4 Mobile Payment Types & Benefits For Your Online Store
Are you really an online business owner if you’re not providing multiple mobile payment types for your customers?
I’m not the judgy type, but in 2023 and with so many options at everyone’s disposal, you have to meet your customer where they’re at. And chances are…that’s on their mobile device.
That’s why your online store needs to set up mobile payment processing.
Don't worry, it's not rocket science. It's actually pretty darn simple for merchants out there. But here's the deal: it does take a little bit of work in the beginning. Think about it as embracing the future, where your customers can just wave their phones and boom, payment done. No need for fumbling around with cash or cards. It's all about speed and convenience.
So, it’s high-time you got on board with this mobile payments trend and invested in a snazzy point-of-sale system that can handle all those boundless contactless payments and digital wallet transactions. (I mean why not manifest it, right?)
Let's make shopping easier and more fun for everyone!
In this article I’ll get into the following topics:
- What mobile payments actually are
- What types of mobile payments exist?
- Why you need mobile payments
- How you can implement mobile payments into your online business
Let's make shopping easier and more fun for everyone. Ready?
What Are Mobile Payments?
So what are mobile payments, exactly? Mobile payments refer to any payment made using a mobile device. Instead of paying with cash, check, or physical credit cards, a user can use a mobile device to pay for a wide range of services and goods. Here's a breakdown:
4 Types of Mobile Payments
Now that you’re on board the mobile payment train (woot woot!), it’s time to actually learn what kinds of mobile payment exist out there. Let’s get into it!
1. Mobile Wallets
Think of a mobile wallet as your digital all-in-one buddy. It holds your card info and lets you pay without lugging your physical card around. The name is pretty self-explanatory. You stash your card details on your phone, and when it's time to pay, zap, and they transmit to the checkout. Plus, these handy digital wallets can stash all sorts of cards—loyalty, transit, boarding passes, and more. Convenience in everything? Yes, please.
Ready to go for snappy contactless payments, mobile wallets usually work with a quick PIN or a simple tap of the ol’ finger. Apple Pay, Google Pay, and Samsung Pay are some of the staples in the mobile wallet game.
2. Mobile Credit Card Readers
Credit card machines are becoming a thing of the past. Okay, maybe that’s a bit dramatic, but there’s no doubt that mobile and wireless credit card readers are a convenient option for online businesses. You can turn your phones or tablets into credit card machines by investing in credit card processors that pair with your mobile or tablet devices or they go into your headphone jacks. Pretty sure we’ve all come across Square somewhere at this point.
These mobile readers allow businesses to swipe, dip, or tap credit cards (just as they would with countertop card readers) and accept payments on the spot.
3. In-App Mobile Payments
Picture this: Your potential customer sitting on their couch, thinking about how they were meaning to purchase your product or service that they’ve been seeing around. And the best part? They can do it right then and there. How? In-app mobile payments.
This isn't your run-of-the-mill browser-based transaction. It's akin to a superpower, some might say. Instead of having your audience surfing through websites, you can let them dive straight into their favorite apps (ehem, yours).
You might be wondering, "How does it all work?" Your customers just need to register their credit card, debit card, or ACH info (an electronic fund transfer made between banks and credit unions across what is called the Automated Clearing House network). With a few swift clicks, they can get their hands on whatever you’ve got to offer. It's so fast and convenient that you’ll wonder why you ever bothered with cash or endless website forms. And your customers will, too.
4. Browser-based Mobile Payments
All of these fun payment methods don’t mean that mobile browser-based payments aren’t still important, though.
Similar to desktop browsers in function, browser-based mobile payments allow your customers to hit up your website and easily toss whatever they need into their virtual shopping cart, without having to learn any new app functionality.
Like any other desktop browser payment, your customers type in their credit card, debit card, gift card, or banking info into your website's checkout form, and—cha-ching—they’re all set.
Why You Need Mobile Payments
You might think your business is surviving just fine without mobile payments. But reality is, mobile payments are a win-win situation for both you and your customers. Let’s get into the juicy benefits.
Convenience for you and your customers
First up, convenience galore. Mobile payments make life easier for your customers. They can simply tap their phone or credit card at the point of sale, or make smooth online transactions using credit cards or common payment apps like Google Pay, Shop Pay, or Apple Pay. No more hassle, just quick and easy payments, which lead to quicker (and easier) purchase decisions for your business.
Secure payments
Mobile payments are as secure as they get. Why? Because they happen on mobile devices that require authentication. Think fingerprint scans, facial recognition, or passcodes. This decreases the chances of anyone getting their hands on customer data. Good luck to anyone trying to guess your old phone number from 8th grade. Plus, these devices encrypt their transmissions, so intercepting data is a nearly impossible task.
Speedy payments
Now let's talk about speed. Mobile payments are quick when it comes to transaction processing. That means mobile checkout is just as fast, if not faster, than swiping a credit card. With mobile payment systems, your customers can put long waiting times behind them and make speedy transactions on your online store. It's all about removing barriers.
Reaching more consumers
More convenience…means, you guessed it, reaching more consumers. Mobile payments are like The Flash of transaction processing—they're so quick that swiping a credit card looks like slow motion in comparison. With mobile payment systems in place, your customers, who probably already spend most of the day on their phones, can wave goodbye to those pesky waiting times and say hello to lightning-fast transactions on your online store.
How To Implement Mobile Payments Into Your Online Business
As you’ve probably gathered by now, implementing mobile payments into your online business can be a game-changer, opening up new opportunities to reach customers and streamline your transactions. From choosing the right payment processing software to which buy now, pay later platform to implement, there are some steps and considerations to help you make this transition:
1. Choose the right mobile payment solution:
Research and select a mobile payment gateway provider or service that suits your specific business needs. Popular options include PayPal, Square, Stripe, and mobile wallet platforms like Apple Pay and Google Pay. Each has its own features, fees, and compatibility, so choose the one that aligns with your business model.
2. Integrate the payment gateway:
Once you've chosen a mobile payment provider, integrate it into your website or mobile app. Most providers offer developer-friendly tools and APIs to make this process relatively straightforward. If you're not tech-savvy (don’t worry, we have our moments too), you can hire a developer to do the integration for you.
3. Ensure security and compliance:
Security is paramount when dealing with financial transactions, so make sure your chosen payment gateway is compliant with industry standards and regulations, like the Payment Card Industry Data Security Standard (PCI DSS). It’s also important to ensure website or app is secure, with SSL encryption and robust security measures in place to protect customer data. You know, just housekeeping.
4. Create a mobile-friendly user experience:
You’ve gotta optimize your website or app for mobile users. Your payment process should be seamless, user-friendly, and responsive on various mobile devices. Test it thoroughly to ensure a smooth experience for anyone who reaches those touch-points.
5. Offer multiple payment options:
Not all customers use the same mobile payment method. To cater to a broader audience, provide multiple payment options. This can include credit/debit cards, mobile wallets, and even, dare we say it, cryptocurrency, depending on your target audience.
6. Promote mobile payments:
Educate your customers about the convenience and security of mobile payments. Highlight any incentives or discounts for using mobile payments, such as loyalty rewards or exclusive offers. Who doesn’t love those?
7. Monitor and analyze your payment system’s performance:
Look for trends in payment methods, transaction volumes, and customer feedback. Use the data to make informed decisions and adjustments.
8. Provide customer support and assistance:
Make sure that you have customer support in place to help users with any payment-related issues or questions. Even though we’re all online, that human touch just matters. This helps you quickly address any payment disputes or concerns from your audience to maintain customer trust.
By implementing mobile payments into your online business, you can make transactions easier for your customers, potentially increase your sales, and stay competitive in a rapidly evolving digital landscape.
The Future of Payment Is Here
As an online business owner, embracing this trend is not just about keeping up with the times, but about optimizing the shopping experience for your customers. By integrating mobile payment solutions, you not only cater to the tech-savvy generation but also ensure secure, swift, and seamless transactions. Whether it's through mobile wallets, in-app payments, or browser-based solutions, the future of ecommerce lies in the palm of our hands—quite literally. So, as you venture into this mobile-centric world, remember to prioritize user experience, security, and versatility. After all, in the world of online business, adaptability isn't just an advantage; it's a necessity.
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