December 30th, 2013 by Elma Jane

Alternative Payments and Ecommerce Conversions

There’s no shortage of alternative payment choices: eBay’s PayPal, Google’s Wallet, Visa V.me, and MasterCard MasterPass, to name a few.  There is also a proliferation of alternate contenders, as mobile shopping threatens to disrupt traditional methods of payments.

Alternative payment companies each claim that their payment method increases conversions. My company, SeeWhy, performed an independent analysis and confirmed these claims.

In this study data shows significant increases in conversion compared with credit cards, peaking at a 101 percent increase on smartphones.

But this is not the whole story. While these increases are impressive, they only applied to around 15 percent of traffic, so the impact on your site’s overall conversion rate will be much less. Depending on the characteristics of your site you will probably see somewhere in the region of 5 to 10 percent improvement in your site’s overall conversion rate, which is still significant enough not to be ignored. As mobile commerce grows, then alternative payments will become ever more important.

However, before embarking on an alternative payment implementation, there are three important considerations you need to take into account.

1. How Many Alternative Payment Methods?

Choosing only one alternative payment method might be tough, so why not implement several, and cover the market more thoroughly? This may be a valid approach, but think carefully before choosing this option.

For example, RunningShoes.com has implemented PayPal, Google Wallet, and MasterPass as alternative payment options.

The problem is that offering payment choices can create four different competing calls-to-action, as you can see. Whenever consumers are faced with too much choice, indecision tends to follow.

This is also problematic when you consider the whole page. There are lots of visual distractions to the primary call to action, which in this case is the red Secure Checkout button.

Before embarking on implementing multiple calls-to-action, consider how you are going to solve this issue. One route you could consider is to suppress the alternate payment methods for returning customers if the customer always pays by credit card, for example. Or if the customer always purchases by PayPal, show the PayPal button most prominently, and hide the others under a Show alternate methods of payment  link.

2. How to Implement

Not all sites will see significant increases in conversion when implementing alternate payment methods. The main reason for this is that implementations can be done badly. One of the primary benefits of these payment methods is that they enable visitors to bypass the billing, shipping, and card entry steps on an ecommerce site. This is especially important for mobile sites, where entering these details using fingers and small screens defeats all but the most determined.

However, many sites implement these payment methods as an alternative only to entering the credit card number. You can see this here on Barnes and Noble ‘s site, where you are forced to enter shipping and billing information before being presented with the PayPal button. This may be a simpler implementation to do than providing an alternate checkout path, but it is frankly a waste of time, and surprisingly prevalent in PayPal implementations.

The correct method is to implement the alternative payment method as a button at the start of the checkout process, probably on the cart summary page. You can see a good example here of this at PacSun.com, an apparel site, but note the competing calls-to-action problem here as well.

PacSun deals with this slightly differently on mobile devices by not offering V.me. as a payment alternative. This avoids having a four choice vertical list of competing calls-to-action.

Alternative payments can undoubtedly result in higher conversions. However, to be effective they need to be implemented correctly to provide an alternative checkout flow, not simply a payment alternative to credit cards. This takes more effort to implement, but it is worth it. Implementing one payment method properly is a better route than superficially implementing multiple payment methods. This is especially true for mobile sales where the goal is to eliminate data entry as much as possible and alternate payments can do this very effectively. As mobile commerce becomes more important, so will alternative payments, for all merchants.

3. Which Payment Method?

Since there are multiple choices, the obvious route is to adopt PayPal. PayPal claims over 30 million U.S. mobile customers, and over a 100 million active accounts…which is a larger base than any of its competitors. SeeWhy found that 34 percent of U.S. consumers shopping online had PayPal accounts as of July 2013.

However, PayPal also carries some baggage. Having grown up as a payment method of choice for eBay, its reputation is not always considered positive. Some consumers are wary about PayPal, having had negative experiences in the past, probably with smaller merchants on eBay. In fact, according to SeeWhy’s analysis, two thirds of PayPal account holders state that their preferred payment method is a credit card.

Merchants selling luxury items might want to consider alternatives before implementing PayPal because of its reputation issues. Google Wallet is an alternative that is growing fast in part because of the growth of Android smartphones where a Google Wallet account is required to use the Play store, the Android equivalent of the app store. Google Wallet can also be linked to Google+ social sign on, so if you are considering implementing social sign on as well this might be a route to consider.

Both Visa’s V.me and MasterCard’s MasterPass both hold significant potential but the companies are only just beginning to roll out their service. It’s also worth noting that both Visa and MasterCard are rolling out their services through the acquiring banks. This will cause a proliferation of payment choices, leading to complexity and confusion for the shopper. You can see this already with MasterPass where having selected the Buy with MasterPass option, you are then presented with an array of different MasterPass wallets to choose from. Currently there are only six options, but what happens when there are hundreds?

Posted in e-commerce & m-commerce, Electronic Payments, Mobile Payments, Smartphone Tagged with: , , , , , , , , , , , , , , , , , , , , , , ,

December 9th, 2013 by Elma Jane

Credit Cards accepted on the American Express network will be offered by U.S. Bank. in the fall of 2014.

U.S. Bank becomes another major bank to form a partnership with American Express. As previously reported in August, Wells Fargo began issuing new credit cards accepted on the American Express network on a limited basis this year, with a full scale launch planned for the first half of 2014.

Pam Joseph, Vice Chairman of U.S. Bank, said in a statement, We believe that the American Express network provides a combination of benefits and services that many of our customers want.

The cards will be available to bank customers in the 3,088 branches of U.S. Bank, as well as online and by phone. U.S. Bank customers will also have a choice of obtaining a Visa or MasterCard.

Posted in Credit card Processing, Electronic Payments, Financial Services, Visa MasterCard American Express Tagged with: , , , , , , , ,

December 2nd, 2013 by Elma Jane

Europay, Mastercard, and Visa (EMV) standards. Considered safer and widely used across Europe and other nations, the chip-based cards require insertion of the card into a terminal for the duration of a transaction, a break here from our traditional swipe-and-buy behavior. That’s just one way in which EMV changes things here… but it’s not the only way, nor is it the most important way. By way of reminder, October 2015 is the date by which all restaurants and other merchants are due to have implemented these standards, or potentially be liable for counterfeit fraud, which primarily reflects a shift from magnetic-stripe credit cards to chip cards.

The main driver in the EMV migration is card-related financial fraud.  As an example, and traditionally, card fraud in the United Kingdom has always been considerably higher than here in the States, primarily because the U.K. previously used offline card authorization as opposed to the online card methodology used here. As losses due to fraud rose steadily in Europe, despite the best efforts of global law enforcement agencies to reduce it, the pressure to find a solution built around some alternative authentication strategy mounted. From this concern, EMV was born.

Is it working? Recent statistics from the European Central Bank (ECB) revealed that, despite growing card usage, fraud in the Single Euro Payments Area (SEPA) – a mature EMV territory that includes all 28 members of the European Union,  Finland,  Iceland ,  Liechenstein,  Monaco and Norway,  – fell 7.6% between 2007 and 2011. This decline is underpinned by a slowdown in the growth of ATM fraud as well as a 24% drop in fraud carried out at point of sale terminals. The 2008 Canadian roll-out of Chip and PIN had a dramatic impact on fraud there. Card Skimming had accounted for losses totaling $142 million, but that figure dropped to $38.5 million in 2009, according to figures provided by the Interac Association. Some critics point to the fact that most of this decrease comes in the form of face-to-face card fraud, and that criminals merely shift their focus onto some other area that is less anti-fraud focused. Still, there are positive gains and as technologies improve, more successes are sure to follow.

Part of the reason why the U.S. not embraced  EMV sooner is because our  fraud problem, while significant, has typically been among the lowest rates in the world among highly developed economically mature countries. Much of that is due to the online authentication methods at work here. Here at home, our online authentication methodology permits authorizations to be done in real-time, thus thwarting a significant percentage of the fraudulent attempts at the point-of-sale, the best place to stop fraud. Our online authentication methods also incorporate multiple fraud and risk parameters as well as advanced neural networks that are ‘built-in’ to the approval process. It’s been a highly effective system that works well, when compared to most alternatives. The effectiveness of our authentication processes has helped fuel the resistance to full EMV adoption here. However, the EMV migration has gained momentum to the point where it is only a matter of time. The truth is that, despite the gains in preventing credit card fraud, and despite the best efforts of EMV’s backers to push acceptance through, global adoption of the EMV standard is still considerably less than 100%.

In England’s old offline authentication method, credit card transactions were gathered together at specific times- typically, at the end of the business day- and then batched over to the card issuers for authorization. It’s a method that gave those committing fraud a significant time lag between the transaction and the authorization, and this time lag contributed greatly to the higher levels of fraudulent activities in England. However, for Europe and for much of the rest of the world, adoption of the EMV technologies changes things dramatically, at least in terms of authentication protocols for both online and offline purchases. During an offline transaction using the EMV chip card, the payment terminal communicates with the integrated circuit chip (ICC), embedded in the payment card. This is a break from the old method which involved using telecommunications to connect with the issuing bank. The ICC / terminal connection enables real-time card authentication, cardholder verification, and payment authorization offline. Alternatively, in an online EMV transaction, the chip generates a cryptogram that is authenticated by the card issuer in real time.

Posted in Electronic Payments, EMV EuroPay MasterCard Visa, Financial Services, Near Field Communication, Payment Card Industry PCI Security, Visa MasterCard American Express Tagged with: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

November 8th, 2013 by Elma Jane

If you want to make the most out of your shopping adventures, you need to have a credit card that helps you save money. The question is, which option is better for you? Some people automatically think about store credit cards, and others go for cash back credit cards. Before you apply for a card, assess which type of card would be more beneficial for your personal needs.

Cash Back Credit Cards

The main perk to having a cash back credit card is the fact that you can use it anywhere. It still acts as a traditional credit card. The only difference is that you get rewards from the money you spend on it. The average cash back credit card offers 1% cash back on all purchases. Some may also pay an additional 2% to 5% cash back on select purchases made with the card. Example, the Citi ThankYou Preferred Card offers 2 reward points per $1 spent on dining and entertainment. Blue Cash Everyday card from American Express offers 3% cash back at supermarkets, 2% cash back at gas stations and 1% on all other purchases. You could earn a great deal of your money if you choose the right cash back card and use it correctly.

The problem with cash back credit cards is that the rewards structure can sometimes be confusing. The Discover It Card features an attractive rewards program, but its 5% cash back offer changes every three months. It may be on home improvement purchases during one quarter, but during another quarter, it may be applicable on purchases at gas stations and for holiday shopping. You have to keep up with the rewards calendar to get the most out of your credit card. You also have to consider any fees associated with your credit card. Some cash back cards on the market have an annual fee, and many have a slightly higher interest rate than the average card. Review the terms of any card you are considering for so you can pick the perfect one for you.

 Store Credit Cards

Store credit cards are usually easy to apply for and just as easy to obtain. Some of them can be used like regular credit cards, and others have to be used at a specific store. For instance, the traditional Walmart credit card can only be used at Walmart, but the Walmart Discover card can be used anywhere Discover is accepted. You need to know this about your card before applying for it. Many people get a store credit card because they receive some type of introductory offer when they apply for one. You might be able to save 10-15% off your initial purchase, or you might get a certain amount of cash back after making your first purchase. These offers are designed to lure you into getting a card, even though you may never use it again. What you may not realize in the euphoria of the introductory offer is the very high interest rate you typically have on a store credit card.

When you start looking at store credit cards, consider what kind of rewards you can get and how those rewards are accumulated. Do they only come from purchases at that store, or do they come from any transaction? Are you required to use rewards in the store, or can you use them online? Does the card have an annual fee? You must go through this type of analysis before deciding if a store credit card is worth getting.

Are Cash Back Credit Cards Better Than Store Credit Cards?

In our opinion, yes. This isn’t because we’re biased towards cash back cards. We just like the idea that you can earn rewards wherever you make a transaction. You aren’t limited to one store, either in the way you spend money or the way you collect your rewards. In addition, store cards usually have a higher interest rate. With that said, there are people who benefit from store credit cards because they shop at those stores all the time. If you spend thousands of dollars a year at Lowe’s for your construction company, a Lowe’s credit card may provide substantial savings for your business.

Don’t get overly excited when you reach the checkout counter. That one-time savings on a store credit card may not be worth it in the end. Think over your shopping habits and see if a cash back credit card is more suited for your needs. If so, you have plenty of them to choose from.

Posted in Electronic Payments, Financial Services, Gift & Loyalty Card Processing, Visa MasterCard American Express Tagged with: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

October 24th, 2013 by Elma Jane

Reflecting recent research that concludes mobile payment adoption remains low, Total System Services Inc. (TSYS) issued results from a survey that confirm consumers prefer banking applications other than payments for their mobile devices.

While reinforcing the dominance of debit and credit cards as payment mechanisms, the TSYS 2013 Consumer Payment Choice Study revealed that mobile devices are used as a tool for ancillary financial services, such as checking account balances and accessing discounts and rewards.

“For now, the hype largely remains hope for mobile from a payments standpoint,” the survey said. “On a relative basis, consumers would overwhelmingly prefer to have the ability to use their smartphone to monitor transaction activity or prevent fraud versus using their mobile phone as a form factor in a transaction.”

Columbus, Georgia-based processor TSYS found in its third annual survey that, out of 1,000 consumers surveyed online in the summer of 2013, 40 percent of respondents were interested in using mobile devices to instantly stop illegitimate transactions. Additionally, 37 percent indicated that the ability to view in real-time the transactions made with debit and credit cards was also an important feature.

Receiving instant offers and promotions from stores being visited (33 percent); temporarily blocking and unblocking purchases using certain bankcards (29 percent); and paying for purchases using reward/loyalty points (28 percent) rounded out the top payment-related uses for smartphones.

At the bottom of the scale was to pay for purchases with mobile wallets (25 percent) and to use credit or debit card-funded prepaid accounts for the same purpose (22 percent). “Industry observers regard mobile payments as an assumed eventuality,” TSYS stated. “Our survey results indicate that consumers are presently more interested in increased non-payment functionality on their mobile device.”

But the processor remains optimistic about the promise of mobile payments. “We believe that as the infrastructure matures and the ability to use mobile payments becomes more widespread, this trend will change,” TSYS said.

Prepaid undermarketed?

In addressing the role of prepaid cards in the payment mix, TSYS expressed surprise that prepaid cards are apparently not being marketed aggressively by financial institutions. The processor noted that major banks jumped into the prepaid card industry in 2012 to offer general-purpose reloadable (GPR) prepaid cards as checking account alternatives.

But TSYS found that just over 10 percent of survey respondents indicated they had received GPR card offers from their banks. TSYS attributed that low percentage to the fact that the survey respondents were by default credit and debit card users, while GPR cards are primarily targeted to individuals without access to credit or debit cards.

Regardless, survey respondents aged 35 and younger accounted for 64 percent of those who had received such offers. “It could be that the younger demographic on average represents a less profitable checking relationship for banks, or that banks perceive them to be more receptive to the offering,” TSYS said.

Steady goes debit and credit

Consumer payment preferences in 2013 remain relatively unchanged from previous years, according to TSYS. Debit still trumps credit as the preferred payment instrument overall, with both methods being favored by every eight of 10 survey respondents. Debit is still the clear winner when it comes to supermarket shopping and gas purchasing, while credit is preferred when dining out and shopping in department stores. But when it comes to fast food cravings, cash is still king.

On the opposite end of the spectrum, and also consistent with TSYS’ 2012 report, only 11 percent of respondents said being able to set up text message alerts for account balances and transactions was most valuable, and a mere 6 percent valued the ability to register payment cards in mobile wallets.

However, credit tops debit for online purchases, TSYS said. Further of note is that PayPal Inc.’s digital wallet service rivals debit online, with both payment methods favored by roughly one-fifth of respondents. But for small-dollar purchases, like coffee and donuts, cash remains the preferred payment vehicle, despite innovative mobile schemes offered by companies like Starbucks and Dunkin’ Donuts.

Posted in Credit card Processing, Digital Wallet Privacy, e-commerce & m-commerce, Electronic Payments, Gift & Loyalty Card Processing, Internet Payment Gateway, Mail Order Telephone Order, Merchant Services Account, Mobile Payments, Smartphone Tagged with: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

October 18th, 2013 by Elma Jane

All Alerts, All The Time

Will mobile payment apps hail the arrival of mobile interruptions that never let up? Consumers worry that adopting a mobile wallet app will open them up to a barrage of alerts, sounding the alarm every time the local supermarket has toilet paper for half-off. The services can even track your purchases, opening the floodgates for targeted ads. Frequent alerts could be a deal breaker.

Battery Woes

As smartphones gets bigger, badder and more powerful, battery technology is struggling to keep up. That’s a problem if you want to make a call — but it could be an emergency if your smartphone is your wallet, too. Users are already scrambling to find a charging outlet by lunchtime. Soon, failure to recharge might mean you lack the funds to buy lunch in the first place. Meanwhile, credit cards never need a battery boost, and paper money has worked faithfully since well before the invention of the light bulb.

Do I Have The Right Phone?

You’re ready to make a mobile payment — but is your smartphone? Only the most popular new Android and Windows smartphones have NFC support to enable tap-to-pay services, and Apple has decided to forgo NFC altogether with its iPhone handsets. Users of budget smartphones are likewise out of luck. And though smartphones may seem ubiquitous, only a little more than half of U.S. adults have one.

Is It Secure?

Mobile payments open up a whole new frontier for fraudsters — or so cautious consumers worry. In fact, tap-to-pay technology is as secure as swiping a plastic bank card, and cloud services like PayPal Here support two-factor authentication for extra reassurance. Still, consumers worry their personal information could be intercepted during a transaction, and not everyone is convinced that Google can provide the same level of protection as their bank. But hope remains. The survey found about half of the most security-conscious respondents were much more likely to be interested in mobile payment options if they could be promised 100 percent fraud protection.

Limits, Limits, Limits

Even with a glut of mobile payment options, most lack at least one critical feature. Google’s Wallet app lets you stow your payment information in your phone to buy items in brick-and-mortar shops, but its touch-to-pay functionality is limited to Android devices on Sprint and other smaller carriers. Last year, Apple introduced Passbook, a mobile wallet app that lets users store gift card credits, loyalty card information and more on their iPhones — but only a handful of participating businesses support the app. The mobile payment model isn’t just fragmented — it’s fundamentally limited by countless companies competing for an ever-smaller piece of the pie.

Mobile What?

A recent CMB Consumer Pulse survey showed about half of smartphone users have never even heard of mobile payments. And of the 50 percent who have, a meager 8 percent said they’re familiar with the technology. Banks, credit card companies and others hoping to cash in on consumer interest will have to invest in better messaging first.

What Are The Perks?

Credit cards come with alluring perks — signing bonuses, cash back and travel accommodations, to name a few. But mobile payment systems have serious benefits. They can utilize GPS technology to direct you to deals, keep tabs on your bank account to alert you when you’re near your spending limit, and store unlimited receipts straight to the cloud. Businesses profit from mobile wallets, too, which often charge lower fees than credit card companies and encourage return trips by storing digital copies of loyalty cards.

What’s In It For Me?

To convince consumers to abandon trusted payment options for something new, companies must strike an undeniable value proposition. In the late ‘90s, electronic retail giants like Amazon compelled consumers to enter their 16-digit credit card numbers into online portals, opening up a whole new world of convenience with online shopping. But today’s consumers aren’t convinced that mobile wallets are any more convenient than their physical counterparts. Credit and debit cards already offer a speedy, reliable way to pay on the go. And since they’re accepted virtually everywhere, customers can fork over a card without worry or confusion. Convincing people that new technology is worth their time and effort might ultimately be the toughest nut to crack for mobile payment purveyors.

Where’s The Support?

Even the most enthusiastic adopters are out of luck if their favorite shops lack the infrastructure to process mobile payments. Big-box retailers sprang up in the infancy of computer technology, so joining the mobile payment revolution could necessitate updates to check out hardware and software. Mobile payments could be a boon to businesses, but installing the upgrades could be expensive and disruptive — especially when consumer interest remains low.

Which to Pick?

Even curious consumers are confounded by the array of mobile payment options available. Google, Visa, MasterCard and even mobile carriers like Sprint and Verizon are among the heavy hitters on the mobile payment scene, each offering a discrete service with different apps — and different rules. Some rely on Near Field Communication (NFC) technology that lets users simply tap their smartphone against a special reader to pay, while others offer up scannable QR codes. Mobile payments may never take off until one company rises above the rest with a single killer service.

Forget about cash or credit. In 2013, consumers can simply swipe or scan their smartphones at the checkout to pay. A huge array of mobile payment services have sprung up in recent years, urging customers to abandon their plastic credit cards for the “mobile wallet” revolution, but so far, adoption of mobile payment technology has been dismal.

Posted in e-commerce & m-commerce, Electronic Payments, Gift & Loyalty Card Processing, Internet Payment Gateway, Mobile Payments, Mobile Point of Sale, Near Field Communication, Smartphone Tagged with: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

October 10th, 2013 by Elma Jane

Amazon has launched a service that enables its customers to pay on other e-commerce sites via their Amazon account data. Called ‘Login and Pay with Amazon,’ the service sells payment processing for participating retailers.

Amazon has more than 215 million active customer accounts. The Amazon payment service works on personal computers, smartphones and tablets. Site developers employ Amazon widgets and APIs, or application programming interfaces.

Login and Pay with Amazon enables companies to make millions of customers by inviting online shoppers with Amazon credentials to access their account information safely and securely with a single login. Login and Pay with Amazon helps replace guest checkouts with recognized customers, leading to improved services which could include: managing and tracking orders, purchase history detail, special discounts, instant access to shipping addresses and payment methods.

Amazon previously called its payment service Checkout by Amazon, but rebranded it Amazon Payments. In May, Internet Retailer wrote about Autoplicity.com’s experiences adding the Amazon payment tool.

Amazon says it will not share customers’ credit card information gained via the payment tool, and that it will cover purchases made through the service in the same way purchases are covered from Amazon.com.

“This [newly launched] service is more of a repackaging of Checkout by Amazon than as something new,” says a payments industry analyst. “Amazon has been a challenger to PayPal for some time in the Internet payments arena, but PayPal has the dominant market share. One key reason is that PayPal is not viewed as a direct competitor to the merchants it serves while Amazon often is.”

PayPal, part of eBay, is the clear leader in so-called alternative payments, used by 84% of consumers who pay online with alternatives to payment cards, according to a report earlier this year from Javelin Strategy & Research. The report, based on a 2012 survey, also showed that 42% of consumers pay with credit cards when making online retail and travel purchases, up from 40% in the 2011 survey, and 29% pay with debit cards, down from 30%.

The new Amazon service is a “great deal” more than a warmed-over Checkout.

He points out that the number of Amazon’s active accounts is much more than the active users of all eBay’s payment services. Including consumers with PayPal or Bill Me Later accounts, that base totaled 132.4 million in the second quarter, up nearly 17% from 113.2 million a year earlier, according to eBay.  And Amazon’s customers trust the security of making payments through the e-retailer, and have grown accustomed to the convenience of doing so. Amazon is No. 1 in the Internet Retailer.

For e-retailers, it’s yet another payment method they might want to evaluate. “Amazon is a damn big brand. If you bring that many users along with [the payment service], then e-retailers will give it serious consideration. It will give PayPal some competition.

 

 

Posted in e-commerce & m-commerce, Electronic Payments, Mobile Payments, Mobile Point of Sale, Smartphone Tagged with: , , , , , , , , , , , , , , , , , , , ,

October 3rd, 2013 by Elma Jane

National Transaction Gift Card Programs

Features & Benefits

Why National Transaction Gift Card? A gift card program offers you a great opportunity to boost sales by increasing customer loyalty and enhancing your business brand. Gift cards are used like credit cards and can be loaded with any dollar amount. NTC offers customized gift card processing merchant services tailored to your gift card processing needs. It’s secured and easy to manage.

 Benefits to Consider:

 Brand Building and Loyalty                                                                                                                          Gift cards can be a great source of advertising for your business.                                                                Gift cards are re-loadable; customers often reload them and continue to use them.

 Cash Flow Enhancement                                                                                                                            Prepaid gift cards are purchased prior to customers receiving their goods and services from you.  You can re-invest these dollars back into your business.                                                                                Earn money; research shows that customers tend to spend more than the value of the gift card.

 Easy to Manage                                                                                                                                              Merchant gift cards are easy for your customers to use and easy for your employees to issue and redeem, as they work similar to credit cards.

 Eliminate or Remove Cashback                                                                                                                  Don’t have to use the full balance of the card – the balance remains on the card.                                        It can be issued for returned merchandise, thereby reducing fraud.                                                              Gift cards can only be activated by swiping through a POS terminal.

Get and Bring New Customers                                                                                                                   Using gift cards as presents (e.g. Showers, Mother’s Day, Birthdays, Graduation and Christmas) is more popular than ever before.                                                                                                                         Offering a gift card program can help bring new customers to your business, thereby increasing sales.

 Increasing Brand Awareness                                                                                                                        Gift cards customized with your business name or logo are an effective way to advertise your  business and leave a lasting impression with customers.

Electronic gift card vs paper certificates?                                                                                                 An electronic gift card solution provides a number of benefits over certificates, such as:

Minimize Fraud – card are difficult to duplicate while paper certificates can be photocopies or duplicated.     Save Money – cards can be reloaded. Paper certificates can only be used once.                                   Save Time and Maximize Efficiency – gift cards can be loaded and redeemed easily, and provide electronic reporting. Paper certificates require manual work.

NTC Gift Card Operations                                                                                                                                                                                                                                                                                     How does a Gift Card work?                                                                                                                         Cards are activated through your NTC merchant account with a dollar value requested by your customer and not dependent on things like proprietary equipment. Once the card is activated, it’s ready to use as payment at your location.

Are my Gift Cards reloadable?                                                                                                                   Yes, and may be reloaded as many times as you wish. You may consider offering an incentive to thank your customers for their loyalty. Incentives can range from providing a free product or service from your store.

What NTC Merchant Services terminals do I need to process NTC Gift Cards?
Your NTC Gift Card will function on any Standalone, Wireless and Bluetooth terminals.

Card Ordering/Design

What is the standard gift card size?                                                                                                       Most gift cards are the exact same size as a credit card:

What options do I have to advertise my business name on my cards?
To help promote and advertise your business brand on your cards, you can choose one of these options:

Basic – Include your company’s name, address and phone number on a pre-selected style.                 Standard – You can choose from an attractive selection of pre-designed card styles.                             Add a single color logo or customized text in your choice of font style and color.
Custom Cards – Custom cards designed by you or with our help, invest with style.

How long does it take for me to be set-up and receive my gift cards?
Your application and set-up on NTC systems will take approximately 5 – 7 business days.                       Non-peak times (outside Christmas) – 2 weeks                                                                                           Peak times – 4 to 6 weeks

How many cards I can order?                                                                                                         Quantities of 50 for Basic, 100, 1,000 for Standard.

Posted in Best Practices for Merchants, Electronic Payments, Gift & Loyalty Card Processing, Merchant Services Account Tagged with: , , , , , , , , , , , , , , , , , , , , , , , ,

July 24th, 2013 by Admin

Credit cards have become so ubiquitous in our daily lives we barely notice when we use them to complete a transaction. An alternative currency is stretching its wings to give those credit cards a run for their money, but will it win out? What will credit look like over the next decade or two. With new technology, digital payments are changing the way we view transactions. Read more of this article »

Posted in Electronic Payments Tagged with: , , , , , , , , , , ,

July 15th, 2013 by Admin

At the heart of mobile payments is persona. In a cash based humanity, persona isn’t a very big anxiety as everyone’s money is the same. But if you are going to be swiping, scanning, or only signalling to the Starbucks barrista as she agrees your picture to your face, your persona is the critical enabler to making the entire design work.

So it might be a good idea to gaze at the concept of persona a little more nearly. Identity habitually arises as a part of a structure intended to permit the identifier some kind of rights and privileges while defending the interests of the identifying party. The outcome of this need is some kind of identification, which could be a borrowing card, passport or driver’s license, or a myriad of alike things. Read more of this article »

Posted in Mobile Payments Tagged with: , , , , ,