instance, imagine you run an online business. Initially, you may only accept debit card payments. It’s a popular method, but it comes with a drawback; not everyone likes paying for things with debit cards and it takes extra time to type your details in. As such, you could add different payment methods – like PayPal, Apple/Google Pay, and credit card payments. Immediately, there are three or four different ways for someone to complete a payment – a few of which are must faster and more secure.
What about businesses that don’t take online payments? If you run a cafe, restaurant, or traditional retail store, you can maximize revenue by implementing new ways to pay. Instead of a standard payment processing point that takes traditional card payments and cash, you can find new card present payment processing equipment that accepts contactless payments. As a result, customers can pay using contactless cards or their mobile devices.
The same can be said of small businesses where you work with clients. Perhaps you go to people’s homes to provide a service, or they come to you. In most cases, small business owners will accept cash payments. But, as we move into a cashless society, you may miss out on lots of customers if this is the only way you accept payments. Purchasing a card processing device will immediately open you up to new customers who don’t carry cash around with them.
Why does this capture more customers than before?
By now, you’re thinking something along the lines of this: how will adding new payment methods capture more customers than before? You’re changing nothing else about your business, so why would this draw in more customers?
It’s simple, you’re improving the customer experience.
If you only offer one payment method, you’re only catering to one specific section of your target market. Let’s say you have a site that only takes debit card payments. You don’t think it’s an issue, but data shows that debit cards are only the preferred payment method for 12% of online shoppers. In theory, there are people out there who might buy things from your site if you had other payment methods. Instead, they look elsewhere because the method you offer inconveniences them.
This is even more true when you look at physical small businesses. Many people will walk into a shop or see a market stall and avoid spending money if cash is the only option. However, if they can use card payments – particularly contactless ones – there’s an increased likelihood that they’ll make a purchase.
Does this make sense? Only having one method of payment means you neglect so many consumers with other preferences. Opening up new payment avenues will instantly mean your business is attractive to the wider consumer market.
Moreover, think about adding new payments like Klarna or other options that allow consumers to split their payments up over a few months. The idea of buying now and paying later is hugely popular amongst some sections of the population – especially for large purchases. Adding in an option like this can help you capture more customers as people who thought your product was too expensive can suddenly afford it!
Summary: Add as many payments as possible
The key thing to take from this article is that you should add as many payment options as possible. Cater to more consumers and you avoid blocking some out. You provide a more convenient customer experience, which is why more and more people will start buying your products/services instead of going elsewhere.
