Digital payment methods are something that is helping the merchants amid this COVID-19 situation. Yes, analysing the present situation where maintaining a 6 feet distance is mandatory, you cannot completely rely on the cash transaction. This is why the merchants are looking for an innovative way through which they can put up with the current situation. Digital payment methods assist the merchants to accept cashless transactions. Moreover, it also allows the merchants to accept card-not-present transactions. Most people are thinking that these are temporary payment methods. After the end of this pandemic situation, people will again start using those old-fashioned payment methods. Anyway, this is not completely true. These digital payment methods are the future. These methods are leading the digital business forward.
Understand The Ecosystem Of Digital Payment Methods
In order to put up with the current situation, the merchants must understand the new ecosystem of digital payment methods. There are a lot of advantages of using these payment methods and this is why merchants need these events after the end of this pandemic situation. Well, we will cover the advantages later. Before getting into those advantages, the merchants must understand this technologically advanced ecosystem. The ecosystem of these digital payment methods is completely different from that of cash transactions. In the case of cash transactions, you will have to deal with human errors. Moreover, if customers are paying with paper checks, the merchants will have to wait for a long period of time to get that amount in the bank account.
On the other side, digital payment methods are advanced, reliable, and secure. Yes, the merchants and the consumers will get benefits from this. It is a real-time process and we at Rapidcents truly believe that merchants need to understand this process. Therefore, we have elaborated the process below:
The Real-Time Process
- Consumers initiate this real-time online transaction process. First of all, they put the credit card details or the debit card details on the online checkout page.
- Next, an online payment gateway comes into play. Yes, the online payment gateway sends this information to the online merchant processor in a very secure way.
- After that, the main task starts. Yes, the virtual payment processor mainly deals with the bank that issued the cards to the consumers and the credit card brand. So, the virtual payment processor forwards the information. The brand gets the information and sends it to the bank that issued the card to the consumer. The bank actually does the main work. Yes, it checks the account and if the customer has the required amount in the account, the bank gives a green signal.
- After getting approval from the financial institution, the card brand sends the information to the virtual merchant processor solution. Well, the merchant processor does the final settlement.
So, by now, you have realized how this advanced ecosystem works. Well, this is a real-time, online and paperless process. These financial organizations work behind the curtain to make it successful. Anyway, the merchants need a merchant account for using these advanced payment services. There are many virtual payment processors such as Rapidcents providing merchant account. Apart from having a merchant account, the merchants will also have to pay credit card processing fees. Yes, these fees are mandatory. But, if you run into the advantages that we have explained below, you will definitely pair these digital payment methods with your marketplace.
Advantages Of Digital Payment Methods
Well, we must admit the fact that digital payment methods are getting huge attention from consumers. Moreover, the merchants have also understood the advantages of these payment methods. We have made a brief breakdown of the advantages of digital payment methods. So, check them out
Increase The Overall Cash Flow
Well, both in the cases of online business and offline business, the merchants want a smooth cash flow in their business. Every merchant all over the globe is trying to utilize new strategies so that they can see an improved cash flow in their business. Digital payment methods can be the ultimate option in this regard. First of all, it will help the merchants to experience an uninterrupted cash flow. On the other side, it will allow the consumers to make payments in their favourite modes. So, the customers will never discontinue their cart on the checkout page. In the end, you will experience a stable cash flow.
Have International Customer In Your Customer Base
Well, having an international customer is very important. You will have a higher chance to increase your brand value. Moreover, if you give satisfactory service, those international customers will promote your business in their personal circles as well. In the end, you will have a strong customer base.
Not A Rapidcents Merchant?
Rapidcents is a renowned payment processor. This virtual payment processor is offering a merchant account. Apart from this, you will get other services such as fraud prevention, virtual terminal, and many more. So, do not just wait. Become a Rapidcents merchant today.