Electronic payment systems, mobile payments boost sales from baby boomers
August 23, 2013

Many small and medium-sized businesses may be holding out investing in electronic payment systems because they are under the impression that only younger consumers shop online. However, one of the biggest generational groups - baby boomers - are using their smartphones and tablets for e-commerce more than ever before. Not only are baby boomers strong digital buyers, they may also be the key to the widespread adoption of mobile payments. Investing in accepting plastic online is a great way for SMBs to increase sales.

Older shoppers use portable devices for e-commerce
According to Fast Company, there continue to be misconceptions about baby boomer purchasing preferences, one of which is that they don't use the Internet as much as younger generations. However, this is simply not true. Fast Company reported statistics from online data resource Marketing Charts, which found 40 percent of total wireless spending is carried out by baby boomers. This means that the generation is not only using mobile devices more often, but they are more likely to spend money online than any other age group.

According to the eMarketer report, "Baby Boomers in the Marketplace: How the 'Ever Young' Generation Approaches Shopping, Health and Retirement," 80.6 percent of baby boomers use the Internet and 75.9 percent are digital buyers. In fact, previous research for UnitedHealthcare by GfK Roper Consulting found 79 percent of Internet users between 60 and 65 years old say they shop online.  

With more baby boomers using their mobile devices to shop in virtual stores and research products, SMBs should take advantage of this growing trend and invest in electronic payment systems. The generation may also be a main driver toward mobile payments. As more baby boomers own a smartphone or tablet, they may be more aware of the benefits of making a mobile transaction. Many older consumers look up products online before they shop in a store, so SMBs should accept plastic in their virtual stores to provide consumers with an additional payment option. 

Investing in integrated payment systems is a great way for SMBs to generate more sales and encourage larger purchases among baby boomers. It can also be beneficial to accept mobile credit card payments to facilitate purchasing preferences. Attracting older generations to the business can help an SMB drive revenue and increase consumer satisfaction. 

Nexus: G-WEBCD2