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Here is Everything You Need to Know About Merchant Accounts

Tag: online business

here-is-everything-you-need-to-know-about-merchant-accounts
Mohab Ecommerce 0

Have you always dreamt of running your business smoothly and efficiently? What do you know about merchant accounts? Well, proper management of cash flows is an integral part of it. If you are looking to set up a new business or even if you are already running one, you need to look at your cash flows to ensure that you maintain proper liquidity at all times. Opening a merchant account can help you in streamlining your cashflows and get proper control over your finances. There are several merchant account solutions available these days. In order to choose the right one for your business, here are some tips you can follow.

Know what a merchant account is:

In order to obtain the best merchant account to meet your business requirements, first make sure that you are knowledgeable about the different features of a merchant account. A merchant account is a type of bank account which enables a business to accept payments through debit and credit cards in addition to several other types of electronic payment solutions. You will need to collaborate with a payment processor for this purpose. However, you should also note that not all merchant accounts are created equally. Shop around to see what type of merchant account is able to meet your specific requirements. You should pay attention to your business size, growth rate and future plans to pick the right kind of payment partner.

            Also Read: Merchant Account Vs. Payment Gateway: What’s The Difference?

Pay attention to fees and costs:

While a merchant account will help you in keeping your business financially efficient, you should be aware that these services come at a cost. Hence, it is important that you pay proper attention to all the fees. Generally, these costs may be divided into two categories, which are upfront or setup costs and operating costs. There are many merchant accounts which may come with nil set up fees too. However, before making any decision, focus on operating costs as well since these are the costs you will have to pay for the entire duration of your merchant account. If the costs are charged on the basis of volume, then keep your growth rate in mind, since these costs tend to add up real fast.

Pay attention to hardware and software:

Every merchant account deals with both hardware and software. It is vital that you gauge the efficiency and security of these services. Hardware generally includes payment terminals, which are required for payment processing. Such hardware may be leased or given to you outright. Make sure that you fully understand all the charges involved and that there are no surprises. For software, you should ensure that the system can seamlessly integrate with your existing business setup. Pay attention to the fine print in terms of cancellation, withdrawals and other charges.

            Also Read:5 Common Myths about Merchant Accounts Processing That Can Lead You Astray

Customer service and support:

When you decide to engage an online payment processor, you should look into the customer service and support provided by them. Payment processing is complex and there will be times when you will require urgent customer care. You should ensure that your provider is able to process your grievances promptly. There should also be provision for self-service so that you are able to fix minor issues and minimize the potential damage. The customer service should be available through different channels such as emails and telephone. However, in some cases, you may also arrange for a dedicated account executive.

Flexibility and customization:

Your online payment processor should be able to provide you customizable features so that your system can be adapted to accommodate the requirements of your business. It should be tailor-made to ensure that you are able to offer the best possible services to your clients. It should also be flexible so that it can provide for your expanding business. You may want to offer diverse payment options to your clients too and your payment processor should be in a position to accommodate such changes.

            Also Read: Top 7 Most Common Merchant Account Complaints that Can be a Red Flag

Merchant accounts are extremely important for online businesses and should be chosen carefully after due deliberation. And by following the above guidelines, you can bring positive changes to your online business.

3 years ago
how-to-choose-an-online-payment-gateway
Mohab Ecommerce 0

For an online business, choosing an online payment gateway is one of the most important decisions. In order to do that, you should pay attention to a number of factors including customer satisfactions. It is important that your business provides smooth payment experience to the clients, while ensuring the safety and security of their funds and sensitive data.

Here are some of the guidelines that will help you choose the right online payment gateway to ensure that your clients get the best services.

Understand the Process

In order to make an informed choice, it is important to understand the process of online payment gateway system. It is a tool that authorizes credit card payments and other types of online payments for e-commerce transactions. When a client enters their credit or debit card information for online payment processing, then gateway encrypts the data and sends it to the payment processor. The payment processor is responsible for sending the request to the client’s bank, which may either accept or reject the request. This decision is again relayed by the payment processor to the payment gateway.

Fees and Charges

Pricing is another important aspect to keep in mind while choosing an online payment gateway. If the fee is charged on the basis of percentage then you should be careful about the volume of the business, as after a certain extent, these fees begin to pile up. Different payment gateways may charge different fees and expenses. You should make it a point to note that such fees are not excessive. Some of the most common types of charges are interchange, assessment, markup and processing. You should carefully analyze your business to find whether you should opt for flat pricing or tiered pricing.

Also Read: Switching Your Payment Gateway

Hosted or Integrated

While incorporating a payment gateway, this is yet another important factor to be kept in consideration. A hosted payment gateway redirects the clients to the payment processor’s platform for data input. On the other hand, integrated payment gateway is connected to your website using the gateway’s API for online payment processing. Here, customers do not have to leave the store to enter their financial data. However, this option will require you to undertake rigorous task of payment gateway integration.

Safety Measures

While it is important to provide a fast and smooth experience to your clients, it is equally vital to ensure that yours and your clients’ data is adequately secured. You should look at the technologies employed by various online payment gateways. Nowadays, a Payment Card Industry Data Security Standard or PCI DSS protocol is deemed to be the bare-minimum necessity. You should also consider the compliance level offered by the payment gateway. Further, it is also recommended to study the PCI Self-Assessment Questionnaire and completing Attestation of Compliance. You should also check whether your service provider offers regular software updates to ensure protection against cyber-attacks.

Also Read: The 4 Step Procedure for an Easy Payment Gateway Integration

Study the Support System

Online payment gateway is an important component of an online store. On many occasions, you may require support system to help solve your payment related issues. Ideally, your online payment gateway should offer different modes of support system including chat service, telephonic support and email support. Further, your payment gateway should also be able to process different type of payments systems such as credit card, debit card, direct debit among other systems. If you are engaged in cross-border business, then you should be able to process different types of currencies as well.

To conclude

Choosing the right online payment gateway is not that difficult if you understand your business needs. All you need to do is consider all the factors discussed above before selecting the right provider.

4 years ago
how-to-increase-sales-by-improving-your-customers-buying-journey
Mohab Customer Experience 0

A customer’s buying journey is a path of interactions with the business. It covers all the points from the discovery to the final phase of purchase. In order to make your ecommerce business more effective, it is important to make this journey as smooth as possible. The idea is to stop the customer from leaving midway through the buying process. While every customer has their own unique buying journey, there are certain guidelines which an online business can follow to make the process more convenient and approachable.

Personalize:

As each customer is unique, it is imperative for an online business to ensure that the individual needs of a customer are properly met. This important strategy to attract online customers can take several different forms. You may have to personalize your website linguistically if you are catering to customers from different countries. You may also need to bring about customization for accepting different currencies. Ideally, online businesses should use progressive web apps methodology to give their clients a seamless experience. Personalization ensures that your clients are able to carry out their business in the most efficient manner possible. However, it should also be ensured that your website is still quick to load even after customization.

Attention to Analytics:

Data has become an important tool for online businesses everywhere. Organizations use data to devise new strategies, with an aim to make the buying journey of a customer smoother and increase sales online. It will also help in decreasing payment friction, which is one of the most prominent reasons behind cart abandonment. Another important step to take in this regard is to revamp your checkout page. Your website may also offer the choice to save some of the vital information, so that the customer does not have to add details every time they carry out a transaction. This will save time and energy of the customer.

Make it Interactive and Immersive:

Studies have shown that the customers react positively to online businesses that offer interactive and immersive experience. Since online transactions lack the personal rapport, the ecommerce businesses need to make an effort to replicate the real-life experience to increase sales online. This will also allow the clients to make informed decisions, further reducing the likelihood of incomplete buying journey. This step will also help in optimizing the product return ratio, where the clients had to send back the products which did not meet their requirements. As experience becomes more interactive and immersive, the buying journey will also become more productive.

Also Read: Boost sales conversion with the right payment integration strategy

Offer Assistance:

As online buying journey lack the personal touch, it is important that your website offers maximum possible assistance to the clients. There are several automated tools available in the market for implementing this strategy to attract online customers. Whether you choose to employ a chatbot or install a live chat function, it is highly likely that your clients will appreciate this additional help. These steps will also enhance customer engagement, leading to a loyal client base. Even if your business is not in position to offer 24/7 helpline, communicating official hours to your customers will increase the engagement level.

Identify Pain Points:

Since buying journey is a continuous process, it is important to recognize various pain points which hinder the smooth experience for clients. For some customers, the problem may lie with product discovery while others may face issues while checking out. To resolve these issues, it is important to look at the data generated through these transactions and undertake remedial measures. It is also vital that you update your online business with latest technological tools to boost safety and security.

Also Read: Grow Your Business by Offering Alternative Payment Options

4 years ago
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Mohab Super Merchants 0

Businesses are currently going through challenging times. The conventional methods are not effective anymore as the situation has taken an unprecedented turn. However, even in these times, business entities can follow certain guidelines to make their processes smoother and safer. If you are engaged in B2B business, then you can boost your online payment system to fortify your liquidity situation. The use of technology makes these tips more useful and efficient. So, here are some guidelines for managing your online payment processes to ensure that your business remains on the right track during this crisis.

  1. Initiate Online Invoicing:

    If you are still collecting payments for your goods and services through traditional printed invoices, then it is time to take a leap of faith and start with online invoicing. The online invoicing system has several advantages over regular invoicing in terms of costs and speed. This type of invoicing is much faster and helps you with cash generation in a lesser period of time. Electronic invoicing is also more streamlined and thus more efficient. It helps in reducing invoicing errors so that both you and your clients can spend fewer resources on rectifying the issues. Online invoicing can then be conveniently integrated with the online payment system to ensure further efficiency.

  2. Optimize your Costs:

    Once you have decided to take the online payment route, it is time to take stock of all the costs involved. While in the beginning, the system may seem pricey, it is important to take a long-term view. Also, there are several alternatives available which may help you in controlling the costs. One important category of costs is the payment processing cost category. These costs may make a difference to your bottom line, and therefore, are important for the control purpose. You are advised to seek different options so as to find the best possible solution at a minimal cost. You may also want to negotiate the terms and conditions before you settle down for a particular service provider.

  3. Install Online Fraud Detection System:

    As useful as the online payment system is, it comes with its own set of challenges. Some of the most important issues in this regard is the safety of the system. Online payments are the target of various fraudsters and scammers. In order to protect the interest of your business and your clients, it is important that you are aware of such miscreants. It is also advisable to come up with a clear cut fraud prevention You should keep your system updated to provide protection against new viruses and other cyber attacks. Advanced technological tools such as anti-virus software may come in handy in this regard.

  4. Incorporate the Latest Modes of Payments:

    Offering a wide range of choices is the key to achieve customer satisfaction. And today, there are several options available when it comes to making an online payment. Currently, tools such as mobile wallets and cryptocurrency are gaining a large following too. You can ensure higher customer satisfaction if you provide these tools for payment purposes. Most of these tools take minimal time for setup and are highly cost-effective as well. Further, these tools also provide more diversity and flexibility to your system. They are accessible even through mobile phones, which can be helpful in further expediting the online payment system.

  5. Simplify the Process:

    While online payment systems come with a wide range of options, it is important to ensure that the system still remains simple enough to understand and operate. B2B payment systems are often prone to complexities after all, especially when you introduce new features or make changes. You can solve this issue by taking proper stock of your clients’ requirements. You should also keep the number of options offered under control. It is vital that your business partners and collaborators understand the process completely too. Moreover, you should endeavor to keep the number of steps a few as possible, since lengthy payment systems tend to be more complicated.

The above guidelines are designed to ensure that you are able to set up your online payment system with the least number of problems. In this regard, you may also want to collaborate with established payment services providers to get started. Such providers may help you set up and operate your online payment system efficiently and economically.

4 years ago
how-to-give-your-customers-a-compelling-digital-experience
Mohab Customer Experience 0

With more and more people opting for online shopping, it has become vital for businesses to provide a compelling digital experience. Currently, physical stores are quickly shifting online and competing with existing e-commerce stores to grab shopper attention and achieve better sales. So, to survive this extremely competitive landscape, it is important to come up with strategies to enhance your customers’ online experience. Here are some tips that can help you.

Get to Know Your Market:

While knowing your market well is the key to success in any business, be it online or offline, it is more important for online businesses, as there is so little direct interaction. It is important to tailor your business practices to provide customers with the best possible online shopping experience. Knowing your market well will let you design your business and website in a more appropriate manner. You will be in a better position if you are thoroughly acquainted with your market. Further, you can also fix the right prices to optimize your revenue and profits. These things are not possible unless you carry out a proper analysis of your target market.

                        Also Read:4 Easy Steps to Improve Your Payment Experience

Revamp Your Online Storefront:

In order to enhance your clients’ digital experience, it is important to provide them customized services. The customization will start with the layout of your website. Make sure your online storefront meets the requirements of your target market. The online store should also be designed in such a manner that your clients do not have any problem navigating through different pages of your website. The processes and procedures used in your online business should be simple enough so that they do not require any excessive explanation.

Focus on Your Social Media Engagements:

Online marketing is one of the biggest determinants of your digital success. And social media is an important part of the online marketing strategy. The best way to go about social media is to integrate it with your online business. Such integration will allow your clients to share their purchases and experiences with your entire target market, providing you with “word of mouth”promotion.There are several actions you can undertake to motivate your customers to share their experiences online. You can set up a reward system where such promotions may result in discounts and other such incentives. You may also want to integrate your offline and online promotion services, to make them more effective.

Make it a Team Effort:

Enhancing the digital experience of your clients will require team work. Online experiences are not the sole responsibility of your digital media team. Coordination within departments is required for your clients to enjoy a seamless experience. For example, the finance department may be required to coordinate to ensure that your clients are able to make their online payments in the most efficient and economic manner. For this, adopting a reliable, fast and secure payment gateway is essential too. Go for a gateway that accepts multiple currencies and offers various payment modes. This will make checkout easier for all kinds of customers.

Seamless Multi Channel Experience:

If you are looking to provide a holistic experience to your clients, it is important that you undertake a multi channel strategy. However, these different channels should be integrated in a seamless manner. The customer care service should be prompt and responsive to the needs of your shoppers. If you are in hybrid mode, where you have both online and offline outlets, then it is important that your clients are able to spread their transactions across these channels. For example, your clients may want to browse your items online and then pick them up from on offline store. Similarly, they may want an offline shopping experience but the ability to make online payments.                  

All in all, the current crisis has made it vital for businesses to adopt the latest technology. To make their shoppers’ digital experience exemplary.Hence, keeping the above tips in mind will help you stay ahead of competition.

Also Read:5 Online Mobile Shopping Best Practices to Improve Customer Experience

4 years ago