Online payment processing tools essential for business growth
January 13, 2014
Technology that makes it easier to accept credit card payments online will help many small and medium-sized enterprises make the full transition to 21st century business practices.
Most consumers in North America are fully connected to the Internet, meaning the e-commerce industry has grown at a rapid pace over the last several years. In fact, Walker Sands recently surveyed more than 1,000 U.S. consumers for its 2014 "Future of Retail Study" and found online shopping has nearly become second nature for a large majority of individuals. According to the organization, 62 percent of shoppers said they make purchases over the Internet at least once every month.
Not only is the Internet becoming more of a routine source of retail for Americans, but 45 percent of respondents also claimed to be comfortable spending anywhere between $100 and $500 on a product without ever seeing it in person first. This particular trend correlates directly with new data released by IBM that was cited by CNBC that found showrooming, in which shoppers browse for items in brick-and-mortar stores before ordering them online at a more competitive price, accounted for only 30 percent of total online sales in 2013, as opposed to 50 percent in the previous year.
"It's really an interesting point here, where people are just more comfortable to go direct to online versus having to go to a store first," Jill Puleri, IBM retail consulting leader, told CNBC.
Because of this growth in e-commerce, businesses now have more opportunities than ever before to expand their operations with advanced electronic payment systems. Limiting revenue to one payment channel is unlikely to produce enough income in today's high-tech industry. Online payment processing tools allow firms of all sizes to reach a wider audience in the long run.