On TV, criminals and people with shifty intentions pay cash, because it doesn’t leave a paper trail. In the real world, the role of cards has shifted slightly. Initially, they were used as a form of credit, a loan that let you buy nice things when you didn’t have the cash. But as more and more people have fallen into debt, we’ve changed our attitude towards cards.
A lot of consumers use them to control and monitor our spending, because we can review our card statements later and adjust our habits. Alternatively, we can set a spending limit we’re comfortable with, and use that limit to manage our money. That kind of customer rarely carries cash, so if you don’t take cards, you lose their business. In what other ways can your bottom line profit from credit card acceptance?
Issue loyalty cards
Cash is flexible. Customers can use it in any store that can make change. And with so much competition in any sector, you want an extra reason for customers to come to you. If there are fifty shops in your neighborhood selling the same designer shoe brands, how do you make customers buy those shoes from you? Loyalty cards or loyalty accounts are a good technique.
This way, customers will buy their favorite item in your store, even if it’s available everywhere else, because their loyalty points can be redeemed for discounts or prizes. They get more value for their money.
Sell out of state
It took some time for businesses to latch onto social media as a marketing tool. Now a lot of customers discover brands and business online. Because these customers practically live on the web, it makes sense to shop there too, and you need to have a store located where your customers are. Demand drives supply.
Luckily it’s easy to sell online by building your own ecommerce website. Credit cards are the most convenient way to pay for stuff online, so that has to be part of your plan.
Attract younger fans
For Americans of a certain age (mostly baby boomers), a mortgage was a normal part of life. Everybody had one. The recession shook that dream a little, and younger citizens aren’t as keen on house loans. However, car loans and credit cards are as commonplace to them as mobile phone plans. For this demographic, a card feels more natural than cash, so if you don’t accept cards at your store, you’re pretty much barring that demographic from your customer list.
For more information on increasing sales by accepting credit cards, or to sign up for a merchant account, please call (888) 924-2743 or go to Charge.com.