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Thought LeadersDiscover the benefits of accepting card payments on your phone

Discover the benefits of accepting card payments on your phone

Accepting card payments using a mobile phone is the most convenient payment option for your business as it provides your customer with a seamless, secure, and speedy buying experience. Linking external hardware to your smartphone is one way to look at it. However, it reduces the practicality as it will be hard to take payments if the hardware breaks down. The alternative yet increasingly popular way to accept card payment solutions on the phone is by using apps without the need for any external hardware, giving you flexibility as a merchant and convenience to your customer.

Some of the common ways for accepting mobile payments are:

  • Virtual terminal: It is a cloud terminal that processes transactions through a web-based application through a smartphone connected to the internet. QR codes and pay-by-link can be a part of the virtual terminal.
  • QR codes: Scan an app generated QR code with the customer’s phone camera, which opens a web page to finalise the transaction.
  • Payment links/pay-by-link: The merchant will send a payment URL to the customer, and the customer needs to enter their card payment on a web page to finalise the transaction.
  • SoftPOS: The latest generation of payment programming bypasses the need for an external card reader (mPOS) and uses the NFC technology on your smartphone to read cards and process payments.

How to accept credit card payments on an Android device?

Despite the fact that NFC capabilities have been tested on smartphones for years, they have neglected to be widely adopted when it comes to accepting payments. NFC, or near-field communication, is the capacity to transmit data between two devices within a given range without needing physical contact.

SoftPOS is currently only available for Android users. This is due to Apple’s policy of not allowing developers to create softPOS for its devices. It is alleged Apple’s payment-related Application IDs are not supported by core NFC. In keeping with this, Visa and Mastercard explicitly indicate that their softPOS modules are designed exclusively for Android.

In order to accept credit card payments on your android device, you must first open an account with a service provider that is linked to a credit card processor by submitting the necessary documentation. Unless you’re receiving payments in a payment platform-provided online account, you’ll additionally need to link a bank account.

After registering successfully, you can download the app from the Google Play store and log in to your app. You must enter and confirm the transaction amount to receive customer payments. The customer then holds their card or mobile wallet against the back of their phone until the transaction is completed. A pin pad may appear depending on the card settings of the customer. Following that, the consumer will receive a transaction confirmation through email, SMS, or app notification. The app is specifically built to use one-time dynamic cryptograms to securely process cards in accordance with EMVCo and PCI card industry requirements, making SoftPOS transactions safe and compliant.

Have a glimpse of the benefits of accepting card payments on your mobile

Accepting card payments using a specialised mobile app is not only a new method of processing payments but also an efficient one that can transform how businesses manage finances. Because of its nature and the limited availability of logistics, some businesses couldn’t accept electronic card payments. However, the deep penetration of smartphones has enabled all businesses to process card payments through an app, card machine for business improves business efficiency and streamlining sales. Some of the additional benefits are:

  • Cost reduction: A mobile payment system is a more convenient option for cost reduction as it eliminates the need for external hardware. A merchant can process transactions without needing a conventional and cumbersome payment infrastructure by tapping or scanning a card.
  • Boost sales: Taking payments through a smartphone reduces the complexity of payment processing and time, leading to a high customer engagement rate and sales.
  • Competitiveness: Mobile payment systems are easy to integrate and have many third-party plug-ins available to perform smooth transactions, putting the business in a better position to attract target audiences and increase conversions.
  • Secure: Processing sensitive credit card information needs safety as an utmost priority as it is prone to data and security breaches. Payment app developers consistently introduce new fraud-prevention tools and updates to address safety, making it the safest option compared to legacy systems.
  • Analysis: Accepting payments through a mobile app will not only work as a repository to store transactions but helps in analysing the financial behaviour and strength of a business and can help in future predictions. This will provide data-based knowledge to run and manage the business.
  • Green business: Accepting payments through mobile is an eco-friendly option as it eliminates the need for multiple hardware production. Since receipts and transaction records can be shared and saved on the phone, it reduces the need for printing additional papers and reduce carbon footprint.

Accept card payments on the go!

The introduction of smartphone apps to accept card payments has revolutionised the payment processing mechanism and is set to become an uncontested mode for payments. This benefits the retailer-customer relationship and will potentially transform businesses with opportunities for innovations such as endless aisle, click and collect, and mobile wallets with integrated loyalty.

Technologies such as SoftPOS present a compelling case among businesses to embrace technological innovations. However, the key to this process is ensuring that customers are confident about the security of mobile systems. There are clear data protection and privacy concerns when customers use mobile devices. Despite the appeal of quick and simple transactions, it has been reported that many individuals are holding back on utilising technological innovations because of security concerns.

The security apparatus of mobile payment systems is increasingly getting efficient.

Coupled with proper regulations and compliance, it will be the future of transactions. Given its limited availability, one must be careful in selecting the app. A service provider with credible history and frequent updates should be the first choice.

The purpose of accepting credit card payments on a mobile device is to make it easier for customers to pay from any location. Keeping this goal in the forefront, in addition to reducing expenses and increasing data security, is instrumental for your business’s success.

Sam Allcock
Sam Allcock
With over 20 years of experience in the field SEO and digital marketing, Sam Allcock is a highly regarded entrepreneur. He is based in Cheshire but has an interest in all things going on in the North West and enjoys contributing local news to the site.
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