Accepting plastic has pretty much become the Canadian way. It’s rare for one to walk into a store or restaurant these days only to find out that it only accepts cash. As we’ve been blogging about for some time now, cash-only businesses are going the way of the dinosaur. And that’s because Canada is quickly becoming a “cashless society”. It’s no secret that our nation is among the world’s leaders in using debit cards to pay for purchases.
Not to be outdone, credit cards are also wildly popular among Canadian consumers. And as you’ve likely noticed this week, customers are doing a little bit of extra shopping with their cards. No, Valentine’s Day spending doesn’t exactly rival the type done during the Christmas holidays. But the annual celebration of romance is still one that garners businesses a lot of extra sales. Do you accept credit to process those sales?
Merchants who are plastic-friendly are well aware of the benefits. “I never have to turn my customers away,” commented one of our esteemed clients recently, “Before (I accepted credit and debit) I would have to apologize to customers who wanted to use their cards. I knew that by turning them away, they wouldn’t be coming back. Now when customers come into my store, they end up coming back over and over again.”
So what makes credit cards and debit cards so appealing to the Canadian shopper? It has a lot to do with all of the bonuses that come along with plastic use. This is especially true for credit cards. Just one of the benefits of paying with credit is that it allows a customer additional time to pay off the charges. That way, large purchases aren’t always out of reach. Here are four other reasons your customers prefer paying with credit cards.
1. They get cash back. Many credit cards offer customers the ability to earn money back for all of the spending that they do. Such cards provide customers with the feeling that their purchases are more valuable as a result. They practically save money with every swipe of the card knowing that they are earning something in return. The cash back feature allows cardholders to get their hands on free items when enough cash is accumulated.
2. They get free trips. It is widely known that many credit cards provide their users with travel rewards. It is not uncommon for people to book airline tickets, hotel stays and car rentals using the points that they have accumulated on their credit cards. With such plans in place, it gives consumers all the more reason to use their cards. Paying with cash, quite clearly, won’t get anyone closer to a free trip!
3. They build their credit scores. In order to make major purchases such as a car or a home, one needs to establish a strong credit rating. For many people, credit cards represent their first forays into the credit-building world. As long as they are paying their balances or minimum due payments on time every month, they will be improving their credit scores. Without credit cards, maintaining good credit is a lot more difficult.
4. They can do balance transfers. Having multiple credit cards allows for consumers to get a little more flexibility with how they make payments. For example, if one card has a balance that is accruing interest over time, it can be transferred to another account with a lower interest rate. Naturally, a cardholder would require more than one account to take advantage of this benefit. But it just goes to show how many additional options your customers have when they’re able to pay with credit.
Starting accepting plastic or upgrade from your current provider today by calling Canadian POS Corporation at 1-877-748-2884!