Growing Small Business in Africa: Simplifying Customer Payment Solutions
By Emmanuel Allottey
Customers are the key to the growth and success of Small Businesses in Africa. The ability to increase revenue collected from customers enhances the success of a business. Cash remains the most prevalent means of transacting by customers, however this trend is gradually diminishing as digital adoption and use of non-cash transactions continue to increase. Small Businesses can boost sales by offering a variety of payment options that make it simple for customers to purchase products and services.
Simplifying customer payment solutions is intended to improve already existing payment solutions. Customer Payments solutions vary and come with advantages and disadvantages. Businesses should assess their customer behaviour and business requirements such as Cash flow management, Security, Reporting and Efficiency when deciding which payment solution to implement.
Thanks to the increasing advancements in technology, multiple ways to complete transactions with business. The list below highlights some possible options.
POS machine: The average amount of Cash carried by customers are reducing. Customers are increasingly using debit and credit cards to perform transactions. Point of Sale (POS) Machines cater to customers who are willing to purchase a product or service but are not carrying cash. The recent introduction of Mobile POS has made the use of a POS machine is even simpler. A POS can be used in any location where customers are present.
Mobile Wallet: Africa has the highest penetration of mobile wallets in the world. The success of mobile wallets for individuals can be replicated for Businesses. This technology although at nascent stages has the potential to grow exponentially. Mobile wallet payment allows customers to pay for goods and services using their mobile wallet without having to carry cash.
Online Payments: Online shopping and online payment processing are fast becoming the new normal, however only a handful of Small businesses have an online presence. Despite the low adoption, websites if utilised allow businesses to break through the geographical barriers and become accessible from anywhere in the world to potential customers that has an Internet connection.
As Small Businesses plan how to grow their business, consideration should be given to expanding customer payment processing capabilities to suit the needs and preferences of your customers. The adoption of innovative payment solutions will contribute to the growth aspirations of small business. Contact your financial service provider to explore which payment options are suitable to your business.