October 24th, 2018 by Admin
Having a product or service based business can be easily manageable when you are pricing your business correctly. But can it be done? Before processing, consider pricing.
What does that mean? Before you pick your payment processing service, consider pricing them correctly. Pricing can be tricky sometimes. If you charge too much, you might have a harder time selling your product but if you charge too little people might not honestly see the value of what you have to offer.
There are a certain number of things you need to consider that can make your life easier when it comes to pricing. Knowing your market can, by far, be the most important thing of all. Without knowing your market, you cannot correctly know whether your product or prices will be good.
Knowing your market can greatly positively impact your business. It can help you figure out anything from pricing to branding and including what you can do to grow the business. Start by building up your perfect customer or “avatar” write what your ideal client would enjoy, dislike, what age, gender (if applicable), and even area where they would live.
Once you have this, it will give you a better idea on how to price your services. Consider this:
You sell handmade bags. Although it does not take you too long now to make the bags, the materials are costly, and you need to maximize its use. Your ideal client would not hesitate in buying them, is into fashion, and although anyone can buy them, you have seen many girls ages 18-25 falling in love with them as you walk around with your bag.
Knowing the age group, you know how and where to market and can figure out how much are they willing to pay for your bags. You can also research how much are you competitors charging and see if you price matches, is under-priced or over-priced based on this research.
The next thing you need after figuring out the age and market is your materials. How much do you spend per product? You would need to consider if the price covers the cost of making it and gives you profit.
Having all of these factors will help you price your items correctly so that you are on your way to business success. Once all of these are set up and taken care of, then it is time to set up your account with National Transaction to have a personable and secure payment processing service to start earning on your business.
Posted in Small Business Improvement Tagged with: accept payment, b2b business, business, business cards, card payment system, credit card, entrepreneur, fort lauderdale, NAtional transanction, payment processing, retail, services
July 13th, 2016 by Elma Jane
Monthly statement fee is a fixed fee that is charged monthly and is associated with the statement that is sent to a merchant in one billing cycle, approximately 30 days worth of credit card processing by the merchant account provider; whether it’s a printed one, a mailed statement or an electronic version. Requesting online statements won’t necessarily be able to waive statement fee.
Every credit card and merchant account provider have a different set of costs associated with its services, but remember that there are several processors out there that are very transparent with their fees like National Transaction.
Posted in Best Practices for Merchants, Travel Agency Agents Tagged with: credit card, fee, merchant, merchant account, processors, provider, services
June 14th, 2016 by Elma Jane
Getting a merchant account is an important step for any business that sells services. Helping merchant to understand the underwriting process and some of the key things that are reviewed, in order to get approved.
Billing policy – Does the business bill in advance or after products or services are rendered? Businesses that bill too far in advance are at greater risk for a chargeback.
Example: A travel agency who sold travel destination packages six months in advance and cancel the trip, you’ll need to reimburse your customers.
Business type – Some business types are riskier. Industries with vague products or services are more highly to be examined in detail than those with concrete offerings.
Chargeback history – A business with a lot of chargebacks tied to their old merchant account will have a hard time with underwriting. A chargeback might be issued by the cardholder when they feel that the merchant does not fulfil the product or service being rendered as agreed.
Owner / signer credit score – Credit score plays a big role during merchant account underwriting. However, some processors will review financial statements instead in the case of poor credit. if the original signer’s credit score is insufficient, businesses with multiple partners can also try the application with a different signer.
Requested volumes – Are weighed against the processing volumes requested on the application. New businesses usually start with smaller volumes to build a trustworthy relationship before increasing their processing volumes.
Years in business – Long terms in business go a long way in merchant account underwriting, it speaks for their legitimacy. They are more prepared to respond to something like a chargeback and often have a more stable cash flow.
Posted in Best Practices for Merchants Tagged with: business, cardholder, chargeback, customers, financial, Industries, merchant account, products, services, travel, travel agency
May 16th, 2016 by Elma Jane
Visa Europe has seen a significant increase in the number of contactless payments (card-present transaction) that it has processed this year, it nearly tripled to three billion.
Visa Europe attributed this increase to merchants integrating tap and pay into their checkout process.
This significant increase was largely due to London’s adoption of contactless technology. The contactless payments were also attributed to the launch of Apple Pay, urging consumers to adopt new payment methods.
Setting the stage for tomorrow’s technology, like wearable devices and mobile payment services making today’s achievement possible.
Posted in Best Practices for Merchants Tagged with: card present, consumers, contactless payments, merchants, mobile payment, ontactless technology, payment methods, services, transaction, visa
April 20th, 2016 by Elma Jane
ECS: An Electronic Mode Of Funds Transfer From One Bank Account To Another
- Paper check conversion
- Debit Processing
- Automated Returns Management
- Reporting: Merchant Connect, ACS Standard and Custom Files, Enquire and Corporate Management Reports
- Monthly Statement
- Risk Services: Verification, Conversion
- Image
ACH E-CHECK: Uses Bank Routing and Account Number In a CNP Environment.
- Card-Not-Present e-Processing of ACH Debit
- Known Relationship B/Consumer and Business
- NOT for Ecommerce “Sale of Goods and Services”
- Debit Processing
- Automated Returns Management
- Reporting: Merchant Connect, ACS Standard and Custom Files, Enquire and Corporate Management Reports
- Monthly Statement
- Risk Services: Verification, Conversion
- No Image
Posted in Best Practices for Merchants, e-commerce & m-commerce Tagged with: account, ACS, bank, card-not-present, cnp, consumer, debit, ecommerce, ECS, merchant, risk, services
January 23rd, 2015 by Elma Jane
Technology and software are among the most important investments a company can make, especially when it comes to security. Growing demand for IT services and security solutions prove that business owners know the threats that are out there and want to do something to guard themselves against cybercriminals.
With a well-rounded security solution a business might purchased, and with all the recommended features a business might need, was the investment really worth it? Security solutions provider Trustwave, found that organizations of all sizes are wasting their security dollars and none more so than small businesses.
Small businesses spent an average of $157 per user on security software, compared with $73 per user in larger companies. Nearly 30 percent of that investment ended up underutilized or never used due to non- or misuse of security controls and features. And yet, companies still increased their spending by 44 percent.
Why did businesses end up letting their security software go partially to waste, despite significant increases in IT spending?
Many organizations cited a lack of resources: Either IT staff was too busy to implement their security solutions properly, or didn’t have the manpower to do so.
With the alarming number of high-profile corporate breaches, businesses of all sizes are aware that they need to invest in top-of-the-line solutions. IT professionals expect a 43 percent increase in their use of cloud-based or managed security services. But the financial constraints many small companies face can prove to be an obstacle to proper security.
A few IT-related tips to help save money, which can then be reallocated toward the technological and staffing resources needed to protect a business.
Monitor software usage and eliminate solutions that aren’t being used. Seek out products that are designed for small business. Some companies offer free or discounted versions of their product to very small companies. Track any IT/software purchases to ensure you’re within your budget.
Posted in Best Practices for Merchants Tagged with: breaches, Security, security software, services, software, solutions provider, technology
September 16th, 2014 by Elma Jane
Card-not-present merchants are battling increasingly frequent friendly fraud. That type of fraud..The I don’t recognize or I didn’t do it dispute. This occurs when a cardholder makes a purchase, receives the goods or services and initiates a chargeback on the order claiming he or she did not authorize the transaction.
This problem can potentially cripple merchants because of the legitimate nature of the transactions, making it difficult to prove the cardholder is being dishonest. The issuer typically sides with the cardholder, leaving merchants with the cost of goods or services rendered as well as chargeback fees and the time and resources wasted on fighting the chargeback.
Visa recently changed the rules and expanded the scope of what is considered compelling evidence for disputing and representing chargeback for this reason code. The changes included allowing additional types of evidence, added chargeback reason codes and a requirement that issuers attempt to contact the cardholder when a merchant provides compelling evidence.
The changes give acquirers and merchants additional opportunities to resolve disputes. They also mean that cardholders have a better chance to resolve a dispute with the information provided by the merchant. Finally, they provide issuers with clarity on when a dispute should go to pre-arbitration as opposed to arbitration.
Visa has also made other changes to ease the burden on merchants, including allowing merchants to provide compelling evidence to support the position that the charge was not fraudulent, and requiring issuers to a pre-arbitration notice before proceeding to arbitration, which reduces the risk to the merchant when representing fraud reason codes.
The new “Compelling Evidence” rule change does not remedy chargebacks but brings important changes for both issuers and merchants. Merchants can provide information in an attempt to prove the cardholder received goods or services, or participated in or benefited from the transaction. Issuers must initiate pre-arbitration before filing for arbitration. That gives merchants an opportunity to accept liability before incurring arbitration costs, and Visa will be using information from compelling evidence disputes to revise policies and improve the chargeback process
Visa made those changes to reduce the required documentation and streamline the dispute resolution process. While the changes benefit merchants, acquirers and issuers, merchants in particular will benefit with the retrieval request elimination, a simplified dispute resolution process, and reduced time, resources and costs related to the back-office and fraud management. The flexibility in the new rules and the elimination of chargebacks from cards that were electronically read and followed correct acceptance procedures will simplify the process and reduce costs.
Sometimes, an efficient process for total chargeback management requires expertise or in-depth intelligence that may not be available in-house. The rules surrounding chargeback dispute resolution are numerous and ever-changing, and many merchants simply do not have the staffing to keep up in a cost-effective and efficient way. Chargebacks are a way of life for CNP merchants; however, by working with a respected third-party vendor, they can maximize their options without breaking the bank.
Reason Code 83 (Fraud Card-Not-Present) occurs when an issuer receives a complaint from the cardholder related to a CNP transaction. The cardholder claims he or she did not authorize the transaction or that the order was charged to a fictitious account number without approval.
The newest changes to Reason Code 83, a chargeback management protocol, offer merchants a streamlined approach to fighting chargebacks and will ultimately reduce back-office handling and fraud management costs. Independent sales organizations and sales agents who understand chargeback reason codes and their effect on chargeback rates can teach merchants how to prevent chargebacks before they become an issue and successfully represent those that they can’t prevent.
Posted in Best Practices for Merchants, EMV EuroPay MasterCard Visa, Visa MasterCard American Express Tagged with: account, account number, acquirers, agents, Back Office, card, card holder, card-not-present, Card-not-present merchants, cardholder, cards, chargeback, chargeback fees, chargeback rates, cnp, CNP merchants, CNP transaction, fees, fraud, fraud management, Independent sales, independent sales organizations, issuer, management protocol, Merchant's, organizations, protocol, purchase, Rates, resolution, resolution process, resources, risk, sales agents, services, transaction, visa
September 10th, 2014 by Elma Jane
If your businesses considering an iPad point-of-sale (POS) system, you may be up for a challenge. Not only can the plethora of providers be overwhelming, but you must also remember that not all iPad POS systems are created equal. iPad POS systems do more than process payments and complete transactions. They also offer advanced capabilities that streamline operations. For instance, they can eliminate manual data entry by integrating accounting software, customer databases and inventory counts in real time, as each transaction occurs. With these systems, you get 24/7 access to sales data without having to be in the store. The challenge, however, is knowing which provider and set of features offer the best iPad POS solution for your business. iPad POS systems vary in functionality far more than the traditional POS solutions and are often targeted at specific verticals rather than the entire market. For that reason, it’s especially important to compare features between systems to ultimately select the right system for your business.
To help you choose a provider, here are things to look for in an iPad POS system.
Backend capabilities
One of the biggest benefits of an iPad POS system is that it offers advanced features that can streamline your entire operations. These include backend processes, such as inventory tracking, data analysis and reporting, and social media integration. As a small business, two of the most important time saving and productivity-boosting features to look for are customer relationship management (CRM) capabilities and connectivity to other sales channels. You’ll want an iPad POS that has robust CRM and a customizable customer loyalty program. It should tell you which products are most and least frequently purchased by specific customers at various store locations. It should also be able to identify the frequent VIP shoppers from the less frequent ones at any one of your store locations, creating the ultimate customer loyalty program for the small business owner. If you own an online store or use a mobile app to sell your products and services, your iPad POS software should also be able to integrate those online platforms with in-store sales. Not only will this provide an automated, centralized sales database, but it can also help increase total sales. You should be able to sell effortlessly through online, mobile and in-store channels. Why should your customers be limited to the people who walk by your store? Your iPad POS should be able to help you sell your products through more channels, online and on mobile. E-commerce and mobile commerce (mCommerce) aren’t just for big box retailers.
Cloud-based
The functions of an iPad POS solution don’t necessarily have to stop in-store. If you want to have anytime, anywhere access to your POS system, you can use one of the many providers with advanced features that give business owners visibility over their stores, its records and backend processes using the cloud. The best tablet-based POS systems operate on a cloud and allow you to operate it from any location you want. An iPad POS provider, with a cloud-based iPad POS system, businesses can keep tabs on stores in real time using any device, as well as automatically back up data. This gives business owners access to the system on their desktops, tablets or smartphones, even when not inside their stores. Using a cloud-based system also protects all the data that’s stored in your point of sale so you don’t have to worry about losing your data or, even worse, getting it stolen. Because the cloud plays such a significant role, businesses should also look into the kind of cloud service an iPad POS provider uses. In other words, is the system a cloud solution capable of expanding, or is it an app on the iPad that is not dependent on the Internet? Who is the cloud vendor? Is it a premium vendor? The type of cloud a provider uses can give you an idea about its reliability and the functions the provider will offer.
Downtime and technical support
As a small business, you need an iPad POS provider that has your back when something goes wrong. There are two types of customer support to look for: Downtime support and technical support.
iPad POS systems are often cheaper and simpler than traditional systems, but that doesn’t mean you can ignore the product support needs. The POS is a key element of your business and any downtime will likely result in significant revenue loss. You could, for instance, experience costly downtime when you lose Internet connectivity. iPad POS systems primarily rely on the Web to perform their core functions, but this doesn’t mean that when the Internet goes down, your business has to go down, too. Many providers offer offline support to keep your business going, such as Always on Mode. The Always on Mode setting enables your business to continue running even in the event of an Internet outage. Otherwise, your business will lose money during a loss of connectivity. Downtime can also happen due to technical problems within the hardware or software. Most iPad POS providers boast of providing excellent tech support, but you never really know what type of customer service you’ll actually receive until a problem occurs.
Test the friendliness of customer service reps by calling or emailing the provider with questions and concerns before signing any contracts. This way, you can see how helpful their responses are before you purchase their solution. Your POS is the most important device in your store. It’s essentially the gateway to all your transactions, customer data and inventory. If anything happens to it, you’ll need to be comfortable knowing that someone is there to answer your questions and guide you through everything.
Grows with your business
All growing businesses need tech solutions that can grow right along with them. Not all iPad POS systems are scalable, so look for a provider that makes it easy to add on more terminals and employees as your business expands. Pay attention to how the software handles growth in sales and in personnel. As a business grows, so does it sales volume and the required software capabilities. Some iPad POS solutions are designed for very small businesses, offering very limited features and transactions. If you have plans for growth, look for a provider that can handle the changes in transactions your business will be going through. Find out about features and customization. Does the system do what you want it to do? Can it handle large volume? How much volume? What modules can you add, and how do you interface to third parties? You should also consider the impacts of physical expansion and adding on new equipment and employees. If there are plans in the future for you to open another store location, you’ll need to make sure that your point of sale has the capabilities of actually handling another store location without adding more work for you. If you plan on hiring more employees for your store, you’ll also want to know that the solution you choose can easily be learned, so onboarding new staff won’t take up too much of your time.
Security
POS cyber attacks have risen dramatically over the past couple of years, making it more critical than ever to protect your business. Otherwise, it’s not just your business information at risk, but also your reputation and entire operations. iPad POS system security is a bit tricky, however. Unlike credit card swipers and mobile credit card readers that have long-established security standards namely, Payment Card Industry (PCI) compliance — the criteria for the iPad hardware itself as a POS terminal aren’t quite so clear-cut. Since iPads cannot be certified as PCI compliant, merchants must utilize a point-to-point encryption system that leaves the iPad out of scope. This means treating the iPad as its own system, which includes making sure it doesn’t save credit-card information or sensitive data on the iPad itself. To stay protected, look for PCI-certified, encrypted card swipers.
Posted in Best Practices for Merchants, Mobile Point of Sale, Point of Sale Tagged with: (POS) systems, accounting, app, business, card, cloud-based, credit, credit card readers, credit-card, crm, customer, customer relationship management, customer support, data, data analysis, database, desktops, e-commerce, inventory, iPad Point-Of-Sale, loyalty program, mcommerce, mobile, mobile app, mobile commerce, online, online platforms, Payment Card Industry, payments, PCI, platforms, POS, POS solution, products, sales, Security, security standards, services, Smartphones, social media, software, tablets, terminal, transactions, web
September 5th, 2014 by Elma Jane
Businesses are rapidly adopting a third-party operations model that can put payment data at risk. Today, the PCI Security Standards Council, an open global forum for the development of payment card security standards, published guidance to help organizations and their business partners reduce this risk by better understanding their respective roles in securing card data. Developed by a PCI Special Interest Group (SIG) including merchants, banks and third-party service providers, the information supplement provides recommendations for meeting PCI Data Security Standard (PCI DSS) requirement 12.8 to ensure payment data and systems entrusted to third parties are maintained in a secure and compliant manner.
Breach reports continue to highlight security vulnerabilities introduced by third parties as a leading cause of data compromise. The leading mistake organizations make when entrusting sensitive and confidential consumer information to third-party vendors is not applying the same level of rigor to information security in vendor networks as they do in their own. Per PCI DSS Requirement 12.8, if a merchant or entity shares cardholder data with a third- party service provider, certain requirements apply to ensure continued protection of this data will be enforced by such providers. The Third-Party Security Assurance Information Supplement focuses on helping organizations and their business partners achieve this by implementing a robust third-party assurance program.
Produced with the expertise and real-world experience of more than 160 organizations involved in the Special Interest Group, the guidance includes practical recommendations on how to:
Conduct due diligence and risk assessment when engaging third party service providers to help organizations understand the services provided and how PCI DSS requirements will be met for those services.
Develop appropriate agreements, policies and procedures with third-party service providers that include considerations for the most common issues that arise in this type of relationship.
Implement a consistent process for engaging third-parties that includes setting expectations, establishing a communication plan, and mapping third-party services and responsibilities to applicable PCI DSS requirements.
Implement an ongoing process for maintaining and managing third-party relationships throughout the lifetime of the engagement, including the development of a robust monitoring program.
The guidance includes high-level suggestions and discussion points for clarifying how responsibilities for PCI DSS requirements may be shared between an entity and its third-party service provider, as well as a sample PCI DSS responsibility matrix that can assist in determining who will be responsible for each specific control area.
PCI Special Interest Groups are PCI community-selected and developed initiatives that provide additional guidance and clarifications or improvements to the PCI Standards and supporting programs. As part of its initial proposal, the group also made specific recommendations that were incorporated into PCI DSS requirements 12.8 and 12.9 in version 3.0 of the standard.One of the big focus areas in PCI DSS 3.0 is security as a shared responsibility. This guidance is an excellent companion document to the standard in helping merchants and their business partners work together to protect consumers’ valuable payment information.
Posted in Best Practices for Merchants, Credit Card Security, Payment Card Industry PCI Security Tagged with: banks, Breach, card, card data, cardholder, consumer, data, data security, Merchant's, networks, payment, payment card security, payment data, payment information, PCI, PCI-DSS, provider's, Security, Security Assurance, security standards, security standards council, Service providers, services
September 4th, 2014 by Elma Jane
The move to mobile point of sale (mobile POS) is radically changing the face of customer interactions and payments, as both customers and merchants grow increasingly comfortable with the concept of mobile payments. In the current, crowded marketplace most mobile payment solutions are not compatible with each other. Instead of unifying the payment experience they create islands separated by technology or usage that are tailored to individual providers in the market. Multiple devices are currently needed in-store to process different payment types and the challenge is how they can make payments unified in such a way that only one device is needed in store.
The use of cash by customers also adds a level of complication to the mobile POS story. The removal of IDM terminals, removal of customer queues and ability for customers to simply walk up and pay an assistant or to leave a store and have their bank card automatically debited certainly suits the expectations of customers today, however a large number of customers still use traditional cash methods to pay for goods and services. A number of stores that have gone down the route of implementing mobile POS now have a problem dealing with cash because the wandering shop assistants and personal shoppers can only accept card or web-based payment options. The future for mobile POS has potential to be bright, a dominant player will have to emerge in the market. This will break down the technology barriers and usage barriers between different players. The success to mobile POS lies in the payment process being truly unified with one device in one place and very seamless workflow. This will be very complicated thing to achieve, there have been a lot of attempts and a lot of false starts in the history of mobile POS. MPOS will be the future. Five years from now people will be amazed that they did transactions with landlines. NO child will ever see a telephone with a cord attached. Never a popcorn on top of the stove since we developed microwave ovens. Technology changes, and we are slow to adopt new stuff. Once we change we don’t know how we did without it.
Posted in Best Practices for Merchants, Mobile Payments, Mobile Point of Sale, Point of Sale, Smartphone Tagged with: bank, card, cash, customer, devices, IDM terminals, Merchant's, mobile, mobile point of sale, MPOS, payment solutions, payment types, payments, point of sale, POS, provider's, services, technology, terminals, web-based payment
