Businesses accepting digital wallet payments are like a new way of saying goodbye to physical wallets to their customers.
Adding more to this, over the past few years, the e-commerce world, specifically mobile commerce, has been accelerating at a rapid pace. Without any shadow of surprise, over 50 % of web traffic comes from mobiles.
By its very nature, hand-held devices play a significant part in crafting the current shopping behavior of customers. Moreover, innovations comprising digital wallet solutions have entirely transformed the customer experience in real time. These wallet solutions are easily accessible, user-friendly, highly secure, and offer people a more hygienic way of making purchases or making payments.
Reading ahead, you’ll know how to accept digital wallet payments, why businesses should accept digital wallet payments, and why digital wallets are so popular nowadays.
How to Accept Digital Wallet Payments
Your business requires to make a proper setup for their in-person and online payment systems for acknowledging digital wallet payments from their customers.
Maximum Payment Service Providers or payment processing acquirers/providers, including PayPal, Stripe, Square, etc are already equipped with the necessary software and hardware for businesses that are authorized to accept online payments via digital wallets.
In this section, you can have a glimpse of how to accept digital wallet payments on mobile apps, the web, and in person.
Accepting Digital Wallet Payments in-Person
It becomes necessary for your business to have card readers or POS terminals that have NFC technology for accepting touch-free payments for in-store or in-person transactions. There are many leading payment terminals, such as PayPal or Square with some integral capabilities that can help your business in accepting digital wallet payments or cross-border transactions.
Accepting Digital Wallet Money on the Web
Many businesses are already using a payment gateway, such as PayPal, Stripe, or Square if they are already accepting global payments on their apps. It also implies that your business has the potential to acknowledge and assist digital wallet transactions.
A few payment gateway alternatives help businesses by offering one integration for all digital wallets. With the help of it, closed-loop wallet options such as Apple Pay or Google Pay also are enabled automatically. Your customers also get access to scan QR codes with their smartphones to finish off any online transaction.
Accepting Wallet Payments Via Mobile
Many payment gateways accept or support digital wallets on mobile devices too. This feature allows customers to proceed further in their payment processing by validating their digital wallet credentials during checkout with the help of biometric authentication, like face recognition, fingerprint, or typing a passcode.
Also, with the help of these above-mentioned technologies only, the user has the authority to log into their mobile wallet app.
Why Should Businesses Accept Digital Wallets?
Regardless of the size, niche, and scale of your business, accepting digital wallet payments has a lot of advantages. These benefits include:
Enhanced Customer Experience
With minimal payment friction, digital wallets help in an effortless customer experience as they’re easy and quick to access from any device your customers operate while making payments.
Enhanced Security
Digital wallets make use of tokenization to hide confidential customer information which enhances security. Security is a prominent element in every industry and digital wallets are one of the major contributors to guaranteeing the security of your business and customers’ financial ecosystem.
With the help of advanced tokenization and encryption technologies, it safeguards customers’ personal payment information. Sharing digital wallets, and debit and credit card details helps in generating unique tokens for every transaction your customer makes, which adds more security to the entire system.
In addition to this, biometric authentication payment techniques, like fingerprints, facial recognition, and voice recognition further enhance security. It also helps in reducing fraudulent and unauthorized access risks.
The robust security of digital wallets makes them a trustworthy tool among businesses and their customers for efficiently managing their finances.
Better Authorization Rates
With the use of tokenization in digital wallets, there’s an increase in authorization rates in the form of quicker online checkouts.
Customers make purchases by digital wallets as they can directly pay with a face scan, or fingerprint within a few seconds or minutes. Your users don’t need to worry about manually entering their card information every time they make a purchase.
Upgrade POS both In-Person and Online
With a great number of consumers adopting digital wallets to make their purchases, ensure that your business has NFC-powered POS or payment terminals for making contactless payments. Also, to run a successful business, it’s important to note that you must include some of the top-notch and popular digital wallets in your online payment offerings.
For in-store businesses, your customers are free to use their preferred digital wallet from their smartphones. Next, they can select their choice of card and finally, tap their device adjacent to the card reader or payment terminal to complete their online transaction.
Businesses that are accepting digital wallets are making ways to enhance customer experience by simplifying their online transaction procedures or checkout process.
Digital Wallet Acceptance is Already a Hit?
According to a recent study, on average 48% of people worldwide don’t shop from stores that don’t offer them contactless payment alternatives.
Seeing the current trends, it’s no surprise that businesses are accepting digital wallets in an unprecedented manner both in-store and online. It just requires dedication and trust in technology that makes the digital wallet system one of the best options for online transactions.
Some cloud-based POS solutions, P2P transfers, P2M transactions, and APIs enable effortless processing, G2P mobile payments, and airtime top-up features allow convenient and secure digital payment services.
Organizations that require gathering consumer data for planning their marketing strategies can benefit a lot from digital wallets. Businesses understand consumers’ purchasing habits and they hold the power to escalate the efficiency of the marketing tactics and strategies of their services and products.
Conclusion
Many businesses are making it possible for their customers to use digital wallets in several countries. With this, they are also increasing their involvement and global presence considering the financial markets.
Digital wallet solutions are becoming crucial for businesses that care to offer a secure and seamless shopping experience to their valuable customers. Thus, to start supporting and accepting such payment systems one must use a holistically integrated POS or payment terminal.
These card readers/payment terminals function as a one-stop solution for putting an end to the requirement of having hectic cash registers, separate checkout screens (customer-facing displays), and scanners.
Additionally, companies can integrate them with any app or software that people frequently use. This helps businesses give a trouble-free and enhanced customer experience that leads to an increase in conversion rates and customer loyalty.