Anyone working in retail knows that consumers value two things: time and money. Therefore, it stands to reason that any system that allows consumers to get what they want in less time is a positive for any retailer. If customers know they can save time and money at a certain retailer, they are likely to return for repeat business. Knowing this, how can retailers use technology to shorten the amount of time and money consumers spend on shopping? With mobile payments and retail EPOS systems.
Mobile payments allow consumers to pay for goods and services directly through their mobile device. It’s a contrast to conventional payment systems when consumers swipe their card before the transaction was completed. Google kickstarted the mobile payment ecosystem with Google Pay release in 2011, followed by Apple with Apple Pay in 2014.
Retailers who don’t have a mobile payment system are missing out on sales and customer loyalty. According to the Finextra, Google Pay, Apple Pay, and Samsung Pay recorded 126 million transactions valued at 976 million in 2017. For retail stores, mobile payments accounted for 59% of all transactions because grocery shoppers want to save time when buying small items, like bread and milk. However, there was an increase in the purchase of high-value items by 12%, throughout 2017 and this number will grow throughout 2019.
Hence, any retailer that does not offer a mobile payment option is going to miss out on profitability and chances to expand their business. Those who fail to invest in a mobile payments system will also miss out on a chance to build customer loyalty.
Mobile payment systems make money transaction extremely simple. Conventional payment systems are inconvenient because consumers must enter sensitive information to complete a transaction. Not only are consumers nervous about entering personal information, but it also causes a pointless delay. Mobile payment systems remove this hurdle.
In fact, sending payments is like sending messages from a smartphone. Consumers can pay for goods and services by pressing one button. Mobile payment systems also benefit the retailer because money is instantly transferred into the wallet app, without delay. Thus, the purchasing process is kept simple.
Retail EPOS systems also simplify the payment process. These systems come with a simple, accessible UI that anyone can use. Even though EPOS systems contain a powerful backend, the front-end is easy to learn. Therefore, cashiers can learn the system quickly, and complete transactions effortlessly.
When mobile payment and retail EPOS systems are used together, retailers create a robust security network for consumers. Mobile payment apps, like Apple Pay, come with a strong security ecosystem that keeps financial information safe. Similarly, EPOS systems are integrated with safety features to protect data. Hence, this minimises the chances of credit fraud, debit fraud and other acts that rob consumers of their information. Therefore, both consumers and retailers benefit due to a robust security system. Consumers will be assured that their information is safe, while retailers know that their data is kept securely.
Paying in-store is easier with mobile payment systems. Traditional payment systems lead to long queues that move slowly, a source of frustration for many customers. However, with mobile payments, transactions are finished quickly. Hence, queues move quickly, and customers spend less time waiting.
Tap-and-go cards and smartphone payments improve the process exponentially. For example, to make a payment with a smartphone, customers only need to place their phone on a reader and have their fingerprint scanned. Therefore, mobile payments systems make paying in a store easier for customers and retailers.
Most online shoppers don’t complete their transaction for two reasons: the shopping cart and having to enter personal information. Mobile payments remove the need for a shopping cart or the need to enter personal information. Thus, shoppers will buy online more often because the shopping process is easier.
As a result of this, retailers will enjoy higher sales and consumers will benefit from an easier payment process. Furthermore, if retailers are using an EPOS system, they can stay in touch with their online shoppers to provide customer support.
Businesses that use retail EPOS systems with mobile payments can use omnichannel marketing to increase customer loyalty. Retailers can use their EPOS systems to identify repeat customers and offer incentives to buy through mobile. Market research indicates that UK consumers look favourably on loyalty programs. Therefore, retailers can develop an omnichannel marketing strategy with epos systems and mobile payments, if they chose to.
Retailers have much to gain from adopting an omnichannel strategy, however, it is important to note that an omnichannel approach is not possible without a suitable EPOS system that collects and analyses data on consumers and facilitates mobile payments.
Mobile payments are generating billions of pounds for retailers, around the UK. Retailers who do not invest in mobile payments will lose out to their competition. These shops will lose customers because consumers will always gravitate towards retail stores that offer a fast, simple and flexible way to pay for their goods and services.
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