Mobile payment processing can increase SME sales
April 30, 2013

Mobile payment processing continues to gain recognition as a fast and safe method for completing transactions. One corporate giant saw a boost in sales after adopting the purchasing method, and small and medium enterprises can have the same results.

The success of Starbucks
Starbucks, the largest coffeehouse in the world, recently integrated mobile transactions into its payment processing strategy and saw a significant response for its consumers. According to Mobile Commerce Daily, the corporation is currently seeing almost four million mobile payment transactions every week and the purchasing method now accounts for about 10 percent of the company's U.S. revenue. Starbucks reported its success comes from existing loyalty programs and a boost in customer knowledge about the new payment platform. 

Howard Schultz, president and CEO of Starbuck, remarked that allowing mobile payment processing has greatly affected the company's grasp of the market. 

"It's very hard, I think, to actually explain this in the kind of detail or the attachment that we think this is going to do, and this gives us a significant competitive advantage over other like coffee products that are sold in grocery, and we're going to see incrementality as a result of that in our own retail stores," Schultz said.

Starbucks plans to cross into other industry sectors, such as grocery, using the transaction method to increase the company's impact on the retail market. The massive success of the purchasing platform can help drive small organizations to integrate portable payment software into their own businesses. 

SMEs can follow the corporate lead
Businesses thinking about investing in mobile payment processing may want to consider how the transaction method is working for larger companies. Mobile payment processing, such as Sage Mobile Payments, grants small and medium sized businesses the opportunity to expand their client base and increase sales.

The progression of portable technology and the rise in consumer awareness of the payment method can help SMEs target a larger audience. Mobile payment processing software also allows small businesses to accept debit and credit cards in non-stationary environments, such as at outdoor fairs or venues, where many consumers feel safest carrying plastic instead of cash. Understanding the customer base is important to boost revenue, and mobile purchasing software grants companies to ability to create the best experience for consumers, driving loyalty while generating sales. 

Nexus: G-WEBCD2