In Canada, consumers have been showing that they love paying for their purchases using credit and debit cards for years. In fact, our nation has often been heralded as a world leader in plastic usage. Apparently, Canadians love the convenience that comes with not having to walk around with wads of cash on them. Bottom line, credit and debit cards are preferred methods of payment.
As a business owner, there are numerous benefits to accepting credit and debit cards. And over the past several months, the Canadian POS Corporation Blog has listed a whole lot of them! In the United States, credit card usage seems to be just as popular. A recent article by Susan Johnston of U.S. News & World Report talks about credit card trends to watch for in 2014.
Her article points to many benefits that credit card issuers plan on giving their members. Considering the many incentives that these companies are providing for their customers to use their cards, it stands to reason that merchants should be doing all they can to encourage credit card usage. But you knew that accepting plastic was integral to your business success, right? Let’s take a look at those trends.
Longer 0 percent APR periods. One of the biggest concerns that customers have about using their credit cards is the interest rates that they’ll have to pay on balances that are extended. Of course, credit card usage doesn’t insist upon paying over time – it’s only an option. However, Johnston notes that, this year, more credit card companies will be offering their customers zero per cent interest rates for longer periods. Bonus!
Creative perks. We’ve often pointed out that when you allow your customers to use their credit cards in your store, you are providing them with more value. Often, credit cards usage allows for the collection of points that can be used for rewards. Johnston notes that, in 2014, more credit card issuers will be providing customers with sign-up bonuses among other new perks.
Varied rewards redemption choices. Speaking of those perks, most people associate rewards points with travel. Johnston notes that credit card companies will be getting more creative this year. Rewards programs are becoming more competitive, she notes. As a result, they’ll be offering more “out-of-the-box things” to provide greater incentives for usage of their cards.
Mobile payment opportunities. According to Johnston, several experts predict that “mobile apps that allow consumers to check their accounts on the go or pay by scanning their phone at a checkout will continue to change the payment landscape in 2014.” Credit card usage, it seems, is both helping consumers better understand their expenditures and making it easier to make payments.
Chip and PIN cards. Credit cards, these days, make paying for purchases so much easier than they used to. Very rarely will customers have to sign a slip of paper. Instead, they are punching in private PIN codes. This makes life at the checkout a lot easier as it’s a quicker process to buy goods. As well, it helps to diminish chances of fraud. The days of the magnetic strip are slowly disappearing.
With so many benefits to credit card usage, why wouldn’t you offer your customers this payment option? Contact Canadian POS Corporation at 1-877-748-2884 today to either upgrade your machine or get set up with your first POS terminal. Many benefits await you!