Merchants poised to capitalize on improved spending
January 11, 2013

Many experts believe that the national economy is moving in a direction that leads to a completely cashless market landscape, with credit card and debit cards, as well as mobile payments, becoming the most used transaction methods a few decades from now. Merchants need to accept credit card payments to remain relevant in a rapidly evolving consumer landscape.

Integrated payment systems are an excellent method of ensuring the capture of all potential sales, as consumers are looking for the most convenient and diverse payment options from their chosen stores. Now, with the advanced payment processing technology on the market, small and medium-sized businesses (SMBs) can use these convenient payment platforms to gather data that will improve their strategies.

Consumer trends become clearer
Resource Nation recently reported that merchants are increasingly using credit card processing data from their own systems to gauge trends in the consumer landscape. According to the news provider, analyzing credit and debit card processing data gives merchants a better idea of whom their most valuable customers are. The data also allows stores to identify their busiest hours.

Merchants can use this data to better target their top customers, while also optimizing marketing strategies to reach new clients. The source explained how merchants can compare their own data to market research reports to gauge how they are doing against competitors.

Finally, Resource Nation asserted that this data can be used to formulate stronger loyalty and gift card programs. By cultivating the most specific and targeted marketing programs through the use of this collected payment processing data, merchants can expect to see stronger revenues and higher engagement among current and prospective customers.

The time for new programs is now
Merchants should consider launching similar initiatives based on collected payment processing data soon, as several recent reports indicated consumer spending is improving substantially. According to a recent Gallup study, consumer spending hit the most healthy levels experienced since before the recession in December 2012.

The research firm found that customers spent an average of $83 per day on a variety of goods - not including household bills, car purchases or home mortgages - in December. This represented marked growth from November 2012, when that figure was $73. The organization asserted that this is very good news for merchants going into the first months of the new year, as this is the first time the reading reached about $80 per day since December 2008.

Nexus: G-WEBCD1