There was once a time where cash was king. Then the first credit card, called the Diners Club, emerged, which helped people dine out (usually for business dinners) without having to have cash on hand. Nowadays, payments have evolved even further, with mobile payments becoming more and more popular.
As you trace the history of money or its concept, you will realize that we have always been making it better. Bartering is inefficient and bulky. Cash in hand is dangerous and inconvenient to carry. Credit cards come with costs that spiral without discipline. Every form of money has its drawbacks, so society continues to search for something better.
What Are Mobile Payments?
Mobile payment is the use of a mobile device (usually a phone) to pay for goods and services or to transfer money. Mobile payments come in the form of:
- Mobile wallets,
- Card-based payments,
- Carrier billing (Premium SMS or direct carrier billing),
- Contactless payments NFC (Near Field Communication), or
- Peer-to-Peer.
A company can provide more than one method of mobile payments in a single solution.
According to Allied Market Research, the mobile payment market is expected to reach 4.6 trillion by 2023, and the hospitality and transport sectors will see the most significant projected growth to 1.09 trillion by 2023.
Advantages of Mobile Payments
- Most consumers carry their mobile phone with them everywhere they go, and are more likely to forget their wallet than their phone.
- Mobile payments are secure because of the protocols they use. This includes additional authentication steps for payment processing. They also have chargeback and liability protection.
- Mobile payments are faster and easier than credit card payments. The processing time is much quicker, and customers do not have to line up to use a terminal to pay, it’s immediate, and multiple customers can pay simultaneously.
- They give an additional payment option for customers. Customers love convenience and choice, so adding mobile payments gives your restaurant better satisfaction ratings and reduces wait times.
- Mobile payments improve customer loyalty because it can easily be linked to your POS and it’s rewards program.
How to Accept Mobile Payments
Mobile payments are safe, fast, and convenient. It’s suitable for both the restaurant and it’s customers, so it’s good business sense to incorporate it.
Integrating mobile payments is not that difficult as long as you have the right POS. An all in one POS will be able to handle mobile payments and so much more. You could use an on-premise solution, but cloud solutions are better in the long run. With a complete POS solution, you get POS Software, POS hardware, services, integrations ecosystem and payment which are designed to provide:
- Scalability – It is easier to add more fixed and mobile terminals to your cloud POS system. Additionally, they can handle more transaction traffic than traditional POS systems.
- Security – The system will provide identity and access management, along with heightened network encryption. If your technology is in the cloud then updates and security patches are automatically done for you.
- Integrations – The open API enables you to add services and third-party apps to your POS system. This is the feature that lets you adopt any payment option, including mobile payments. This enables you to customize your POS system to your restaurant’s and customer’s needs.
- Customizable – The POS system can easily handle QSR, table service, and fast-casual menu concepts. The business can also be an Enterprise, independent operator, or everything in between. It can also brand your menu or POS and make menu updates instantly across locations.
- Data analytics – Data can be viewed in real-time and exported at your convenience. Reports are quickly produced and customized to view your key performance areas.
Get Mobile, Get Paid
Mobile technology is continuously advancing, meaning we will rely more on our phones in the future. This not only applies to mobile payments but to the additional features that will cause our phones to be even more inseparable. Restaurants focused on future growth should position themselves as mobile-friendly, and take advantage of our growing reliance on smartphones.