The most popular way to pay is still credit and debit cards. These cards are accepted by most merchants and offer a variety of benefits, such as rewards programs and fraud protection. However, there are a number of other payment methods that are gaining popularity, such as:
- Digital wallets: Digital wallets, such as Apple Pay and Google Pay, allow users to store their credit and debit card information on their phones. This makes it easy to make payments without having to carry physical cards.
- Cryptocurrency: Cryptocurrency, such as Bitcoin and Ethereum, is a digital or virtual currency that uses cryptography for security. It is decentralized, meaning it is not subject to government or financial institution control.
- Contactless payments: Contactless payments allow users to make payments by tapping their cards or phones on a reader. This is a convenient and secure way to pay for small purchases.
- Buy now, pay later: Buy now, pay later (BNPL) is a type of financing that allows users to split the cost of a purchase into installments. This can be a helpful way to make a purchase that you can’t afford all at once.
The way we pay for things is constantly evolving, and it will be interesting to see what new payment methods emerge in the years to come. What doesn’t change however, is leeping your customers happy when it comes to making payments. This simple fact is more important for your business than you may realize.
Today’s customers want to have a wide variety of payment options available to them when it comes to making a transaction for the purchase of goods and services. The more options that you can offer them, the more chance there is that they’ll return in the future thanks to their great experience last time. However, with the range of payment options to choose from on the rise, picking which ones are going to be worth offering to your customers can be a little tricky. So, it’s good to know which payment and transaction options are the most popular amongst the customers of today.
#1. Debit Card
Today, paying by debit card is by far one of the most popular options for making a transaction, whether a customer is purchasing online, in person, or even over the phone. Debit card payments are secure, quick, and convenient. In person, all it takes is the entry of a PIN, or in some cases, contactless payments can even be used for a faster and more efficient payment experience. With the option for cardholders to save their debit card details to their smartphones, tablets, and laptops, it’s never been easier to make a transaction online using a debit card payment. Although other payment options are certainly growing in popularity, this remains one of the main go-to methods and should be a must for all businesses.
#2. Direct Debit
When making regular payments for a service, subscription, or contract, direct debit is certainly one of the most popular transaction options amongst customers today. The option to set up direct debit collections from their account ensures that regular payments are made on time, therefore taking away the hassle of remembering to pay and making a manual transfer. With a direct debit payment, there’s no need for customers to waste time remembering banking details or setting reminders to pay on a certain date. Along with that, direct debit payments can also be scheduled on a date to suit them, such as payday. For greater efficiency, consider setting up cloud based direct debit software that makes the entire process much easier to manage.
#3. Smartphone Payments
When paying in person, smartphone-based payment methods such as Apple Pay and Android Pay have become more and more popular in recent years. These payment services allow customers to add the details of an eligible debit or credit card to their smartphone, turning their device into a payment option when at the till. When the application is opened, the smartphone is simply tapped onto the card reader where it works just like a contactless card. In some cases, customers may even be able to add a non-contactless card to their smartphone’s Pay service, for extra convenience. In a world where convenience is key, it’s no surprise that this is quickly becoming one of the most popular in-person payment methods today.
When paying for goods and/or services online, the main priority for today’s customer is knowing that their payment details are secure. So, it’s no surprise that payment services such as PayPal have become a very popular way of making an online transaction. Along with that, PayPal takes a lot of the hassle out of purchasing something online. Since the customer’s card details are saved in their PayPal account, all they’ll need to do is enter their PayPal email address and password before being able to make the payment instantly. There’s no need for them to enter their card details into the site directly.
Last, but not least, don’t forget that cash is still one of the most popular ways of making a transaction today. Whilst electronic payment methods, debit cards and credit cards are certainly being used more than ever before, many customers still prefer to carry cash and pay with paper wherever possible. This is for a variety of different reasons – some customers prefer the anonymity of paying in cash whilst others find it helps them to manage their spending better. So, don’t stop accepting cash payments for your business just yet – it’s still very much in demand.
Do you offer the option to pay by another method not mentioned here? We’d love to hear from you in the comments.