Mobile Payment Migration Keeps Improving–Why Restaurants Should Keep Up
Since the 2015 Liability Shift, the transition of the American payments ecosystem to being largely based on EMV transactions has gone along somewhat successfully. That trend is expected to continue, especially as more companies get onboard with accepting these types of purchases. The latest industry data shows that the vast majority of consumers use EMV cards on a regular basis and a growing number of retail locations accept them. More companies are now starting to focus on the future of the payments ecosystem, according to WRAL Tech Wire.
As more is being done to make EMV transactions as quick and convenient as possible, the use of mobile payments and mobile payment platforms is rising. Right now, mobile transactions represent a relatively small fraction of all card-based purchases in the U.S., but that number is growing quickly. It is not a question of “if” mobile payments will achieve mainstream adoption within the restaurant industry but rather, “when.” Mobile payments have impacted nearly every type of merchant over the past few years with restaurants being no exception. It is important that your dining establishment is ready to serve customers who are eager to utilize mobile payment technology. Getting on board with mobile wallets and technology in your establishment is a great way to build a loyal customer base while keeping their data as safe as possible.
It is vital for merchants of all sizes to adopt modern point-of-sale devices that can handle both EMV (to meet industry standards for secure transactions) and mobile purchases, as a means to accommodate any emerging consumer preference in the months and years ahead. The more that can be done on both fronts will likely help to ensure a safer payments environment in which consumers are able to make the choice that works best for them. Consumers are already acutely aware of how easily their personal information can be stolen, so they are more cautious now than ever before. Most mobile payments utilize near field communication (NFC) chip technology, which offers a stronger level of security because there is zero card information before exchanged. This alone eliminates many fraud concerns.
Integrate and Bolster Incentive Programs
One of the most important reasons that restaurants should utilize mobile platforms on a regular basis is to increase customer loyalty. According to Mobile Payments Today, some restaurants have established mobile loyalty programs, such as McDonalds and Dominoes, in order to reward customers for their frequent business. These programs aim to give their users a little something extra for being repeat customers, while at the same time they hope to familiarize them with how they can use their mobile devices to make payments. Rewarding loyal customers shows them your restaurant has excellent customer service and increases profits through repeat sales.
As mobile payment adoption grows among consumers, it's vital for merchants to meet those preferences head-on, and accept as many types of popular payments as they can. Beyond the uptick in consumer adoption, there are more benefits than simply being able to engage with consumers in a new way. Mobile payment capability also gives merchants increased processing speeds, more security, and stronger customer loyalty.
About the Author
Nicole Bryan is the digital content writer for Sterling Payment Technologies, a payment processing company based in Tampa, Florida. Sterling is a payment processor that offers solutions that help grow their customers’ businesses more profitably and efficiently.
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