As the generations move on, there are different age groups that prefer different payment methods. Older generations may not trust the new technology, while younger generations may worship it. Think about your customers and who is part of your business when picking a payment method that works for you. You will want to be able to offer as many payment methods as possible, while still being cost efficient for your business.
The older age group that might be coming through your store is probably wary of technology. They may come armed with cash, or even the good old paper check. Checks and cash can have a downside because someone then has to go to the bank to deposit these, costing you time and money. Senior Citizens have also been brought up to think that American Express cards are a sign of higher status. They are some of the biggest users of this name, however that means higher processing fees for you as a business.
This group tends to favor plastic options. They have been taught to just swipe and sign, as was the motto in the 1970s and 1980s. Debit cards can be somewhat confusing sometimes with PIN numbers and security risks, so they tend to just stick to credit cards, but they may come armed with anything so be prepared
The people born in the 1980’s and 1990’s are a little bit more of a wild card. They are old enough to know that you can pay with a credit or debit card, but they also may favor PayPal or Apple Pay. These are still new to the world of payment processing, and not all shops are ready to accept these forms of payment. Believe it or not, the younger generation also comes armed with cash a lot of the time.
Millennials have grown up with technology all their lives. They don’t remember a time when the internet wasn’t readily available and everyone didn’t have a smartphone. Not surprisingly, they tend to favor the newer method of paying right from your phone. Payment apps like PayPal, Google Pay, Samsung Pay, and Apple Pay are all readily available to them with just a swipe of the cell phone. But are you set up to accommodate this in your payment system? If you are, you may be ahead of the game.
Having the right payment options available could mean the difference between making a sale and not making a sale. Too many payment options and you may find yourself paying a ton of processing fees. Find the balance that is right for your business. With so many options out there, it can be hard. A good way is to start off just offering a few options and see what your customers prefer. Then as you go along, you can decide if you need to add or change anything.
Posted in Payment Processing on Oct 11, 2016