The payments sector is now a crowded market and it’s not just financial institutions getting in on the action.
Players from different industries are swooping in to grab a piece of the pie: tech giants with little heritage in payments are entering the space; the card networks (Visa & MasterCard) are pouring significant money into innovation in a bid to retain their market dominance; and a slew of alternative finance start-ups are trying to persuade consumers and businesses to ditch traditional financial services for their innovative offerings.
What does this mean to you? Strategically, what’s the best approach for your business? Where should you start? Who should you partner with? These are some of the high level questions that need to be answered in order to determine the best road to take.
Reducing card acceptance costs is not the only benefit Payments Channel offers. We can explore the benefits of virtual cards as a replace to manual cheque processes; commercial card program that, like virtual cards, pays a rebate on spend and finally, the value of an expense management program to gain the visibility and controls needed to make everything work.
It all starts with a Spend Analysis. With the use of a Cost Benefit calculator, Payments Channel will review and assess your transaction history and those projected, to determine how best to position card use for maximum gain.
For B2C merchants who are concerned with receiving the best financial deal from their Acquirer – let’s face it, who isn’t, periodic reviews should be considered. In order to have the best leverage possible, merchants should plan months before the end of their contracts to position for renegotiation if possible.
Payments Channel is a trusted independent advisor. Trusted because we are here to serve; dedicated to making your payment processes efficient and ideally, positioned for competitive advantages.
Despite customer preference most commercial collections use more expensive and less value added methods:
Buyer satisfaction with a supplier accepting cards
Commercial collections made by card
Credit card acceptance:
- lowers costs (41% lower than other payment collection methods) ,
- reduces risk
- provides immediate working capital for Suppliers.
- It also offers customers a more convenient way to pay and increases sales
Research shows that Suppliers can save over 30% by accepting card versus traditional payment methods and shrink their order-to-cash cycle by over 10X. If you’d like to learn more, contact us.