Payment is a crucial part of any business relationship between the service or a product provider and a customer. Every time a simple payment is performed, both the company and a customer is impacted greatly. This process is crucial, as it finalizes the transaction between the two sides. Depending on how smooth, smart and simple the payment procedure was, a customer might continue using a particular service or not. However, despite its significance, not many companies take care of this important process. Streamlined, modern ways of payment can be highly beneficial for everyone.
It was not always the way it is now. Physical money, which nowadays is considered rather outdated, did not exist. Currencies were not a thing at all. Payments were performed by exchanging goods and services among members of a particular community. The initial currencies arose – shells and beads. This is when the world realized that having a universal method of payment could be useful. This was then followed by gold and silver coins, which became a standard worldwide.
Some might think that the introduction of coins was just a step towards simplifying the payment process. Besides that, the acknowledgment of the universal payment method led to the unprecedented uprise of the global economy. The volume of worldwide trade increased and this process shaped much of the modern world and the way it functions today.
Later stages were the rise of national currencies around the globe. They provided even a better platform for internal and international economic development. The 20th century also saw a transformation of the banking industry which made fast international money transfers a possibility. Credit cards and other innovative financial services were also introduced within the same period.
However, amid the drastic technological development throughout the last couple of decades, tapping a card to pay is not simple and smooth enough anymore. The digital economy brought new opportunities and challenges forward. Implementing fintech services and digitalizing your business can be highly beneficial in many ways.
More and more businesses and fields of the economy use digitalized methods of payment. Notably, the online gambling industry has become an important user of such services. The introduction of cryptocurrencies and their incorporation into the business further boosted this process. Nowadays, Bitcoin casino games SA and other branches of the industry use digitalized financial services to perform payments on a daily basis. Its convenience and efficiency have highly benefited online gambling businesses as well as their customers.
Benefits of introducing digital payments
Digitalizing payment methods can increase profit and revenue, lower a variety of risk factors as well as reduce operational costs of a business. First off, using web-based platforms can be quite time-efficient. There is no need to physically visit a branch or handle any kind of bureaucratic procedures. Other than the time saved, the bank’s service fees are also reduced, as digital payment methods are much cheaper than physical ones. With just a single visit to your payment mobile application, quite a lot of time and money can be saved.
Another important factor is its safety. For some reason, many people still trust physical banking services more. Their main reasoning is that visiting a bank branch is safer than performing the same procedure digitally on a phone. However, the truth is that digital payment methods are much safer. They are performed through well-protected online gateways. Such systems are almost impossible to hack or trick. Moreover, they offer increased transparency. Operations conducted digitally are usually recorded in safe databases. This makes them much more trustworthy and fair both for customers and businesses. Digital transactions are easy to trace, which reduces the chances of document-related fraud.
More generally, using such platforms help businesses avoid dealing with large amounts of paperwork. They are much more simple and offer online records that can be reviewed anytime. Moreover, it helps businesses, especially small and medium-sized enterprises adjust their spending better. Since the payment transcripts are always available, such companies can keep track of their finances better and adapt it according to their needs.
Companies that use digital payments have comparably less cash on them. This particularly concerns businesses that sell products or services through physical branches. Having less or no cash at all reduces the chances of theft and other such occurrences.
Using digital payments is mutually beneficial for employees and companies in regard to their relations with financial institutions. Performing payments or receiving sums of money digitally makes respective entities automatically a part of the credit scoring system. As a result, High risk pay credit card merchant scores can be boosted, increasing the accessibility to credit for companies as well as for individuals.
Women entrepreneurs especially benefit from the digital economy and its better adjustment. Due to social norms or family responsibilities, female business-owners or employees have less time and opportunity to travel or be present when there is a need to physically perform a financial operation at all times. Digital payment methods make the process more convenient and efficient for them. This group can also be extended to those, who do not have access to physical facilities. This particularly is the case in underdeveloped nations and geographically remote areas.
One downside is that making the digital economy work, especially in regard to financial services, requires proper, well-maintained infrastructure. Without a good internet connection, constant access to the network and gadgets, such services would simply not work.
However, more and more countries invest in the infrastructure needed with the hope to modernize their economies. Such efforts are certainly worth the benefits digital payment methods can bring to us.