Covid has changed the way buyers pay. This is how small businesses can benefit

The effects of the pandemic can be seen in almost every corner of the retail sector. But one of the most significant changes in consumer behavior, which may not be that obvious at first glance, is the physical way we pay for things after Covid. Many retailers have gone completely cashless in the last 15 months, with contactless payment being preferred in line with our new contactless culture.

Not only is this a change that small retailers in particular have to adapt to, but they can benefit from it too.

Consumers are driving change in the payments industry

Jim Magats, SVP of Omni Payments at PayPal, has paid close attention to this shift in payment behavior. “Not only are consumers switching online and to e-commerce, they are also demanding digital payments and in-store trading experiences with things like QR codes that enable secure contactless payments,” says Magats.

According to Magats, the future of retail payments lies not only in online payments, but also in a seamless merging of physical and online retail solutions: “In addition to pure digital change, consumers today expect seamless omnichannel experiences. You want to shop online and pick it up in the store, order online and pick it up to the curb or try on a shirt in the store and have the right size and color in the online shopping cart. Consumers are demanding these new experiences and companies need to quickly adapt to these new customer demands – and this drives the need for business and payment systems. ”

Small businesses can now prepare for this change

While many businesses have been forced to adapt quickly to the vastly diverse consumer landscape of the pandemic and change their existing strategies almost overnight, now is the time for small businesses to learn from the past year and prepare their businesses for where this is leaves the retail landscape. as the world opens up again.

Roshan Jhunja is Head of Square for Retail, a smart point-of-sale solution for small retailers, and says many trends we saw during the pandemic, such as the increase in online sales, local delivery, and the contactless payments, were already underway, but merely accelerated by global circumstances. Jhunja explains: “Investing here can bring long-term success for traders who stay on course.”

“Looking ahead, retailers should explore ways to further improve and future-proof their business by redefining what a connected experience can be for their customers,” he adds, “by digitizing their inventory, for example They can sell across multiple channels. The flexibility in back-end operations allows retailers to ensure they can reach new customers and serve existing customers more responsively and efficiently. ”

Keeping up with the latest payment technology, which is making these operations more efficient, is one of the most important ways any retailer, regardless of size, can prepare for the new wants and needs of their customers.

Nina Etienne, Product Marketing Director at UK payment company SumUp, agrees: “We have passed the point where card reading technology is a ‘nice-to-have’ – but instead it’s as indispensable as your hairdresser’s clipper or your coffee cup Cafés. ”

“The simple piece of advice we would give to any small business is to make sure your card reader is always close at hand and in view of your potential customers. Storefront branding can also help promote your contactless services and clearly display your reader to the question “Will you take card?” to avoid. even come, ”advises Etienne.

Another small change that can make a big contribution to the future of a small business? “Dedicated bank accounts and business cards also help to make balancing easier in the long term,” says Etienne, “even if you are just starting your business trip.”

In addition, consumers also want a choice in the payments offered to them. PayPal’s Jim Magats discovered: “You want to be able to pay with debit and credit cards, digital wallets, PayPal and Venmo QR codes, crypto and more.”

Digital payments can mean big things for small businesses

Upgrading to the latest payment systems isn’t just about keeping up with consumer trends. With the new technology, there is an opportunity for enormous growth in small businesses.

“Many small businesses have recognized that diversifying into delivery services, e-commerce platforms and mobile payment methods will not only help future-proof their business, but also opportunities to expand their business from a local favorite to a brand with a much wider reach offers in your whole city, your country or even worldwide “, says Nina Etienne of SumUp,” a strong technological infrastructure means that you are more than your shop window or an advertisement in the local newspaper. “

Today’s customers expect the latest payment technology to be available to them no matter how small a retail business is. By installing the infrastructure to make payments as smooth as possible for consumers and businesses, retailers can focus less on payments – and more on making their business a success.