Business and Operations
The Changing Face Of Payments
By Brian Green
Cash is no longer king
By Brian Green
Cash is no longer king – convenience, speed and new technology are changing the payment landscape in Canada.
Cash is no longer king – convenience, speed and new technology are changing the payment landscape in Canada. Paying with your debit or credit card can often be faster and more convenient than cash, and with the exploding popularity of loyalty and reward programs, consumers can earn points towards airline tickets, vacations and merchandise every time they make a purchase.
Paying with plastic has simply become a way of life for most of us – the convenience allows us to complete our purchase and get back to our busy lives as quickly as possible. With this in mind, it’s no surprise that a study conducted by Leger Marketing, on behalf of Moneris Solutions, indicated that over 65 per cent of Canadian consumers preferred to use plastic for their purchases.
The Leger poll was conducted on behalf of Moneris in May 2004. The telephone survey was based on a randomly selected sample of 1,510 Canadians. With a sample of this size, the results are considered accurate to within ± 2.5 percentage points, 19 times out of 20.
In today’s hospitality environment this is also evident, as Canadians have more choice in how and when they pay for their purchases. Customers now expect to be able to pay before, in the form of a stored value or gift card; pay now with a debit card; or pay later with a credit card. Also, Canadians now have a much greater choice in where they make purchases – for restaurants this means offering the option to pay by debit or credit card both within the restaurant for dine-in customers, but also “at the door” for those customers who order delivery.
The lifeline of any company is their customer; therefore, to be successful, all businesses need to recognize and offer the payment options that are desired within their industry.
Brian Green is the vice-president of marketing for Moneris Solutions, Canada’s largest provider of credit and debit card payment services for merchants in virtually every industry segment, handling more than two billion transactions a year. Through its Ernex division, Moneris offers leading-edge electronic loyalty and gift card programs. For more information call 1-866-681-4110 or visit www.moneris.com.•