What Payment Channels Should Your Small Business Set Up in 2021?

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Small businesses cannot afford to be ignorant of the trends that have the potential to increase sales and bring in more new customers. That’s why, even if most SMBs run on a tight budget, it’s mandatory to have a diverse payment system with several channels.

By allowing people to use a payment channel they are comfortable with, you increase the chance of them choosing your brand over the competition. It’s also easier to make a payment when there are several solid options at your disposal.

Still, it can be costly to maintain a wide array of payment channels, which is why it’s important to identify the ones that work best for your business. Moving forward, we’ll talk about the most popular payment channels and how they can help your small business.

Credit Cards

Online shopping and the development of secure credit services mean that a large majority of people will have credit or debit cards as their main method of payment. So, whether you have an e-commerce store or a brick-and-mortar one, secure credit card payments are a must-have.

Considering the increasing level of cyberattacks on small businesses, customers’ data safety needs to come first. That’s why it’s important to find a business system payment designed for security and speed (customers want speedy checkout).

Plus, knowing that most cyberattacks are successful because of human error (usually coming from employees), it’s equally important to find a system that lets you control who on your staff has access to payment details.

Old-School Channels

While the world is speedily moving towards online and card payments, there is still a small section of society that prefers old-school cash and check payments. These are usually elderly people or people who are not up to date with the latest technologies.

If they are a segment of your target audience, you should include these payment channels in your offer. Also, it helps to provide them with different check ordering channels from trustworthy sources. This way, you can make sure to reduce the risk of receiving bad checks.

Mobile Payments

Millennials, Gen Z, Gen X, and now the pandemic made it clear that businesses that want to stay in the game need to introduce mobile payment methods. It doesn’t matter if you own an e-commerce store or a delivery business, customers need to have the option to pay at their door when they receive the product or service.

This is easily done with a mobile card reader connected to your business database. Plus, an advanced mobile point-of-sale system can store part of the customer’s payment information (securely) which makes it easier for returning customers.

Online Payments

Whether it’s PayPal, Venmo, Stripe, or paying online using your credit or debit card, online payments are on the rise right now. In fact, the e-commerce websites’ recent popularity is due (in part) to online payment services.

Again, online payments are not just for e-commerce stores. They also work for food & grocery delivery services, catering businesses, auto repair shops, and more. Not to mention that, when you pay online, you avoid making direct contact with the person at the registry or handling the mobile POS. In today’s day and age, this is the safest method for anyone.

Key Takeaway

By offering people options, you show them you are a trustworthy retailer who supports their right to choose. Furthermore, no-contact payments are highly recommended in today’s day and age, and specialists predict the trend won’t subside once we overcome the pandemic.

However, to promote growth and have your business’s best interest in mind, it’s best to understand who your audience is. This way, you don’t risk investing in a solution that is not a good fit for your customers.