When the world wide web became available to the public in the early ’90s, the growth of eCommerce and online shopping wasn’t far behind. With triple-digit growth seen annually since its emergence in the mid-1990s, online shopping now accounts for 13% of all U.S. retail sales. Accepting online payments is no longer an option for your business, it’s a must.
One of the major benefits of accepting payments online is the ability to get paid faster and in some scenarios, expand your revenue outside your local area of business. For professional service businesses such as legal consultations or therapeutic services online invoicing lets customers and clients the ability to pay for your products and services from anywhere at any time.
Whether you’re currently transitioning your company to a digital format or you are interested in finding a more convenient approach to get paid faster, here are 10 ways your business can accept payments online.
Accepting Payments Online using Credit and Debit Cards
As a business owner processing payments using a credit card or debit card is most common. The process uses an ACH transfer (Automated Clearing House transfer) or the transfer of money electronically from the customer’s bank account through the ACH network to the merchant’s bank account.
ACH transfers don’t require a payment gateway to be processed (although you do need a merchant account). ACH payment processing fees are usually lower than credit card processing fees and are charged either per transaction or at a flat rate. For scenarios where the card isn’t present, you can use its details to perform contactless payments via online or digital payment gateways.
Mobile Payment Processing
As payment technology continues to advance financial institutions are increasingly providing customers with the ability to use mobile phones for banking transactions. This increases your customer’s ability to pay for just about anything from anywhere. Accepting mobile payments saves time by allowing you to collect compensation right from your phone or tablet.
With additional payment processing methods such as Apple and Google Pay on the rise, cloud-based payments have become a necessity. Most credit card processors use cloud-based technology, so your data, as well as your customer’s information, is secure. In other words, mobile payments are secure, fast, and convenient.
eChecks Through ACH Process
An eCheck is simply a form of online payment. Money is withdrawn from the payer’s checking account through an electronic funds transfer (EFT). Funds are electronically withdrawn from your customer’s account, sent via the ACH network to the payee’s banking institution, and then electronically deposited into the payee’s account.
eChecks are one of the most popular types of recurring payments. Funds are verified within 24 to 48 hours of the transaction being initiated. Should the payer have the funds available in their checking/bank account, the transaction is cleared within 3 to 5 business days and the funds are moved from the payer’s account to the payee’s account.
Click to Pay Email Invoicing
Email invoicing is the exchange of the invoice document between a business and a customer in an integrated electronic format. Traditional invoicing is manually intensive and often prone to human error resulting in increased costs and payment processing lifecycles for your business.
Email invoicing or electronic invoicing is an easy and safe way for businesses to send out online payment requests. With a simple click, your customers can open the invoice via email, input their preferred payment information, and pay you instantly.
With email invoicing, you’re also able to schedule payment reminders and recurring payments for long-term customers.
Also known as auto-pay, recurring billing the customer has authorized the merchant to deduct payments for recurring goods and services each month from their bank account. Payments can also be made with a securely saved debit or credit card. Recurring payments prevent late fees by processing payments on or before their due date.
Recurring billing is effective for a wide range of businesses. Not only does it decrease late or missed payments, but it also improves your cash flow and assists your business with long-term financial planning.
SMS Text Payment Requests
SMS payments allow businesses to request payments and for customers to pay for goods, services, or products via a text message sent from a mobile phone. With the SMS payment system, purchasers send a text message to pay for an item or service.
With a 95% open rate over email invoicing, sending customers SMS text payment requests minimize your turnaround time of getting paid and optimize the opportunity for your customers to pay using digital payment options directly from their smartphone.
Related Article: What is Text To Pay And How Can You Leverage It For Your Business
Contactless Payment Options
It’s estimated that contactless payments by mobile apps, like Google Wallet, PayPal, and Apple Pay, are expected to amount to $190 billion in transaction volume by 2021. If you have an online payment system that accepts these forms of payment, you increase your opportunity to reach your target audience and close a sale.
Offering contactless payment solutions provides safe and efficient payment options for your customers. Outside of mobile payment solutions, there are various types of contactless payments, including touch to pay credit and debit cards, Apple Pay, Android Pay, Google Pay, Fitbit Pay that can be used via smartphone or smartwatch, as well as other contact-free devices.
A Virtual Terminal is a web-based payment application that assists your business with sending invoices, scheduling future & recurring payments, and securely save payment information for customers with recurring charges. Fit for businesses that primarily operate over the phone, require online invoicing, or have recurring monthly memberships virtual terminals incorporate your entire payment experience into one easy-to-use platform.
Built into your integrated payment platform a virtual terminal allows your business to accept a variety of online payment types including debit, credit, and ACH bank payments all from your dashboard.
eCommerce Shopping Cart
eCommerce refers to internet-based stores selling goods and or services to customers. This online shopping network allows people to do business without the constraint of distance and time.
Simply put, once a customer has added items or services to their online shopping cart, they can go directly to the checkout page. There, they can pay with a credit or debit card, processing their payment digitally. This process allows your customers to complete their entire purchase without ever having to leave the business’s website.
Payment Gateway Plug-Ins
A payment gateway plug-in authorizes credit cards or direct payment processing for e-businesses, online retailers, or traditional brick-and-mortar stores with an online presence. Adding a payment gateway plug-in to your business website allows you to seamlessly process payments directly from your web store.
Adding a payment gateway plug-in is an ideal solution for businesses interested in selling goods and services online via an eCommerce store. Doing so makes purchasing quick and easy for customers and expands your client reach, expanding your business’s ability to generate revenue exceeding your local area.
How Can Stax Help Your Business Accept Online Payments?
Online payment solutions are crucial to modern business. Without them, you are unable to accept payment methods that are becoming an industry standard.
While card-not-present rates tend to be higher, with Stax you save more on the costs. Not only will your business have access to the wholesale card-not-present rates, but you’ll also gain access to the Stax Platform. This helps your business easily streamline payments increasing flexibility in how you receive payments between in-store and online.
Whether it’s invoicing, recurring billing, pay by phone, contactless payments, or being able to receive payments through your website, Stax offers multiple online payment options that can help your business succeed.
Reach out to Stax for a consultation today.