Thanks to technology, your physical wallet is well secured these days saving you from the hassle of losing or misplacing it. Money transfers, monthly payments, e-commerce shopping, mobile recharges and in fact, your taxi payments are no more a tussle. Just a swish-wish on your smart phone or smart watch – and voila your payment is done.
Digital wallets have sneaked into our life and have changed the way we do almost everything from booking a travel to paying medical bills. Not just that, it has ultimately revolutionized the way we shop – be at malls or online.
Now assume your customer is stuck in one of those never-ending queues of payment counters in a mall. How cool it would be if he/she could just pick up their phone, scan the products, choose your discount options, raise a bill and pay for it through their digital wallet! All this while they walk away to the exit or the parking zone.
Digital wallet has taken the industry by storm, compelling retail shoppers to adopt it as a mode of payment. Digital wallet means faster checkout and exciting benefits like points, incentives which ultimately converts to customer happiness. Not just that, they provide additional advantages of securing the transaction, because tokenization masks credit and debit card numbers and/or can set additional payment exposure limits.
Digital wallets have the potential to positively impact retail operational metrics. Take the above example, they can increase throughput at the checkout thus contributing to the incremental sales revenue. Smooth, yet quick hassle-free transactions like this would not only increase the chances of repeat spend, but also helps you ensure superior customer experience.
It is quite likely that to stay relevant in the market and operate on low-cost model, retail chains will have to adopt the latest payment methodologies. Those who are left behind in this race might struggle to survive in the long run.
About Author :
Ed has over 25 years of experience in strategy, marketing, product and business management and has rich expertise on growth strategy, organization design, new product launches and global operations. He is currently the CEO of Intellect Commerce Limited.
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