Providing a brilliant customer experience is among the top goals of businesses worldwide. Achieving it brings plenty of benefits, from increased brand awareness to boosted revenues.
One of the many components that merchants implement to ensure a frictionless shopping process for their customers is integrated payments. Find out what this solution implies and learn how to introduce it into your business operations in this comprehensive guide.
An integrated payment solution ensures a seamless connection between the tools responsible for facilitating financial transactions and other critical elements of a business system, such as:
In other words, integrated payment systems perform functions beyond standard debit and credit card processing, enabling to streamline business operations. Read ahead to find out how exactly these software solutions work.
To understand how integrated payment systems work, it’s best to compare transaction processing with and without this solution.
Here’s how businesses accept credit card purchases without an integrated payment system:
As you can see, the processing of transactions without integrated payment solutions requires merchants to invest a lot of resources.
In contrast, here’s what the same process looks like with an integrated payment system:
Integrated payment solutions mark invoices as paid automatically and send the transaction data to your accounts receivable and general ledger - simple as that!
Based on the information mentioned above, it’s already easy to suppose that integrated payment solutions provide a plethora of benefits for businesses.
Let’s take a closer look at their main advantages for merchants:
1. Centralizing Business Processes
Integrated payment solutions enable merchants to accept payments and consolidate important data more efficiently due to synchronizing the operations of essential business processes.
2. Saving Time Resources
Payment processing, accounting, and dealing with invoices can get extremely time-consuming, especially as the business grows along with the number of customers. That’s why merchants typically can’t rely on manual financial management and need the help of integrated payment systems.
With the help of integrated payments, businesses are relieved from inputting credit card data into accounting software every time they need to process a transaction. Instead, batch information is entered into the ERP system or business accounting software nearly instantly.
3. Reducing the Possibility of Human Error
Businesses can experience human errors when they key payment data into their ERP or accounting software manually. Payments based on wrong information can result in a client being charged from the wrong account or other similar issues.
Integrated payment systems are more reliable partners than even the most attentive employees. Besides, such accounting and finance management software frees people from performing tedious and monotonous work and enables them to focus on more important tasks.
4. Increasing the Cash Flow
Automating accounting, data entry, and other payments-related operations enables businesses to process a lot more transactions with increased efficiency. Thus, integrated payments contribute to increasing the revenue flow for businesses.
5. Ensuring Payment Security and PCI Compliance
Manual accounting is not only a tedious task but also one that is vulnerable to many security risks. With an integrated payment system, merchants can process global transactions with a cloud-based payment gateway.
Using such software lets businesses implement cloud-based accounting, which is a significantly better way of managing payments in terms of security compared to its manual counterpart. It also enables merchants to access data from anywhere as long as the internet network is available.
Another major advantage of cloud-based accounting software for businesses is that it is often compliant with the Payment Card Industry Data Security Standard (PCI DSS). This ensures that the customers’ sensitive credit card information is protected from a data breach with multiple security levels.
6. Providing Cost-Effective Software
Introducing integrated payments to businesses operations is a cost-effective solution for a number of reasons:
7. Simplifying Accounting
Manual accounting is a challenging task that requires businesses to handle paper ledgers and invoices. This makes data entry mistakes nearly unavoidable. Besides, it takes time to spot such errors and money to fix them.
With integrated payments software, merchants don’t have to perform accounting and data entry relying on human labor. Payments are registered directly in the accounting software and are applied to the general ledger or credited to invoices.
Besides, accounting records registered on paper are more vulnerable to theft and often don’t have backup copies.
8. Enabling Business Scaling
An integrated payment solution provides a business with the technology it needs to scale and evolve its operations over time. Such software supplied to merchants by reliable service providers will ensure efficient and frictionless payment data processing even as the number of operations and invoices increases.
9. Allowing Payment Processing Customization
One more advantage of an integrated payments solution is that it is customizable. Thus, such systems can be enriched with features matching business needs and client expectations, and can also be adjusted at any point.
Here are some examples:
10. Boosting Customer Service
Keeping customers in line can cost US retail businesses approximately $100 billion per year, with clients not willing to enter stores or buy anything there if the waiting time seems too long.
Integrated payments have the power to enhance a point-of-sale system by optimizing the available functionalities and adding extra capabilities. Thus, such a software solution helps to significantly speed up the processing of payments compared to the time required to facilitate a transaction manually.
Integrated payments can also come in the form of modern businesses’ trusted partners like self-checkout, mobile checkout, and online checkout that automate a big share of transactions.
Now that you know about the benefits of integrated payment systems, you are likely to see the potential they have in optimizing transaction processing for your business. The good news is that nowadays there are plenty of options offering integrated payments to global businesses.
To find a reliable partner that will provide you with such services, you have to pay attention to the following features:
Payneteasy incapacitates all the features mentioned above and is here to become your trusted long-term partner in tailored integrated payment services. Reach out to us now and we will get back to you with a custom quote within one business day!