The fast-paced industries currently make it difficult for financial institutions to stay updated with the changing needs. To assist acquiring banks adapt and prosper in this diverse world merchant management options are best. But what is a merchant management system? Let us find out about it and find out which solution is best for certain sets of needs.
What is a merchant management system?
Merchant management system enables authorize banks to handle their store and merchant hierarchy in an effective method. It permits them to access transaction data in real-time. A merchant management system authorizes both the payment service provider and merchant to detailed payment receipts and they also have access to transaction history.
A merchant payment solutions will offer businesses and individuals with a need to accept debit and credit cards and other forms of payments.
Payment regulators are continuously trying to evolve methods to strengthen the payment process and make it secure. In any transaction, there are four groups included:
- Merchant – The one who accepts the online payment through debit/credit cards or any other payment mediums like UPI, e-wallets, net banking, and much more.
- Customer – Customer purchases a product or service using his bank account details.
- Issuing Bank – It holds users’ account
- Acquiring bank – It is the bank that processes the payment on behalf of the merchant account.
Role of a payment gateway
A payment gateway is a service that allows merchants to accept online payments through diverse payments mediums apart from cash. It permits your customers to submit payment information via a digital platform over the internet. It connects all type of types of merchants with payment networks.
A payment gateway comes integrated with the merchant POS system along with the online e-commerce website. Now let us understand the latest digital payment trends.
Top digital payment trends
Let’s take a close look at top digital payment trends that will make an influence in the market in the upcoming years:
Blockchain Technology
With blockchain technology, you can make payments from person to person across the globe. It is affordable, accessible, and efficient. The cost and time consumed are generally minimal making it an ideal solution for digital payments. Whereas digital currencies like cryptocurrencies are attaining more popularity globally with millennial investors.
QR code
With the growing technologies, the QR code payment system is more opted by the consumers. Huge adoption of QR code payment channels between merchants accelerates the market growth and demand for swift and hassle-free payment services between consumers.
QR codes are now introducing a gradual shift towards the digital economy across the globe. The growing growth of QR code payment and growing demand for digitalized payment across developing economies are expected to offer lucrative opportunities for the QR codes payment market share in the upcoming years.
Buy Now, Pay Later
This trend has already taken the e-commerce industry by storm. These processes are hassle-free with just a few clicks. Users can now pay interest-free installments that lead to increased affordability. This trend is now becoming massive as more and more users are focusing on its benefits.
Scan and Go
The rise of scan and go solutions integrate with other industry developments and is assisting retailers to modernize the purchasing experience that they provide their users. Just as check-out machines are more effective than waiting in a line to scan your products and process payments. Scan and go is the next logical step in streamlining and improving the shopping experience.
Digital wallets
According to a study, the number of digital wallet users will exceed 4.4 billion by the year 2025. For different payment methods, store payment information because users find it seamless to pay for online purchases. Digital wallets don’t need a bank account with a physical bank and store all payment information safely and securely.
This is supported by NFC technology that permits devices close to communicate easily with each other and share data. With growing in contactless payments, Near Field Communication is becoming popular in the digital payment medium.
Biometric Authentication
In this type of payment solution, authentication requires fingerprint scanning, facial recognition analysis of heartbeat, etc. Biometric is an ideal method of assuring safety and security in the digital payment system.
It is much more secure and aids in developing customer trust and loyalty. With a rise in frauds and thefts, biometric authentication is the best method for online payments.
Conclusion
Merchant management is a kind of complex process. But with an efficient tool, this procedure can be separated and thus simplified. Whether it is merchants daily jobs, tracking leads and locations at the same time, helping them in various aspects of the trade, and much more.
All the tasks can be efficiently performed with enhanced efficiency and time management that will boost more profit. Improve your merchant solution with the help of a leading mobile finance solution that will help you in generating more revenue.