The 3 Essential Keys to a Frictionless Payment Experience
May 12, 2021
The last year has since an unprecedented shift towards digital technologies in all walks of life, including payment processing and merchant onboarding. The pandemic is an obvious driver of these shifts, but COVID-19 really just accelerated trends that were already at work in the marketplace. In hockey terms, that’s where the puck was already headed. COVID-19 just got it into the goal a little early.
Cash is Out, Cards are In
We’ve been seeing a trend toward an essentially contactless system at the point of customer payment for at least the last several years. Most younger people don’t even carry money anymore. Carrying cash is rapidly turning into a relic of a bygone age. The generation that essentially grew up cashless is leading this trend, but it’s picking up steam with older people as well. Why carry cash when you can just use your card?
It wasn’t too long ago that you couldn’t be sure that you would be able to use your bank card. Now, this is part of the expectation. There is no legal requirement for merchants to do so, but it’s baked into customer expectations at this point.
Your Merchants Expect Fast Service
Merchants are entrepreneurs. They’re the ones who are working hard to create a great experience for their customers, one that’s fast and frictionless. They expect the same thing from their payfac. You’re not going to retain their business if you’re introducing friction points for their customers.
The idea behind a frictionless experience for the customer is that it takes them no effort at all and causes them no hardships. Oddly enough, it takes a lot of hard work and the right tools behind the scenes to create that frictionless experience! There’s a reason Amazon is so successful. They put in a lot of very hard work to make it easy for customers.
To find success in the payments space, you need a trusted partner who can provide you with the right tools. Above all, you have to make sure they can provide you with velocity, listening, and change management.
3 Components to a Frictionless Experience
First, while underwriting automation has the potential to bring in new business, you need a solution that can ramp up quickly and provide fast results. That’s the velocity aspect. They need to be able to get you up and running fast, but in a prudent manner that still includes your usual safeguards against risk. Whatever software you use needs to be configurable to your processes. In other words, it lets you do business the same way, but much more efficiently.
Second, how good of a listener is the vendor you’re considering? Don’t just look at their product, look at their roadmap and ask why it’s constructed that way. It should be stuffed with innovation and developments that will move the product in line with what clients want to see in the future. If instead it’s focused on fixing issues with previous releases, that tells you where that vendor is invested.
The third component is people. Good, dedicated people are really the secret sauce that makes a good vendor a great partner. Automating your underwriting process isn’t easy and it can’t be accomplished overnight. That’s why you need a vendor who can provide the right people to walk you through the process and provide change management.
Agreement Express can provide you with the velocity you need, the right approach to development, and the people to help you drive the necessary change to take your company into the future. Click here to start the consultation process and book a demo.