For the first time ever, contactless card payments have reached over £100 million in transactions. Contactless cards are a convenient way of letting consumers pay for purchases of £20 and under by waving their card over special contactless readers.
The cards were first introduced to the UK in 2008, with Barclaycard the first adopters of the technology, who are also predicting £600 million to be spent via contactless points this year. But for merchants, what exactly is the benefit of offering this service?
One of the key benefits of offering contactless payments is that it speeds up transactions, enabling you to serve customers quickly, reducing queue times. This is especially useful if you’re running a shop which involves quick, small purchases, like take away food and drink.
In addition to this, offering the service encourages your customers to actually make purchases within your shop. If you’re offering low cost items, customers are less likely to abandon purchases if they don’t have the cash for it, as they can pay contactlessly.
What’s more, contactless card payments are usually cheaper transactions than chip and PIN payments, plus it means that you don’t have to make regular trips to the bank if you’re taking in less cash. The transactions appear instantly on your books too, so you don’t have delayed payments like you often do with other card purchases.
Pop up benefits
Due to the temporary nature of pop ups, customers may be apprehensive about buying with a temporary business or new brand. Having the trust of contactless payments means more people will be willing to buy with you.
As more and more people are using contactless cards to make purchases, it’s something you should consider when setting up your own business. An easy and convenient method of payment, it’s only set to grow in the future.