More customers than ever are using contactless card payments and the trend is only increasing. So have you invested in a card payment machine yet?
A card payment machine used to be an optional extra to a business’ payment process; something not totally necessary but ‘nice to have’.
Just a few years ago, if you were a small shop with a card machine, you would stand out against local competition.
Customers knew you as a handy place where they could drop in to pick up some essential items, without having to worry about how much cash they were carrying.
Today, a card payment machine is essential for businesses of all sizes.
Now, customers are used to getting things quickly.
Same day delivery has changed expectations about buying online.
Contactless payments have changed expectations about how we pay for things in-store.
This isn’t a fad.
Customers expect to make all payments with a simple tap or click.
In-store, they don’t only use contactless cards to pay quickly.
Mobile wallets, such as Apple Pay, have been on the rise over the past few years.
While the COVID-19 pandemic accelerated the use of contactless payments, customers have been moving in this direction for a long time.
With the younger generation leading the way for contactless, businesses must move quickly to future proof, with the ability to accept contactless card payments in-store.
Nearly a third of UK consumers now use a mobile or digital wallet to pay for goods using a mobile device, like a smartphone.
About two thirds of adults now use contactless payments.
Card payment use, bolstered by the uptake of contactless, has been on the rise for a long time.
As far back as 2018, debit cards became the most used way of paying for goods, outstripping cash payments for the first time ever.
This is because quickly tapping a contactless card against a machine is way more convenient than counting cash.
Contactless debit and credit card payments hit 7.4 billion transactions that year, and since then the numbers have only increased.
It is projected that by 2028, debit card payments will reach 22.3 billion, with contactless card payments expected to make up roughly two thirds of the total.
Consumer spending stats during the pandemic have shown a fall in overall payments by consumers.
This is to be expected, widespread enforced shop closures meant customers couldn’t shop in store.
However, the proportion of payments made using contactless increased over the same period.
Customers have less chance to spend their money in store, but they are turning to contactless payments when they do.
Card payments and contactless use is expected to continue rising in coming years.
Coupled with the ongoing trend towards mobile payments using a smartphone or device, there is no going back to the days of cash being king.
As we move further towards contactless payments being the norm, making sure your business is prepared to accept all popular payment options is important.
Your customers expect it.
Being forced to pay using cash has become a massive inconvenience for shoppers.
Who wants to be limited to the cash in their pocket while shopping?
Plus, it’s infuriating when you’re trying to pay for a couple of things only to be told the card machine isn’t working.
Consumers are now used to the convenience of tap and go payments.
As we mentioned above, about two thirds of customers now use a digital wallet, such as Apple Pay, on their smartphone to pay for goods.
By investing in a card payment machine, you’re able to adapt to the payment methods your customers prefer.
A third of consumers would like to see the limit on contactless payments increased beyond the new, higher limit of £45.
Plus, a high percentage of consumers who had previously shied away from using contactless payments, now say they have become more comfortable with them, and will continue to use contactless beyond the current coronavirus crisis.
What is becoming more obvious is that consumers are changing the way they want to pay.
Companies must adapt their card payment process if they want to meet these expectations and win new business.
Customers have a lot more choice now where they do their shopping.
Adapt your payment process to ensure that they stay with you.