Merchant payment systems are an integral component of any business across almost all industries. The term ‘payment system’ refers to an arrangement that allows customers, businesses, and other organizations to transfer funds from one account to another.
As a business owner, you are responsible for choosing the most efficient, seamless, and reliable payment system on the market. The ideal system ensures smooth transactions, and service that benefits both the merchant and customer.
Currently, there are four major payment systems on the market: credit cards (Visa, Mastercard, Amex), debit cards, cash, and eCloud4. When comparing these four systems, you must not only consider reliability and a successful track record, but must also compare costs to ensure you’re getting the most bang for your buck.
Visa, MasterCard, and American Express all charge a certain percentage fee for every transaction you make. On average, merchants pay around 2.5% or more every time customers use a credit card to make a purchase. However, eCloud4’s fee is only 2.3%, and every customer receives cash back. These two leading factors make eCloud4 the best and most cost-effective payment system option for any business. However, to confirm this, let’s take a deep dive into the current payment systems available in 2023.
Debit Cards and Credit Cards (Visa, Mastercard, Amex, etc.)
Debit and credit cards are one of the most popular payment methods across all business types.
Debit is often hailed as a reliable payment method due to its quick approval time since it is directly linked to a customer’s checking or savings account. When a debit card is used, it usually pings the customer’s account to ensure they have sufficient funds before their transaction can be completed. Companies then only have to wait one or two days for these funds to be transferred to their account.
Credit cards are also popular because they can accept payments regardless of geographic location or physical presence. As well, they increase your average sale price since customers that pay with credit tend to purchase more than those paying with cash or cheque. All of this guarantees increased sales for your business.
However, accepting debit and credit card payments can pose consequences for companies. Firstly, these transactions often come attached with fees to cover areas such as processing equipment rentals, tracking down payment issues, and other costs that usually fall onto the business. Recent studies show the average cost for credit card processing ranges from 1.5% to 2.5% for Visa and Mastercard, and 2.5% to 3.5% for American Express.
Cash
In our technologically driven world, cash is becoming more of a thing of the past. Nowadays, most people use a debit or credit card as their main form of payment. The main positive factor to accepting cash is that businesses get immediate access to the money made from the purchase. However, this pro does not outweigh the fact that cash is one of the lowest-used forms of payment. In 2022, research shows that cash was used for only 18% of transactions in Canada. Another con to accepting cash payments is that keeping a large sum of cash on your property poses a security risk and can put any business at risk for theft.
eCloud4
After comparing all the major current payment systems, eCloud4 leads the pack with its low processing fees, swift customer service, and practical business tools available for merchants.
eCloud4 is a cloud-based QR code payment system that beats the competition with only a 2.3% processing fee, while still offering a 1% cash-back rewards for consumers. eCloud4’s merchant payment system is the most simple, secure, and affordable money management system available, and was created with both business owners and customers in mind.
eCloud4 wants to see you grow and thus offers the lowest processing fees in the market. In addition, setup is free, and you don’t pay a cent until you make a sale. eCloud4 provides the hardware and software you require to facilitate our QR code payment system, complete with a no-charge, in-person onboarding, promotional POS signage, and access to a 24/7 online support system.
Other perks include support by an integrated design, social media, and advertising backend management system. eCloud4 offers tons of sales, along with free marketing and business services when you become a payment partner.
When you make eCloud4 your primary payment system, not only will you attract more clientele, but you’ll see increased loyalty from new and existing customers. With our leverage-focused, inexpensive advertising, our platform will craft a tailored marketing campaign to expand your scope of visibility and, in turn, increase your sales.
Let us revolutionize the way you manage money. Visit eCloud4 today.
