By now, most Canadian merchants are well aware of the many benefits that come with accepting credit cards as methods of payment from their customers. But, then again, there are other Canadian merchants who still think with a “cash only” state of mind. Many of them have fees as their top reason to hesitate with the acceptance of plastic in their stores. However, as we’ve learned from experience, here at Canadian POS Corporation, the benefits far outweigh the costs.
Here are five reasons to adopt a “plastic friendly” state of mind:
1. It’s bound to increase your sales. One way that the benefits that come with credit card acceptance far outweigh the costs is found in the number additional sales that merchants tend to make. As Kristie Lorette McCauley points out on LoveToKnow.com, “Credit cards can increase the sales for a business. Primarily, this is because accepting credit cards broadens the base of our business, opening the doors to customers that cannot or choose not to pay cash for products and services.”
2. It increases the amount of each sale. Not only will you increase the number of sales you make, but you’re also bound to enjoy putting through larger transactions than normal. With credit cards, customers don’t have to worry about carrying enough cash on their persons. If you sell big ticket items, you’re likely aware that most people would prefer a payment option that allows them to extend payment if necessary. This is where credit cards really come in handy.
“According to Small Business Trends, credit card acceptance can also increase sales amounts,” reports McCauley, “In point-of-purchase transactions, credit card use can increase sales amounts and increase the chance for impulse buys because the customer doesn\’t have to have cash on hand to purchase something they see in the business location. For example, a customer might come into the establishment to buy a gift for a friend, but walk out with a greeting card, gift bag, a candy bar and a bottle of water in addition to the gift they originally came to buy.”
3. It helps to avoid fraud. Are you an expert at detecting counterfeit bills? Chances are that you are not. When you accept credit cards, it is incumbent upon the shopper to punch in a PIN code to ensure the safe and secure completion of the transaction. “You have more security problems when dealing with cash,” says GotMerchant.com, “You must deal with large amounts of money in the drawer and the possibility of employees giving out the wrong change amount.”
4. It makes life easier on your customers. If you’re giving your customers the freedom to choose between paying with either credit or cash, you are making things a lot more convenient for them. “Customers can buy what they want now rather than having to wait, so accepting credit cards adds a level of convenience for the customer,” McCauley reiterates, “They do not have to run to an ATM to get the cash they need to make a purchase.”
5. It improves your cash flow. When you receive cash as a method of payment, it doesn’t hit your bank account until you have the time to deposit it yourself. Credit card acceptance takes care of the whole process for you. “Elaine Pofedlt, financial journalist, says accepting credit cards can improve a business\’s cash flow,” reports McCauley, “Credit card payments hit the merchant\’s bank account within a couple days of the purchase date, which improves the cash flow of the business.”
At Canadian POS Corporation, we offer Canadian business owners the ability to accept credit cards with top-of-the-line POS terminals. We also offer the most affordable rates in our industry! Even if you already accept credit cards, we can have your POS terminal upgraded within days. For more information about our Countertop and Wireless terminals, call Canadian POS Corporation at 1-877-748-2884 or email us at info@localhost.