Monthly Archives: February 2015

ABTK-SM-Blog-mobilewallets-hero
Mobile Wallets

Will Mobile Wallets Soon Replace Actual Wallets?

Leave a comment

Mobile wallets aren’t just on the horizon—they’re already here. Recent smartphone applications have facilitated consumer technology capable of making instant purchases, and the trend may replace commonplace wallet purchasing within the next five years.

ABTK-small-blog-image-mobilewallets-01Mobile Wallets: The Pros

Credit card processing is quick, and it’s reliable. However, mobile wallets—when created and utilized effectively—are incredibly convenient for consumers. Mobile wallets are incredible marketing tools, too, due to their incredible accessibility and mobile purchasing’s increasing popularity. Mobile wallets propose a slew of benefits for consumers, including:

  • Ease of accessibility
  • Consolidation of funds
  • Immediate coupons and savings
  • Customer reward programs

The above mention of mobile-accessed coupons is considerably important. An Inmar Solutions trend catcher has depicted an astounding 2.9 billion digital coupon redemption volume. Additionally, approximately 77 percent of shoppers purchased groceries from non-grocer vendors in 2013. Due to a mobile wallet’s wide market accessibility, some of the world’s most vital markets will likely hook into the trend.

ABTK-small-blog-image-mobilewallets-02Mobile Wallets: The Cons

With great accessibility comes high responsibility, and the mobile wallet may propose several problems for future consumers. Merchant services still aren’t accustomed to the change—and several providers may never be.

Additionally, the mobile wallet’s incredible accessibility may pose a problem for some spenders. If you could make a purchase with one quick tap to the phone, wouldn’t you? The following cons also exist within the evolving technology, and it may hold mobile wallets back from their full potential:

  • Consolidation of existing technology may cause bugs
  • Security risks from hacking
  • Access to high-limit purchases may be imbalanced against credit cards

The infamous cellphone hack scandal in the UK definitely plays upon the above worries. Easy banking accessibility may enable thievery and digitally-stored credit card information may not be safe.

It Isn’t Over for Traditional Payments, Either

In fact, mobile wallets rely upon pre-existing monetary exchange systems. Small businesses can definitely profit from the mobile wallet’s design and functionality, but they’ll need to maintain classic systems and policies to take full advantage of the technology.

Why? Mobile wallets, primarily, connect to a business’s checking accounts. For now, mobile wallets are simply “quick access doors” to business transactions. They aren’t exclusive services.

ABTK-small-blog-image-mobilewallets-03You’ll Still Need Your Wallet

Mobile wallets can’t just replace fundamental wallet contents. Your driver’s license, registration, insurance card and other important, physical documentation are still required by law. Likely, mobile wallets will never accommodate for such provisions. Simply put: Security, legality and accessibility are important—more-so than a consumer’s ease-of-access to retail spheres. Regardless of a mobile wallet’s capabilities, their boundaries end where life’s other priorities begin.

In many ways, the world still needs physical proof of monetary funds, legal accessibility, health information and other important items. Mobile wallets will definitely play an integral role in retail’s future, but, for now, the leather bi-fold wallet still has a place in your back pocket…and for good reason.

Stay updated on payment processing trends by following Abtek on Twitter and Facebook. Sign up to receive our newsletter, too.

Share and Enjoy

  • Facebook
  • Twitter
  • Delicious
  • LinkedIn
  • StumbleUpon
  • Add to favorites
  • Email
  • RSS
ABTK-SM-Blog-DataBreach-Hero
Data Breach

5 Bad Habits Putting Your Business at Risk for a Data Breach

Leave a comment

A data breach occurs when an outsider obtains customer information, putting customers at risk for fraudulent charges and identity theft. It can also threaten the reputation of businesses.

There are useful practices and various steps a business can take to prevent such breaches.

ABTK-small-blog-image-DataBreach011. Sticking with old, familiar technology

It is important for businesses to keep up with technology. They must upgrade security in addition to the ways they process payments. While it can be more costly to move to the newest methods, it makes customer information much more secure. After all, those who would illegally gain access to customer information will be using new technology—so why shouldn’t your business stay one step ahead?

Target is an example of a major company that had a data breach due to outdated technology. To prevent this issue in the future, they’ve begun to implement the technology to be able to process mobile payments.

2. Using the same POS system across all stores

Business owners can be tempted to go with what they know, especially if they’re a chain. They become familiar with certain technology, and so they tend to use it in across all stores. However, this habit should be changed. Businesses need to have different computer systems for franchise stores, especially with regard to POS systems.

Jimmy John’s stores were the victims of a major data breach because many of their POS systems were the same. The perpetrators of the data breach were able to clone payments once they figured out how the POS systems worked. If the chain had different POS systems, the data breach may not have occurred.

ABTK-small-blog-image-DataBreach023. Not updating encryption

Encryption of information is the most important way to protect your customers. Encryption scrambles customer data, such as credit card numbers, and makes it unreadable. That way, in the event of a data breach, the information obtained is useless.

Home Depot was hit with a data breach that originated from malware. Home Depot’s security system could not protect against the malware due to how new it was. But, updated encryption software would have made the data unusable to those who created the malware.

4. Insecure employee login information

Employers must give employees access to computer systems and data in order to do their jobs. However, it is easy to become complacent with employee login information. Employee passwords may be easy to guess. Employee credentials may not be deactivated when an employee leaves. Business owners must cease those bad practices. Employee passwords should be complex and changed every few months. Credentials must be deactivated when an employee leaves.

eBay’s data breach occurred because the thieves used employee login information. It is not clear how the hackers had access to employee credentials, but if eBay had made employee credentials more secure, the data breach may have been prevented.

ABTK-small-blog-image-DataBreach035. Failure to watch computer systems

Businesses must regularly watch computer systems, especially POS systems, for signs of a potential security issue. They should look for any irregular transactions or payments. They should check the system for malware and viruses. It is easy to trust security, but vigilance will prevent a data breach from going unnoticed.

In the case of the Neiman Marcus data breach, they failed to check their systems. Not only did the data breach occur, but it went unnoticed for months, despite malware being on their POS systems. It is vital that businesses scan for malware and harmful programs on a regular basis.

Stay updated on payment processing trends by following Abtek on Twitter and Facebook. Sign up to receive our newsletter, too.

Share and Enjoy

  • Facebook
  • Twitter
  • Delicious
  • LinkedIn
  • StumbleUpon
  • Add to favorites
  • Email
  • RSS
ABTK-SM-Blog-cashonly-hero
Merchant Service Providers

Does Your Business Accept Cash Only? Why You’re Probably Losing Customers

Leave a comment

Cash-only businesses may seem lucrative in terms of quick payments, bookkeeping and simplicity, but an all-cash standard may incur a heftier expense: Customers.

Cash-only businesses thrive from cash-drawer-reliant setups, and boosting a start-up business’s potential on a cash-only platform may reduce professional downtime. However, several revealing statistics have shed light upon the trend. Credit card processing has become the new standard—and for good reason.

ABTK-small-blog-image-cashonly-01The Out-Cashed Consumer

Modern consumers utilize credit and debit cards to close a majority of their purchases, with cash becoming infrequent among shoppers. Statistica: The Statistics Portal revealed an astonishing 7.2 percent of shoppers were all-cash-buyers in the U.S. in August 2014. The trend may be capable of hindering businesses reliant on the cash drawer.

Nobody likes inconvenience, and consumers unable to make easy credit card payments may feel alienated. Exchanges may be written off as an interaction worthy of any preference, but the following sales options are hindered by an all-cash system:

  • Individual-based returns
  • Loyalty programs
  • On-account returns

Additionally, customers, it seems, are instantly deterred from all-cash payments upon entering a retail atmosphere. Credit card processing is considered a modern commodity within retail realms, and a consumer unable to access what they perceive as a holistic buying experience may turn away from prospective purchases altogether.

ABTK-small-blog-image-cashonly-02Mobile Payments: The New Retail Realm

Speaking of commodity, mobile wallets and smartphone-accessible payments are on the rise. A Digby.com industry survey revealed several notable statistics surrounding mobile-based retail purchasing, and each proposes an increasingly digital-based future:

  • 27 percent of worldwide companies intend to implement location-based mobile purchasing
  • Mobile purchases accommodate for 12 percent of Americans’ mobile media consumption time
  • Retailer applications capture five times more engagement than non-mobile providers

Increasing mobile trends and heightened technology will likely deliver a new era of retail purchasing. Unfortunately, cash-only businesses may be behind the curve due to massive inaccessibility to such mobile platforms.

Besides consumers strictly “not wanting to pay cash” out of principle, a business operating away from mobile accessibility may appear “shady”, or even “untrustworthy” in modern retail realms. Linking a reliable mobile application—or even a company website—to user accounts promotes a stable, sustainable consumer community.

ABTK-small-blog-image-cashonly-03Cash Volume and Increased Risk

Understandably, security expenses are important. While maintaining an expansive credit and checking system may be expensive, losing money due to theft dominates a store’s potential losses.

Maintaining an all-cash location is considerably more dangerous than utilizing a digital payment system. Modern security technology and information technology solutions are incredibly effective, and provided security measures often provide more than enough coverage to protect an aspiring company.

The Modern Purchasing Standard

Excess cash is also a security risk for the consumer. Additionally, the consumer aversion to carrying around large sums of cash may further limit an all-cash business’s revenue capabilities. A consumer limited to cash is similarly limited to the amount their willing to carry on them. Few people walk around with enough cash to make large-sum transactions.

Security reasons aside, however, the world’s retail atmosphere is evolving towards digitalization, and all-cash businesses may be behind. After all, as companies grow and become more relevant, they’ll likely garner competitors. Feasibility is a consumer benefit, and a consumer may opt to purchase a competitor’s product when a quick card scan or swipe is available.

Stay updated on payment processing trends by following Abtek on Twitter and Facebook. Sign up to receive our newsletter, too.

Share and Enjoy

  • Facebook
  • Twitter
  • Delicious
  • LinkedIn
  • StumbleUpon
  • Add to favorites
  • Email
  • RSS
ABTK-SM-Blog-POSExperience-hero
Merchant Service Providers

3 Ways Merchants Can Revolutionize the POS Experience for Customers

Leave a comment

Merchants today are using innovative technologies to improve the customer experience, giving the buyer more power and more control over the POS process. Customers are responding with increased enthusiasm to improved POS systems, and with renewed interest in the way they buy. This can be seen at retail leaders like Apple, in the everyday buying experience with online retailers and even when ordering a sandwich from tech savvy restaurants.

Using New Tech to Revolutionize POS

We can look at a few examples to see how merchants are leveraging technology, merchant services options and smart sales techniques. They use what they have available to make their jobs easier, improve sales and excite customers. Consider the following:

ABTK-small-blog-image-POS-Experience-1Apple iPad Checkout

Apple stores are famous for having numerous “Geniuses” available to guide customers through the purchasing process. It is easy to get help there when you need it, and no customer is left in the dark on what is available and what will work best for him or her. But Apple goes one step further by giving the control back to the customer–and highlighting one of its flagship products, the iPad.

When customers want to start choosing what to buy, customizing and adding different components, they are given an iPad to do it on. They can enjoy the tactile feedback and high quality visuals offered by the iPad, and choose exactly what they want to add to their shopping carts. It’s a great idea, and may even lead to an additional iPad sale. Credit card processing can be initiated on the iPad as well, making the process a complete experience.

ABTK-small-blog-image-POS-Experience-3Online Countdown Deals

Many ecommerce retailers have discovered a way to get shoppers more involved and active while perusing their stores. These merchants offer limited time deals that are tied to a countdown clock. The shopper has the option to review the deal, but is only given a limited time to decide whether or not to buy. Smart merchant services providers make this easy, giving merchants quick and painless credit card processing options and the technology to customize the shopping experience with things like countdown deals and customized shopping experiences.

ABTK-small-blog-image-POS-Experience-2Self-Checkout Sandwiches

Even certain restaurants are getting on the technology wave, using mobile merchant accounts and iPads to let customers do their own ordering. These restaurants display a menu, give a written explanation of how the system works and then allow customers to order exactly what they want on an iPad. Instant online payments and credit card processing through modern merchant services providers make customer payments a breeze as well. This also makes customized ordering–no mayo, add mustard, hold the pickles–painless for the buyer.

Customers Love Innovation and Control

Consumers enjoy using innovative technologies like touchscreens to enhance their buying experience. They also appreciate the control that these tools give them. Granted, there will always be a few people that dislike what’s new. Returns, complaints and chargebacks will still occur. But overall, these revolutionary approaches to POS and customer experiences offer a better way of doing things, both now and in the future.

Stay updated on payment processing trends by following Abtek on Twitter and Facebook. Sign up to receive our newsletter, too.

Share and Enjoy

  • Facebook
  • Twitter
  • Delicious
  • LinkedIn
  • StumbleUpon
  • Add to favorites
  • Email
  • RSS