SMEs are losing more than £800m worth of sales every year by not accepting card payments.
When 65 per cent of British consumers only walk around with £20 or less in their pockets, only accepting cash means a small fortune is being lost by businesses.
Research by PayPal has found that ten per cent of UK SMEs have lost more than £1,880 in sales by only accepting cash. Indeed, 46 per cent of consumers have been deterred from making a purchase simply because they didn’t have enough money on them at the time.
While 36 per cent of businesses do accept card payments, the rest do not, mainly due to the costs associated with offering card payments. Indeed, 13 per cent of businesses are angry about the high monthly charges, and 10 per cent disagree with “expensive set-up costs”.
“Few consumers carry a cheque book with them, or even cash,” says Narik Patel, director of mobile merchant services at PayPal.
“This means businesses need to offer consumers alternatives, otherwise they risk missing a sale. Many small businesses have not offered card payments in the past because they’ve been put off by high fees and long-term contracts.”
There are a number of options out there for businesses that do want to introduce card payments to their business – the days of always-on PDQ terminals are long gone.
Today iZettle, Square and, yes, even PayPal offer cheap, easy-to-use dongles. Make sure you aren’t missing out on sales!
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