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Payment Processor

6 Signs Your Business Needs a New Payment Processor

The pandemic has seen an increase in digital payments, and according to CNBC, digital payments are here to stay. There has also been an increase in ecommerce businesses who have had to make use of online payment processes. 

Due to this influx in popularity, ecommerce sites had to ensure that they kept up with the demand and the amount of payments processed. But, some fell behind as their payment processor let them down during the boom. 

Did your payment processor let you down? Or, do you simply need a change? Here are seven telltale signs that you are in need of a new payment processor. 

Slow payment processing

Any and every ecommerce site needs an online payment processor, so it is important that these payment processing platforms perform at optimal speed. This ensures a quick and seamless checkout, warranting more purchases and the prospect of more revenue.  

However, if you have received multiple complaints about slow checkouts, unprocessed payments, or just an overall slow payment processing, then it is time to change. When a payment takes too long to process, many clients decide to rather let it go than waiting. 

How to fix this: 

First, test out the process as a shopper to see if the payment processing is slow and how this affects your shopping experience. It will be best to either contact the payment processing provider, or consider switching to a faster payment solution. 

It is important to keep the customer experience in mind when making use of a payment processor. When the client is happy, the chances of them returning is much higher. 

Frequent downtime

If you constantly receive communication from your payment processor that their systems will be down, then it is probably time to change. Having the payment processor deactivated or nonfunctional on your site, can cause frustration with clients and result in them looking  to find their products elsewhere. 

How to fix it: 

Source out a new payment processor provider, and before implementing their services, ask to test it out. Also, ask around and do research on the provider to ensure that they don’t have frequent downtime. This will save you from future headaches and allow for a better shopper experience. 

Lack of flexibility 

Lack of flexibility to adapt is one of the biggest reasons to change your payment processor. Having multiple payment options will attract more clients to your online site. According to research, 7% of online shoppers abandoned their cart due to there not being enough options to make payments

This means that if your payment processor only allows for credit card payments, then you are falling behind. There are many options to choose from, like ewallets. Make sure that your payment processor is up to date and offers multiple means to transact. 

How to fix it: 

Do some research and find out exactly what type of payments your clients would want to make use of. This will allow you to effectively choose your next payment processor, by doing research and finding out exactly what type of payment platforms they accept. 

Ineffective fraud protection  

Fraud protection is a non-negotiable when it comes to payment processing, for the business and the client. A survey done in 2021 shows that 17% of shoppers abandon their cart when they don’t trust a site with their credit card information.

If your payment processor does not have effective fraud protection, then this is a really important factor to change to a new provider. You could be losing revenue due to the lack of protection, in any case, you don’t want your clients’ personal data stolen. 

How to fix it: 

Fraud protection should be a top priority for your business. Therefore, when looking for a new service provider, ask them what processes they have in place to ensure that personal data and information is always protected. Never choose a provider that doesn’t have it as their top priority. 

High undisclosed fees

It can be deflating to get a bill at the end of the month indicating that there are outstanding miscellaneous fees that you were not expecting because they were never disclosed. Usually this means that they advertised a rate to you, and never disclosed other rates that you will be paying. 

This creates a problem for your budgets and predicted expenses. If this happens on a monthly basis, it is time to change your service provider. 

How to fix it: 

Before signing a contract with a new service provider, read it through thoroughly. This will give you the advantage of questioning each fee that has been stipulated. Always double check and make sure you know exactly how much you will be paying at the end of each month. 

Poor customer support 

There is nothing worse than needing an answer urgently, and finding that no one at customer support returns your calls, emails, or messages. If they do not care about you, their customer, why would they care about your customers? 

If this happens on a regular basis, it is time to switch to a new payment processor service provider. Don’t be left in the dark with unanswered questions, it just adds to your stress as a business owner.  

How to fix it: 

One way to test their customer service is by ‘testing’ your experience leading up to the onboarding experience. This will give a clear indication of how they treat their customers. Gauging customer experience  simply by your interaction with the sales team is not good enough, of course the sales team will be warm and welcoming, they need to make a sale. 

How to switch payment processors

With PayPugs, the onboarding process is fairly straightforward. The best part is that we value all of our clients and assign service specialists to each one. This allows our clients to have direct contact all of the time. 

We are a tailor made service provider that allows our clients to customise our services based on their needs. If you are looking for a new payment processing service provider, look no further than PayPugs. Book a call with us to find out more about what we have to offer you.

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