Online payment options are a fast, convenient and secure way to pay for services and the preferred payment method of 75% of customers. Online payment options should be a staple in every service business because they contribute to a better customer experience, which translates to increased sales and higher customer satisfaction. Yet 1 in 5 small businesses doesn’t accept digital payments.
There are multiple ways to collect payments online; none are difficult to implement, and most are low-cost solutions. So, if you’re looking to streamline your service business's sales and payment process, here are 5 ways to collect payments online more effectively.
You can easily collect payment online by using online booking software that integrates with an online payment processing platform. However, choosing the right online payment processing platform is important since not all are created equal.
To reduce the chance of losing the sale, choose a payment processor that won’t redirect your customer to another platform to make a payment but will instead keep them on your site throughout the payment process. For example, when customers book an appointment via the MarketBox platform, they can pay within the booking flow using a Stripe integration. They never have to leave the page, and payments are processed quickly and securely.
Another way to collect payments online more effectively is by using invoicing software to help streamline the process of creating invoices and sending them to customers. Using invoicing software for your service business will help to automate the manual tasks associated with invoicing your customers. A few invoicing software options to consider are Xero, Zoho, Invoicely, and more.
Taking credit card information at the time of booking the service appointment is another effective way to collect payments online that ensures customers promptly pay for the service. Once you have their details, you can charge their card at the agreed point (before, during, or after the appointment.)
Secure credit card information to secure payment from your customer.
If you take credit card information upfront, you avoid payment delays. This helps safeguard your business against lost income; your customers have put “collateral” on the line, making them more likely to uphold their commitment to your business.
It may seem limiting to only collect payments in the form of credit card payments, but many service businesses benefit from this singular form of payment. Although credit card fees can hover around 3% of the sale price, the cost of uncollectibles tends to be much higher than 3% of revenue for most service businesses.
We’re moving towards a cashless society (and no one writes a cheque anymore), so card payments are quickly becoming the norm. In the last few years, consumers have become much more used to paying for products and services online, and it has become the standard.
Asking your customers to provide a larger deposit upfront is one way to collect payments online more effectively. The customer can provide an amount upfront and then pay the rest after the service is complete.
Start by asking your customers to provide a certain amount of the payment upfront, provide reassurance that you offer a money-back guarantee, and will refund the money if they are genuinely not satisfied with the service. This will make them feel more confident in their decision.
The advantages of collecting payments online are evident, and as we’ve covered, integrating them into your business doesn’t need to be complicated.
If you're looking for a way to offer online booking and collect payments online, book a call with the team to learn more about how MarketBox can take your business digital.
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