Choosing the Right Payment Processor: What You Need to Know

Choosing a payment processor or online payment gateway can be difficult, whether you're just starting out or looking to make a change. There are a lot of options, after all, and when they all claim to be the best solution for your company, it can be difficult to know what to look for.

Payment is often the last chance your company has to make a good impression on customers, so it's critical to get it right. Here are some considerations to help you make the best decision.

The importance of accepting non-cash payments

Even in industries that have traditionally relied on cash, accepting non-cash payments is essential. In a world where many customers do not carry cash on a regular basis, refusing to accept card payments limits the amount of growth your business can achieve.

Why else should your company accept card payments in addition to cash? Card payments are essential for expanding your business online. They are the most-trusted method of payment for online purchases. Younger consumers prefer them because they are more likely to want to use tap to pay and other contactless options. Even as we begin to recover from the pandemic, studies show that customers will continue to use lower-contact channels of pickup for quite some time. Card payments make this a more secure option – customers can either pay online when placing their order or use a tap to pay when picking up their purchases.

Accepting card payments has numerous advantages. Customers who pay by card typically check out faster, and your staff spends less time dealing with change, resulting in more accurate and efficient transactions. Accepting card payments also means you'll keep less cash on hand, and you'll be less likely to lose money by accepting counterfeit bills.

What payment options does your business need?

When looking for a payment processor, take the time to learn about the solutions available in your industry and what your typical customers are looking for. Here are a couple of examples:

Travel and tourism businesses frequently require the ability to accept and convert foreign currencies, both in-person and online, and another useful feature is the ability to send booking information and confirmations seamlessly via email.

Restaurants will want to accept card payments in addition to cash. Customers can pay at the table using wireless terminals, which also include options for check splitting and tipping. Payment solutions such as gift cards and loyalty programs can aid in the development of a loyal customer base. Furthermore, online ordering allows customers to pay in advance for takeout orders, reducing the time it takes them to get home to eat.

Retailers with an eCommerce option can provide more flexible shopping options: in addition to expanding your business's scope with delivery, this allows local customers to place orders for pickup.

For businesses in a regulated industry where customer age and location are strictly controlled, it is critical that your payment processor or the best online payment gateway handles compliance on your behalf.

Do your research

After you've determined what your company requires, it's time to consider the cost. But keep in mind that you get what you pay for, and while the low-cost option may save you money in the short term, you may end up paying a lot when a lack of options stifles your business.

Security is another critical issue. Businesses that have been hacked and have exposed sensitive customer information are frequently in the news these days. The good news is... The right payment processor has safeguards in place to protect both your customers and your business. PCI DSS compliance entails not storing payment information, for example. Your payment processor can also help you avoid fraud by ensuring that customer data is correct and that any suspicious transactions are flagged for further investigation.

The right payment processor will be able to connect you to other integrations and services that your business requires. Point-of-sale terminals, click-and-collect options, eCommerce platforms, online shopping carts, and even delivery options: when all of these integrate seamlessly with your payments, you can run your business more efficiently.

You’ll also want to look at customer support. Every business requires assistance with payments at some point, whether it's getting started or resolving a problem on a busy shopping day. Don't lose sales (or worse, customers!) because your payments are delayed for an extended period of time.

Make the right choice

The right payment processor can completely transform your company. You may have a single store right now, but as your business grows, you will most likely want to build an online store or expand into other locations. The right payment solution allows you to easily track and manage inventory in real-time across multiple locations. It can even tell you which products are selling well, how your employees are doing, and which promotions have been the most successful. A successful business necessitates a great deal of effort! However, with the right payment processor, you can easily manage your business more efficiently.