Do you know the average credit card swipe fee in America is around 2-2.5% of the transaction amount? It’s among the highest in the world. But do you also know that as business owners, you can avoid paying this fee by passing it on to your customers as a surcharge? Read on to learn more!
1. How credit card swipe fees are hurting American businesses?
Credit card swipe fees have experienced a significant increase of over double in the past decade. This surge can be attributed to the dominant market control of Visa and Mastercard, who collectively hold an 80% share. These fees are calculated as a percentage of each transaction, contributing to their impact on businesses and consumers. In 2021, swipe fees alone raised prices for the average American by a minimum of $900. Remarkably, swipe fees rank as the fourth-largest item in America’s sales expenses.
While swipe fees are not a new concern, the issue has worsened during a time when Main Street businesses are grappling with changing macroeconomic conditions. Small business optimism plummeted to a six-month low in December, primarily due to the ongoing battle against rising costs. According to the Federal Reserve’s survey, banks face an average cost of 4 cents per transaction, regardless of the total ticket amount. Interestingly, swipe fees in the United States are among the highest worldwide.
To address these concerns, the Credit Card Competition Act was introduced in Congress last year. However, it failed to become law before the conclusion of the congressional session.
2. How can business owners avoid credit card swipe fee?
Here are some ways to avoid credit card swipe fees:
As a leading merchant service provider, HTSwipe will give you the best payment solution to fit your needs. In addition to the traditional interchange plus pricing, we provide flat rate payment solution to nail salon, spa, restaurant and many other types of businesses. On average, our customers save thousands of dollars per month by switching to flat rate payment solution. In addition, we will help you to become PCI compliant so you can avoid paying fines and other penalties.
Start keeping more of your hard-earned money today by filling out the form below. An associate will reach out to you within 24 hours.
Low cost credit card processing is for low-risk merchant accounts
Low cost credit card processing is the number one benefit for businesses who are approved for low-risk merchant accounts. Can your company benefit from processing through a low-risk merchant account? Learn more about low-risk merchant accounts so you can concentrate on the finest processing choices for the characteristics of your company.
What constitutes as a low-risk merchant account?
A low-risk merchant account has a lower risk of fraud or chargebacks. It’s for businesses in low-fraud industries. It’s granted to businesses with good credit, stable processing, and low chargebacks. Low-risk accounts have lower fees and faster funding. Categorization is based on factors determined by payment processors. Different processors may have different criteria for low-risk accounts.
How to qualify for a low cost credit card processing?
You might discover that following a few steps enables you to qualify for low-risk merchant account processing, depending on your sector and business structure.
The following processes cannot be used by every business to qualify. For instance, businesses who exclusively sell their goods online will require high-risk merchant accounts. The fact that internet businesses pose a greater risk to payment processors means that there is, regrettably, no way to completely avoid it.
Use the steps below to assist your business become eligible for a low-risk merchant account if you run a brick-and-mortar operation.
The merchant category code (MCC) you use to identify your business type. You should get in touch with each credit card company you accept to double-check your MCCs because they can change depending on the provider.
7230: Beauty salons such as hair salon and nail salons
5499: Convenience stores and food stores
5511: Car and truck dealers (New and Used) sales, service, repairs, parts and leasing
1520: General contractors – residential and commercial
Why is your MCC important? The code helps credit card issuers evaluate whether you fall within the category of a low-risk or high-risk business because it informs them of the type of business you own. You are not qualified for a low-risk merchant account if you mistakenly utilize the MCC of a high-risk sector of the economy.
Furthermore, many credit card issuers provide discounted rates and fees for a number of MCCs.
Use the proper code to obtain the proper account and pay the proper fee. When you open a merchant service with HTSwipe, we make sure to use the right MCC code for your business type so you don’t have to worry about it.
2. Lower Your Number of Chargebacks
While it is natural for businesses to encounter some chargebacks when accepting credit and debit card payments, unfair chargeback policies can place you at a disadvantage. Nonetheless, there are steps you can take to proactively minimize the occurrence of chargebacks for your business. Below are some of the steps you can implement for your business:
Clear Communication and Transparency: Clearly communicate your policies, terms, and conditions to customers before and after the transaction. Provide accurate product descriptions, pricing, refund policies, and shipping information to avoid misunderstandings or disputes.
Reliable Customer Support: Offer prompt and reliable customer support to address any customer inquiries, concerns, or issues. Responding quickly and effectively to customer inquiries can help resolve problems before they escalate into chargebacks.
Enhanced Fraud Prevention Measures: Implement robust fraud prevention tools and systems to detect and prevent fraudulent transactions. Use address verification service (AVS), card verification value (CVV) checks, and risk scoring algorithms to identify and block suspicious transactions.
Clear Billing Descriptors: Ensure that the billing descriptor on the customer’s credit card statement clearly identifies your business. A recognizable and accurate billing descriptor reduces the likelihood of customers initiating chargebacks due to unrecognized charges.
Stay Compliant: Ensure that your business complies with card network regulations and industry standards. Adhere to best practices and maintain proper documentation to support your transactions in case of disputes.
3. Keep Your Average Credit Card Charge Low
It is advisable to maintain an average credit card charge below $500 whenever possible. However, it is understandable that in certain situations, you may not want to turn away high-value customers who wish to pay with a credit card. Nonetheless, it’s worth noting that having a high average credit card charge may be viewed as a higher risk factor by payment processors compared to businesses with lower averages.
Get your low cost credit card processing from HTSwipe
HTSwipe provides payment and marketing solutions for businesses of all types and sizes. If you operate a low-risk business such as nail salons, barbershops, convenient stores or restaurants, you might qualify for our low cost credit card processing. We have helped hundred of small business owners to maximize their ROI in a short period of time. Contact us today to see how we can help to lower your monthly credit card processing fees. You could save thousands for your business!
An online payment portal is a secure website that allows businesses to accept payments from their customers electronically. Customers can make payments through the portal using various payment methods such as credit cards, debit cards, and electronic bank transfers. The online payment portal typically integrates with the business’s accounting and billing systems, allowing business owners to send invoices to customers for payments.
The increasing importance of having an online payment portal for businesses can be attributed to several factors.
Firstly, customers are increasingly expecting the convenience of being able to make payments online, without the need to visit a physical location or send a check through the mail.
Secondly, the COVID-19 pandemic has accelerated the shift towards online commerce, as more customers are now making purchases and payments online due to social distancing measures.
Finally, an online payment portal can help businesses to improve their cash flow management and reduce the costs associated with manually processing payments, leading to increased efficiency and profitability.
As a result, having an online payment portal is becoming increasingly essential for businesses to remain competitive and meet the evolving needs of their customers.
1. An online payment portal is convenience for customers
An online payment portal makes it easier for customers to make payments in several ways:
Convenience: Customers can make payments from the comfort of their own homes, without having to visit a physical location or send a check through the mail. This saves time and effort, making the payment process more convenient.
Accessibility: An online payment portal is available 24/7, which means that customers can make payments at any time that is convenient for them, even outside of regular business hours.
Multiple payment options: Online payment portals typically offer multiple payment options, such as credit cards, debit cards, and electronic bank transfers, giving customers the flexibility to choose the payment method that works best for them.
Secure payment processing: Online payment portals use secure encryption technology to protect customers’ payment information, giving customers peace of mind that their sensitive data is being kept safe.
Overall, an online payment portal makes the payment process more convenient, accessible, and secure for customers, which can improve customer satisfaction and loyalty.
2. Increased security
A secure online payment portal has a number of advantages, such as:
Encryption: Online payment portals use encryption technology to protect sensitive customer data such as credit card numbers and bank account information. This encryption ensures that any data transmitted between the customer and the portal is secure and cannot be intercepted by unauthorized parties.
Compliance: Online payment portals are often designed to comply with industry security standards such as PCI-DSS (Payment Card Industry Data Security Standard), which sets requirements for how businesses should securely handle payment card data.
Fraud prevention: Online payment portals can be set up to detect and prevent fraudulent transactions. They may include features such as address verification, card verification codes, and two-factor authentication, which help to ensure that the person making the payment is authorized to do so.
Reduced liability: By using an online payment portal, businesses can reduce their liability for payment fraud and data breaches. The portal provider is typically responsible for maintaining the security of the payment system, which can help to protect the business from financial losses and reputational damage.
In general, an online payment portal gives businesses a safe way to collect payments, assisting in the prevention of fraud, data breaches, and other security risks.
3. Only payment portal is cost savings
Businesses can save money by using an online payment portal in a number of ways:
Reduced processing costs: Online payment portals automate the payment processing and reduce the need for manual processing. This can save businesses money on labor costs, as they no longer need to allocate staff time to manually process payments.
Lower transaction fees: Online payment portals typically charge lower transaction fees than traditional payment methods such as checks or money orders. This can help businesses to save money on payment processing fees.
Improved cash flow management: Online payment portals allow businesses to receive payments more quickly than traditional payment methods, such as checks, which can take several days to clear. This improved cash flow management can help businesses to reduce the need for borrowing and save money on interest charges.
Fewer errors: Online payment portals reduce the likelihood of errors in payment processing. This can save businesses money by reducing the need for staff time to rectify errors and the potential costs of resolving disputes with customers.
In general, an online payment gateway can assist organizations in lowering the expenses related to processing payments. Furthermore, it can enhance cash flow management, and lower errors, increase productivity and profitability.
4. Improved cash flow management
An online payment portal can improve cash flow management for businesses in several ways:
Faster payment processing: An online payment portal can process payments much faster than traditional payment methods, such as checks, which can take several days to clear. This can help businesses to receive payments more quickly and improve their cash flow.
Automatic payment processing: Online payment portals can automate payment processing, which reduces the need for manual processing and eliminates the risk of errors. This ensures that payments are processed quickly and accurately, which can improve cash flow management.
Timely payment reminders: Online payment portals can be set up to send automated payment reminders to customers, which can help to ensure that payments are made on time. This can help businesses to maintain a steady cash flow and avoid cash flow disruptions due to late payments.
Real-time access to payment information: Online payment portals typically provide real-time access to payment information, including payment history and outstanding balances. This can help businesses to manage their cash flow more effectively by providing them with up-to-date information on their receivables.
Overall, an online payment gateway can help organizations better manage their cash flow. It speeds up processing, removes errors, sends timely reminders for payments, and gives real-time access to payment data. This might aid companies in keeping a smooth cash flow and strengthening their financial position.
5. Increased customer satisfaction
In addition, an online payment portal can improve customer satisfaction such as:
Convenience: Online payment portals offer customers the convenience of making payments from the comfort of their own homes, without having to visit a physical location or send a check through the mail. This saves time and effort, making the payment process more convenient for customers.
Accessibility: An online payment portal is available 24/7, which means that customers can make payments at any time that is convenient for them, even outside of regular business hours. This flexibility can help to improve customer satisfaction by allowing customers to make payments on their own schedule.
Multiple payment options: Online payment portals typically offer multiple payment options, such as credit cards, debit cards, and electronic bank transfers, giving customers the flexibility to choose the payment method that works best for them. This can help to improve customer satisfaction by providing customers with a range of payment options to choose from.
Secure payment processing: Online payment portals use secure encryption technology to protect customers’ payment information, giving customers peace of mind that their sensitive data is being kept safe. This can help to improve customer satisfaction by providing customers with a sense of security when making payments.
Faster payment processing: Online payment portals can process payments much faster than traditional payment methods, such as checks, which can take several days to clear. This can help to improve customer satisfaction by providing customers with faster confirmation of their payments.
Overall, an online payment portal can help to improve customer satisfaction. It provides customers with the convenience, accessibility, security, flexibility, and speed. By offering a seamless and user-friendly payment experience, businesses can improve customer satisfaction and loyalty.
Conclusion
The key benefits of using an online payment portal for businesses include:
Increased efficiency and productivity by automating payment processing
Enhanced security measures to protect sensitive customer data
Improved cash flow management by processing payments quickly and accurately
Cost savings from reduced processing fees and errors
Improved customer satisfaction by providing convenient, accessible, and secure payment options
Real-time access to payment information to help manage receivables more effectively
In conclusion, using an online payment portal can provide businesses with a range of benefits. It can help to streamline payment processing, reduce costs, and improve customer satisfaction, ultimately leading to increased profitability and success.
If you are looking for reliable and affordable online payment portal, please fill out the contact form below. A HTSwipe associate will reach out to you within the next 24 hours with your credit card processing rate. We offer one of the most competitive rates in the market with a free terminals for qualified new customers.
Get your online payment portal today to accelerate your business
Color psychology connects your subconscious mind with a particular brand. Colors define some of the world’s most well-known brands.
These businesses, along with a slew of others, employ color psychology in their logos, websites, and products to entice buyers. As a salon owner, you should consider how you use color and what the colors you choose say about your new salon & spa.
The Psychology of Color (Infographic), courtesy of paintersoflouisville.comWhat Brand Colors Say About Your Business (Infographic), courtesy of Marketo
Follow these 3 easy steps to setup online booking notification iPhone and other iOS devices. Busy nail salon owners will never miss an appointment again.
Step 1: Add Gmail account in iOS devices
If you use an email provider like iCloud, Google, or Yahoo, Mail can automatically set up your email account with just your email address and password. Here’s how:
Go to Settings > Mail, then tap Accounts.
Tap Add Account, then select Gmail as your email provider.
Enter your email address and password.
If you see Next, tap Next and wait for Mail to verify your account.
If you see Save, tap Save.
Step 2: Turn ON badge and sound notifications
Go to Settings > Mail, then tap Notifications.
Select the new Gmail account you just created in Step 1
Switch Allow Notifications to green
Select all three notification types under Alerts
Pick a sound you like under Sounds
When finished, go back to the home screen.
Step 3: Turn OFF notification for default iOS calendar
Go to Settings > Notifications
Select Calendar, then switch Allow Notifications from ON to OFF
Above are the steps to take to setup online booking notification iPhone and other iOS devices. To learn more about On Booking and all of its features, please visit On Booking by HTSwipe.
Adding reservation from Google Calendar into On-Booking system will speed up your online reservation process.
For many salon owners, speed is everything especially when dealing with walk-in and over the phone reservations. Needless to say, Google Calendar is the prefer choice for fast reservations over the phone. Salon owners love the single click action in Google Calendar.
After setting up hundred of On-Booking systems, we notice that salon owners use Google Calendar to capture and display daily activities while utilize the automatic confirmation and reminder functionalities of On-Booking to build relationship with their clients.
In this article, we will show you how to add reservation from Google Calendar into On-Booking System.
How to add a reservation from Google Calendar into On-Booking System
Here the steps to follow:
Select the desired date
Type the event title following this format:
user first name and last name, service name 1 + service name 2, user e-mail address ( only for new customers ), customer mobile number (optional), booking note(optional)
Click on “Add time”
Click on “Save”
Synch success, synch error and synch alert
Once the synchronization has been performed you could have three different scenarios:
ERROR – the event title has a red circle – the reservation has not been created – look inside the event details and have a look at the error message
SUCCESS – the event title has a green circle – you’ll find all the reservations details inside the event
SUCCESS WITH AN ALERT – the event title has a orange circle – the reservation has been created but you have a notice inside the event details
Note:
You’ll got an error message after the synchronization in the following cases and no reservation will be created:
misspelling the customer name
misspelling the service name ( refer to the “Services” section of Salon Booking plugin to see how you entered them )
entering an existing email address
You’ll got an alert message after the synchronization in the following cases but the reservation will be created anyway:
It’s a fact that certain customer services that areold-fashioned will never go out of style. People will always prefer a firm handshake, good customer services and a smile because it’s the key that fits the lock on everyone’s hearts. But there are some old methods, which are outmoded booking sites, that should be left in the past. Every company needs a reliable booking system to maintain its function because it’s the crucial part of the company. Here’s how a good appointment booking system can increase your sales.
Offer a more flexible booking for customers
The old way of booking has always been used by customers so far is to make reservations by phone, email or directly with sellers. There’s nothing wrong with it, but they’re both not the most efficient. The old booking methods above are time consuming and work in your business hours only.
An online reserve system not only helps you never miss a sale, it also allows customers to freely choose the time to book without having to think about whether you are open or not. This is an attraction that will continue to urge them to make additional appointments in the future. Unlimited booking time also means there are no limitations for them to try out your services.
Furthermore, a modern booking system such as On Booking has built-in integrations with popular Google search engine and Facebook. Your customers can now book online via your website, Facebook page and directly on Google search. How cool is that?
Reducing the workload for staffs
A good appointment booking system will help your customers make reservations with any device without too much manpower to maintain the operation. The old ways of making appointments often require you to keep up-to-date and maintain a company book, deal with payments, make sure that everything is error-free, give notes to clients, and manage the availability of staff. Needless to mention, this is a long list of time-consuming activities.
If you use a modern scheduling platform such as On Booking, the whole process can be easily automated. You can coordinate your human resources into other jobs to expand your business. Meanwhile customers can pay for the services they already use, and also book slots for empty slots that no one has yet selected.
Easier for customers to review the service/ product
Have you ever got bored of having complete control of huge databases written in thick and big books? If so, you’re certainly going to want to use a reliable appointment booking system there! With the aid of technology, you can easily facilitate customer feedback on your website. This way you can show off the kind of words given to your business by the previous customers.
More positive testimonials mean that other potential customers will also consider your service options over your competitors. In an age when most people believe in reviews, your superiority to your competitors can create a huge difference. Using a good appointment booking system means you do not leave a lot of cash on the table.
Reduce the likelihood of your customers making a reservation but not coming.
By setting up a reliable reservation system, you can prevent customers from booking but not coming. The automated system will automatically send notification to your customers, which increases the likelihood that they will arrive once they’ve left a spot.
If something unfortunate happens, they will remember to reschedule or cancel their appointment. As a result, you won’t have to wait for someone who will never come. Instead, you can fill the spot with another customer.
More opportunities for you to sale
Customers always like the add up values that they can get when buying things. Same thing with reservations, you will easily upsell or cross-sell if you have a package appealing enough. When you use a good appointment booking system, your services look more professional and convenient with a full range of options for customers to decide. Through a complete and attractive list, customers will find it easier to browse your business and discover new purchasable services.
Know your customers insights based on Data
No matter what you are doing, customers will always have different needs. What if you can predict and implement your marketing strategy based on the biggest needs of your target audience. Customer information will always be a goldmine for any marketers. With a good appointment booking system, you can collect the client’s information to easily create a plan towards them. A successful advertisement will always make it easier for you to connect with your target audience and make them consider using your services.
In case you see some customers who are not coming to your service anymore, you can reach out to them with re-engagement offers to invite them to come back for more.
Either way, knowing your customers’ insights will always be a win for the business. That is why understanding insights through a good appointment booking system is essential.
In conclusion
Above are the reasons for the question How a good appointment booking system can increase your sales. Don’t be afraid to try new things to improve your business. Try a good appointment booking system today to increase your numbers.
