Contactless payments are soaring and small businesses can benefit
Card payments, either by chip-and-pin or contactless, were on the rise long before COVID-19 emerged. But the pandemic has transformed the use of contactless in particular.
During the pandemic so far, nearly 90% of all card transactions have been contactless. For perspective, they were at 40% before the pandemic.
It’s a seismic shift in how we pay – and it’s good news for shoppers and small businesses alike.
The new contactless limit of £100 has played a big role in encouraging even more contactless spend. But it’ great news for small businesses who take card payments too.
Contactless payments are proven to offer a faster checkout and fewer queues. Better still, they mean fewer trips to the bank with cash, and greater security as a result.
As small businesses open their doors to customers again, it’ hard to imagine a world without contactless.
The penny drops
Cash use had dropped to 23% of all payments in 2019. Today, cash usage is plummeting in the UK faster than in any of Europe’ major economies.
The pandemic has changed how we shop, how we browse and how we pay. And consumer shopping experts are agreed that these changes are likely to be permanent. Cash is unlikely to make a comeback.
The sum total of all this change is that small businesses have to think carefully about card payments.
If you don’t take cards, it really is now or never
If you’re using an old terminal that doesn’t take contactless payments, you must upgrade as quickly as possible.
And for everyone else, it’s worth taking the time to ensure you’re on the best possible deal. Because, with all these transactions flooding in, a small improvement in the rates you pay could make a big difference.
At XLN Pay we offer all the latest in card payment technology as well as some of the best rates in the industry. Click here to find out more.