As a Canadian business owner, it’s practically imperative that you offer your customers the freedom to choose their payment methods. This is because Canadian shoppers want choice. And chances are that they will be choosing to pay for their purchases with either credit cards or debit cards. In case you haven’t noticed, Canada is quickly becoming a “cashless society”. More and more people are choosing to not walk with cash on their persons anymore.
As a result, businesses that insist upon being “cash only” are losing out on a large number of potential sales. Canadians especially love using credit cards because of the many benefits given to them when making purchases. By paying with credit, one not only receives the product or service he/she has spent money on. There are a number of rewards that come along with the purchases.
This past April, TD conducted a survey that found that nearly three-quarters (72 percent, to be exact) of Canadians say that they are loyal to their credit cards’ rewards programs. Most cardholders (82 percent, according to the survey) say that a rewards program is a priority when selecting which credit card to use. But there is another statistic that Canadian merchants should especially pay attention to.
“According to the survey, loyalty also extends to where Canadians swipe their cards,” reveals TD, “Half of cardholders (49 per cent) often change where they shop to earn more points.” This begs the question: What are you doing to encourage Canadian shoppers to use their credit cards in your store? Evidently, shoppers want to get more for their purchases. Is there a way you can provide them with that added incentive?
Frank Psoras is the Vice President of the Credit Cards department at TD Canada Trust. “The survey results show Canadians expect greater value from their card, including choice and flexibility for reward program offers, and ways to earn and redeem rewards,” he is quoted as saying, “Whether you\’re planning for your family\’s summer vacation, looking for entertainment ideas, or getting ready to renovate or furnish your first home, there are great ways to earn points and get to your reward faster.”
“I have a confession, I absolutely love credit card rewards programs,” admits Barry Choi on MoneyWeHave.com, “What started as a way to get a free hotel room has become what sometimes feels like an obsession. Whenever I charge something to my card, I think of it as one step closer to a free trip. It appears I’m not alone as 72 per cent of Canadians say they’re loyal to a loyalty rewards program, this according to a new study from TD.”
Observing the TD survey, Choi points out that 42 percent of Canadians prefer using their rewards points for travel, 34 percent like cash rewards while 30 percent enjoy claiming groceries with their points. He notes, however, that rewards programs are only worth it if cardholders pay off their entire balances in full each month. With that said, isn’t time you allow for your shoppers to collect points when they make purchases from your store?
Evidently, credit card acceptance encourages spending from lover of credit card rewards programs. Contact Canadian POS Corporation today to learn about how you can begin accepting credit cards and debit cards using our Countertop and Wireless POS terminals. Give us a call at 1-877-748-2884 or email us at info@localhost.