Posted on 09-22-2012
YES! In today's market I don't know too many successful
businesses that don't accept credit cards. Over the years, there have been
numerous studies showing if a merchant accepts credit cards as a form of
payment that they can increase sales dramatically. It depends on your specific
type of business, but increases in sales can be anywhere from 15% to 100%. In case you're holding off on accepting cards because of the 2% fee, simply ask yourself if giving up 2% is worth it to increase sales by 50%...
If you own an Internet businesses, you literally don’t have a choice! I mean, you could ask the customer to call in to order but in this day in age, no customer wants to do that! They want to instantly pay and have their merchandise on the way! If you don’t accept cards, they will simply run to someone else who does.
Some obvious reasons to accept credit cards are merchants will move more expensive merchandise, have an increase in impulse buying, and give your business credibility. Giving customers the ability to pay with a credit card allows impulse buying that will allow a merchant to move merchandise that a customer's may not have funds available in their checking account. Here are some more good reasons to take credit cards:
COMPETITIVE WEAPON - Customers will buy from a merchant that offers payment by a credit card and will often look to see if a merchant accepts credit cards before shopping. Personally, I won’t shop at a store that doesn’t accept cards because I want my Sky Mile Points!
COMPETE WITH THE BIG GUYS - Accepting credit cards levels the playing field with larger retailers.
PEACE OF MIND - Customers feel secure in using their credit card. If the service or product is faulty, the use of credit card allows customers to dispute a charge that protects them.
CONVENIENCE - Making it easy for your customer to pay you is probably the biggest reason to accept credit cards.
CUSTOMER LOYALTY - Customers will often shop at merchants where they feel comfortable or have shopped before. One important thing to remember is to make sure to add credit card logos to any marketing you do. Many potential customers looking for a service or product will look at a merchant's advertisement to identify and find the right merchant. If the customer has little cash often the deciding factor in determining which merchant to choose depends if the merchant accept credit cards. This allows the customer to finance the sale and make payments to their credit card company.
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