Previously seen in Green Sheet

Eliminating Friction from Merchant Services: A Blueprint for Internal Efficiency and Growth

Let’s eliminate friction from merchant services. Did you know that friction is the number one cause of burnout among small and midsize business owners? As merchant service providers, we help merchants remove friction all day long. This improves the customer experience. Isn’t it about time to apply that same expertise to our own businesses?

Let’s face it: we could be better. This applies to customer onboarding, portfolio management, and transaction monitoring. It includes PCI compliance, KYC, or AML, to name a few areas. In fact, some of the payments industry’s best-selling solutions were born from internal needs. IRIS CRM, Secure Bancard’s Pioneer, and Biller Genie all started this way. A team member realized others, even competitors, could benefit too.

A thorough audit of your internal business practices helps reveal areas needing improvement. Rest assured, we all have them. It’s best to get your house in order. This is especially true if you’re trying to attract investors. Anyone betting on your success will deeply care about operational efficiencies.

Ditch Duplications

The first step is to identify what you’re repeating. Double entry belongs only in accounting. If data entry people manually input information from merchant applications, it’s time to update your technologies.

Are you using more than one system to monitor your merchant portfolio? A secure user portal can provide a single-access view. This portal should have multiple permission levels. It can show payment flows, service tickets, and transaction disputes. It can also display inquiries, POS deployments, and reporting, all in real time.

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Leverage AI and Automation

Instant customer onboarding is here. You need to augment credit decisioning. Use artificial intelligence, machine learning, and automation. This brings your risk management and underwriting into the 21st century. It provides a fully dimensional view of your prospective merchants.

These tools drive faster payments and settlement times. They also improve fraud detection and prevention. Don’t stay stuck in manual procedures. These procedures hold you back. They prevent full participation in the merchant services ecosystem.

Differentiate

Twenty years ago, I entered this business. Merchants were just accepting electronic payments. So, talking about it was fine. Today, if you start a conversation about payment processing, you’ll be hung up on. Or you’ll be asked to leave a store.

Don’t try to be like every other merchant acquirer. Show a business owner how to solve a problem. Show them how to make more money. Help them attract and retain more customers. Demonstrate your knowledge of their specialization. This could be fast food, retail, e-commerce, or another vertical industry.

Give Something Away

Don’t be afraid to offer free advice. Or a free referral. It also can’t hurt to buy something once in a while. Why be the only one to make a sale? Merchant services is a relationship business. It takes time to build solid relationships. These are based on trust, respect, and profitability.

Let your prospects know you’re in this for the long ride. You’re not just making a sale and disappearing.

Remove Friction from Selling

The best way to remove friction from the sales process is to listen more than you talk. This comes naturally if you are genuinely interested in the people you meet. Look around their shop or restaurant. Do this not as someone desperate to make a sale. Instead, act as a prospective customer. Business is a two-way street.

Stop thinking of the merchants you visit as sales targets. Recognize we’re all in this together. We are merchants, service providers, card brands, and consumers. In many cases, we wear more than one hat. We’re businesspeople, consumers, and some of us even have merchant accounts. Isn’t it time to start acting like a community of professionals? Let’s help each other grow and scale.

Previously seen in Green Sheet

FAQ: Frequently Asked Questions