There has been a business and consumer-wide normalization of mobile payments barreling its way throughout every industry. Their versatility and usability have proven extremely lucrative for multiple small businesses looking to advance their checkout experiences. Mobile payment setups process data incomparably fast in contrast to their debit and credit card predecessors, utilizing a simple tap-to-pay system through a customer’s mobile wallet on their phone. These mobile payment options are amazing for faced paced retail businesses, in addition to a slew of other business avenues like those operating out of pop-ups, or food trucks.
Business with large volumes often prefers mobile payments for their expediency in the checkout process. Small businesses take a liking to it simply because it allows them to avoid working with the more complicated traditional POS setups. All they need is a mobile card reader, and they’re set up and ready to go.
The Essential Mobile Payment Processing Terms
Where mobile payments get complicated is the tiring effort of pouring through the slew of extremely important information and terms if you want to properly navigate the mobile payments environment. The following are the most important to understand, established in the simplest of terms to build you a good foundation to work with if you plan on integrating one of these systems.
Contactless Payments
Often used interchangeably with “mobile payments”, contactless payments utilize NFC technology to share and secure payment data. As long as you have an internet and Bluetooth connection, most card readers are readily able to accept contactless payments
Magstripe
Magstripe refers to the long black strip utilized in credit card and debit card “swipe and sign” payments. These are still readily accepted by most mobile card readers or POS systems but are being phased out as their security capabilities are greatly lacking compared to their successors.
NFC
Standing for near-filled communication, this contactless payment technology facilitates payment data between devices.
EMV Chip Cards
EMV chips are a new form of payment transfer technology utilized on debit and credit cards, succeeding the Magstripe. Facilitating payments using an insertion method rather than a tap-to-go. These are faster than Magstripe but slower than NFC payments.
QR Codes
QR codes allow you to avoid credit card transactions, usually by directing customers’ payments through PayPal or Venmo. You simply scan a unique code, verify the retailer information, and the transaction is completed.
Mobile Point of Sale
This is your virtual POS terminal, which you can use to process credit card payments via Bluetooth. You need internet connectivity and an app to properly use it, depending on your processor.
Mobile Card Readers
You can directly plug these physical card readers into your device of choice to accept any credit card payments.
Selecting the Best Mobile Merchant Services Provider for your Business
It can be overwhelming when trying to break down the volume of options mobile providers offer, especially if you’re trying to mold your business to fit that processor. But the best mobile providers don’t try to fit a square peg in a round hole, they collaborate with you to negotiate the terms that serve both you and your provider. These are some broad strokes to be aware of, so you can have substantial knowledge of what you need from a potential processor when negotiating.
Online Payment Gateway Options
Asses your clients preferred payment options, they can often paint a good picture of what will be efficient for new potential customers moving forward.
PCI Security Compliance
The new gold standard is the essential set of rules you must enforce while utilizing a mobile payment processor. Some will manage this for you, other providers charge a fee for the service. Make sure to double-check so you’re not caught off guard down the line.
Payment Processing Fees and Pricing
These fees and pricing can vary immensely between service providers, take the time to research the different pricing structures processors can provide, and make sure you’re getting exactly what you need.
Mobile Merchant Service Features
Providers often upsell you into buying more features that you may inevitably never use. For example, they may often provide an option to sell gift cards to your customers. What may seem like an enticing avenue for revenue at the time, may potentially turn into a hassle down the line when you’re paying for a service you never use.
Payment Processing Hardware
You may only need a Mobile POS system to get started, but there’s a plethora of provided hardware that can assist you in multiple ways. You may also need a physical POS Terminal, or customer data tracking, whatever the case, take the time to assess what you need and see if you can find a provider that offers it.
Payment Processing Hardware Integrations
This hardware doesn’t exist in a vacuum, you’ll need to prepare for integration with your existing applications, like an online invoice system or eCommerce storefront.
Take that Next Step
If you’re a small business ready to jump into the world of mobile payments but are a little intimated, contact us at RevitPay. We’re an all-in-one payment processing solution that can assist in furthering multiple facets of your business, including the integration of mobile payment options.