The continuous innovations of the latest technology have led to the digitization of everything, including the payment processes. Especially in the wake of covid-19, everyone prefers contactless payments. Both consumers and businesses are considering more simple, convenient, safer and quicker payment methods. It resulted in the rise of digital payment methods.
Digital payment services are becoming increasingly popular as they are cashless, paperless and contactless payment methods that are safe and secure. Most Businesses these days prefer digital transactions as they are the most hassle-free and convenient methods of making transactions.
The latest technologies allow the world to embrace this convenient mode of transactions through enhanced services like mobile apps powered by AI and Machine learning (ML).
Types of Digital Payment Methods
Various digital payment methods are available today, and some of the popular types of payments that businesses can implement are as follows:
Ø Biometric Devices
With the increasing need for secure payments, biometric authentication is the best way to choose. It verifies people using fingerprint scanners, facial recognition or iris recognition and is the best way to prevent fraud and identity theft. Many digital wallets such as Google pay or Apple pay are using fingerprint recognition for this purpose.
Ø Contactless Payment
Several apps allow users to make payments through mobiles. Businesses can provide customers with any of these apps to make transactions quickly once the product is selected. These apps also allow users to pay bills or complete any other type of financial transactions virtually. It allows customers to quickly and easily purchase any products online.
Ø The social Media Payment Options
The latest innovations led social media networks such as Facebook, WhatsApp, and Instagram to expand their reach and include payment solutions allowing money transfers between one user to another or between retailers and consumers within the network.
These social media networks offer retailers and brands an option to create business accounts, allowing them to sell their products or services to customers with digital transactions that they can directly do on the site for about a tiny amount.
The Trending payment Methods for Businesses
New forms of payments are emerging as cashless payments are being preferred by most businesses and consumers. To succeed in the competitive environment, businesses need to use a combination of different payment methods to increase their sales and revenue.
Some of the trending payment options used by businesses are as follows:
Ø Mobile payments
Mobile payments allow businesses to reach customers all over the world while providing a better customer experience. The use of mobile wallets such as Google pay, Apple pay and Samsung Pay is increasingly growing as users can make payments in just a few seconds through mobile phone.
Ø E-commerce payments
- commerce has become a lifeline for many businesses, especially in the present pandemic situation. However, it is more than just having a website; it represents an online business store that offers customers an online shopping experience.
Therefore, offering various digital payment options on the E-commerce site allows customers to shop everything from groceries to gadgets from the comfort of their home with secure payment modes.
Ø Credit and Debit Payments
Although many digital wallets are available, people still use debit and credit cards for transactions. Many customers are looking for safer transactions these days, and credit and debit cards are equipped with PIN and chips to prevent fraud.
For contactless payments, debit or credit cards are also able to accept tap and go payments. Therefore, it is has become essential for businesses to continue accepting debit and credit cards for quick purchases.
Ø Recurring Billing
Despite not being a new method, it is one of the most popular methods of payment used by businesses. This payment method automates scheduled and recurring payments, thereby reducing the pain of manual billing. They are primarily used for memberships and subscription services and allow customers to renew and make payments automatically when the subscription ends.
This payment method helps businesses to optimize revenue and increase sales while increasing business opportunities and customer base.
The technologies mentioned above are currently being used by most businesses and can increase customer experience, thereby helping businesses gain customer loyalty.
Businesses need to offer various payment options for customers as it leads to increased sales and future growth. Even IT companies like ONPASSIVE are developing their E-commerce platforms for quick transactions. The company developed “O-Wallet”, a digital wallet powered by AI which allows its users to store cash and make payments within ONPASSIVE Ecosystem.
Therefore, businesses need to include payment methods that allow customers to have a safer and more convenient form of transactions to build strong customer relationship and accelerate business growth.