Why more customers pay with credit cards
April 23, 2013

Small and medium-sized businesses that accept credit card payments may notice customers purchasing products with plastic are in steady supply. Consumers who reach for their credit cards at the point of sale understand the benefits that come with swiping plastic. SMBs can increase client retention and satisfaction by using credit card processing software and knowing a couple of reasons why so many clients purchase with their credit cards can help drive sales.

Transaction history visibility offers protection
Paying with plastic grants customers the ability to monitor their purchasing history, and some credit card companies safeguard clients against having their credit card stolen. For example, consumers who purchase products online may have their credit card information taken by strangers and businesses that accept credit cards may want to give clients the opportunity to call their issuer if their card payment is not accepted. Many times, card issuers immediately begin investigating the situation and it may not be long before the transaction goes through. Even consumers who use a debit card but select the option to process their transaction as credit understand that credit protects their information from theft. 

The large number of perks
According to a 2010 study conducted by the Federal Reserve Bank of Boston, about 60 percent of consumers have a credit card with a reward program. One of the main reasons customers pay with their plastic is because they can build up reward points to use toward other purchases. Issuers may even offer insurance or warranties for select goods or services, increasing the likelihood that consumers will spend again because they know their purchases will be protected.

Companies looking to increase client retention and satisfaction while driving sales may want to consider integrating credit card processing software. 

Nexus: G-WEBCD2