Social media is quite a trendsetter for online businesses, starting from the Facebook marketplace, to Instagram business pages, to WhatsApp broadcast. As a result, there are hundreds of small and large-scale businesses operating on various social media.
We are in an era where social media is at its peak. Due to the current situation of COVID, all the businesses are shifting online, as it gives the sellers more reach. We can say that the social media platform has turned into a business tool, as it provides various ads, promotions, and all other marketing tools. In addition to these features, it provides an easy online payment system for transactions. According to the experts, the key to the survival of an online business is to go with the trend of online payment.
In order to grow your business online, you need to provide your customers with the following benefits:
- Secured payment process
- Better check-out experience
- Better customer service
The most challenging characteristic of owning a business online is to accept payments. To accept payments, you will need to have the following:
- A good website, for better user experience
- A payment gateway integration for easy and smooth transaction
Payment Methods
As surveyed by Capgemini in April 2020, consumers have opted to shift to digital payment methods. As per consumer preference, payment methods are also changing over time. As per the reports in 2018, debit/credit is seen as the most frequently used financial instrument. Here are some of the most popular payment methods used:
- Digital Wallet: Digital wallets are gaining popularity over time in the digital payment ecosystem and are one of the leading payment methods for digital transactions throughout the world. According to WorldPay’s 2020 Global Payment Report, 52% of the online transaction are taking place through digital wallets:
- In China, more than 70% of the transaction are taking place through digital wallets
- In Germany, 25% of the transaction are taking place through digital wallets
- In India, 34% of the transaction are taking place through digital wallets
- In the US, 24% of the transaction are taking place through digital wallets
- Credit/Debit/Other Payment Cards: These are the second most used payment method opted by the business. Debit cards record 6% of the transaction, while credit cards record 24.2% of the global transaction. Most payment gateway systems like Zaakpay can access popular card networks such as Visa, MasterCard, American Express, etc. These payment methods can definitely help you boost your business, but there will be a limitation as it will only stick to the card payments.
- Payment Links: Online sellers can create payment links easily with Zaakpay, in order to start selling without a website or an app. Merchants can share the link via a messaging application. The link contains all the information about the payment, and it will redirect the customer to the payment page once they click on the link. This is the safest method to receive payment, as the link is customized, and the customer does not need to share their personal information or bank details.
- WhatsApp Payment: WhatsApp has come up with a payment option, as it not only offers the advantage of text but also for sharing photos, invoices, and other documents. Payment through WhatsApp is easy and hassle-free, as the customer does not have to install some other app to make the payment. It also provides day-to-day auto-generated transaction reports and the benefit of multiple payment options. It also has fraud detection and Chargeback handling to help the customer make a safe and secured payment.
- Local Payment Method: Depending on the region of your business, you need to find a payment gateway that would cater to the needs of the local preferences. Zaakpay is one of the most popular payment gateways that you integrate with your local payment method.
- Cryptocurrencies: People are using cryptocurrencies like Etherium, Bitcoins to make purchases globally. According to the Worldpay Global Payment Report, this payment method makes up less than 1% of the total eCommerce industry in the world.
Benefits of Online Payment for Social Media Sellers
Online payments are more convenient than any other mode of payment, as it gives you the flexibility to receive payments from anywhere in the world, during any time of the day. In addition, customers do not have to wait in line for the payment, reducing the security risk. Some of the other benefits are:
- Increase in Sales: As internet shopping is increasing, the cash payment trend is getting very low. A digital payment system allows customers to pay globally, from their own country. This way, the business is able to hit more sales every year, as they have customers from all around the world, giving the business more opportunities to expand.
- Expanding Customer Reach: Accepting online payment increases the brand value, resulting in more customer loyalty, and it also helps attract new customers, as it deals on a personal level.
- Shopping Experience Made Simple: Online payments have proven to be one of the most convenient modes of payment. This can give your customer a unique feeling, as it involves payment gateways and methods that can add up to your customer’s experience.
- Sense of Security: As the developers keep working on the payment application interface to make it more secure and safe for the customer, it also benefits the online merchants. If the payment method that the merchant is using is safe and secured, the customers are likely to invest trust, which in turn would lead to increased business.
Final Thoughts
The first thought that comes into a business owner’s mind is that they need to have a payment method, and for that, they need a website or an application. However, there’s good news for all the online sellers out there. If an online business owner is planning to operate worldwide, they should go for a payment gateway like Zaakpay, which can be integrated with other leading payment applications, and the transaction can be done without having a website or an application, as a seller can directly share the customized payment links with their customers.
