Demographics across the world are changing, millennials have now become the most varied and prominent age group in modern times. As a generation deeply guided by technology, their buying behaviors, and expectancies are all molded through the proximity that smartphones, the Internet, and modern conveniences bring.
Both businesses and consumers alike are attracted to faster, safer, and more expedient payment approaches, as cash is slowly becoming outdated and credit cards are being phased out. The payment options offered below could be the future of millennial-driven purchasing, producing the sort of instant satisfaction that millennials expect.
- Prepaid Visa Cards
While the conventional credit and debit cards are linked to a credit provider or a bank account, a prepaid card is not bound to anything. Our idea of the prepaid card is basically a plastic alternative to hauling money or cash around and is often named an everyday card. A prepaid Visa card appears just like any standard conventional credit or debit card would, and there is a card number and signature strip at the back while displaying the business brand of the face.
There is an increasing anxiety about using your conventional credit card when making payments online. This is due to scammers and swindlers often copying the debit or credit cardholders’ information to defraud them out of a certain quantity in their bank accounts in the future.
Prepaid Visa cards are difficult to duplicate. Even if they can succeed in cloning your prepaid card, the scam is still restricted to the sum preloaded on the card. The scammers will not have entry to the money sitting in your personal bank account. Prepaid cards are a seamless device for online shopping. As there is no credit provider, if your card or number happens to be stolen by scammers through using a deceitful website, the damage is still only limited to the funds you have on the card or until you find out what’s happening and ask the prepaid card merchant to block your card.
- Digital Currencies
Digital currencies will appear and cement their position in the financial ecosystem of businesses.
With the entire business world moving towards a more technologically directed payment process, digital currencies, such as Bitcoins, may be the future of financing and could revolutionize the entire business and financial structure of the world. Even if digital currencies don’t downright take over, it will become trendier among the millennials that enjoy modernization, freedom, and experience, which are all services that virtual money offers.
The approval of digital currencies emanates from the immediate and border-less, non-restricted nature of the transactions. Principally, this payment process can be used anywhere and at any time, and is not being government influenced or regulated yet.
- ACH Payment Processing
ACH payment processing lets businesses electronically receive payments from customers for both specific or recurring expenditures, by directly debiting your client’s checking or savings account throughout the transaction. Most of the principal uses of ACH are through online bill payments, mortgage and loan clearances, and the direct deposit of payroll payments. ACH payment processing are the most effective and cost-efficient alternative to paper checks and credit cards. In the standpoint of e-commerce, ACH is mainly used for person-to-person (P2P), business-to-business (B2B) and business-to-customer transactions. (B2C),.
- Mobile Payments & Apps
Presently, alternative options such as SMS and NFC payment approaches are feasible, but they are not predominant or expedient enough to fulfill the increasing demands of millennials for a simpler, quicker, and safer way to pay through mobile. Launching smartphones up as a POS system of payment will generate countless opportunities for the entire financial industry; by turning a mobile device into a card reader, we would successfully enable anyone with a smartphone to conclude transactions whenever and wherever they wanted.
Variations of payments in the business world have been driven forward by the millennial generation. In 2017, we will see the constant rise of many alternative payment systems, such as those presented above, while the use of cash and credit cards, among this and the next generations, will continue to decrease. Is your business ready for this change?