More and more consumers around the world are choosing speed and convenience by paying for goods and services via their mobile phones. The number of Europeans regularly using a mobile device for payments has tripled since 2015. As of now 74% of British consumers are defined as ‘Mobile Payments users’. These are people who manage their money or make payments using a mobile device.
But what does all that mean for the small and middle-sized businesses? How can they capitalize on the mobile trend?
First and foremost, merchants should analyze their customer base and potential markets. Then incorporate mobile payment solutions that best serve both their needs and the needs of their customers in the most efficient and secure manner. Once they have chosen the best fit for their niche, they need to make use of its full potential so they can grow their business to the desired extent.
Mobile billing (known globally as Direct Carrier Billing) is the term for the technology that allows a customer to make a purchase via their phone. This happens in a quick transaction without entering their bank card data. The cost is then charged to the customer’s mobile phone account, or taken from the available credit if they are on a prepaid tariff.
Why mobile billing?
Mobile billing reaches one and a half times as many consumers as credit cards and over four times as many as PayPal. With over 85 million active mobile subscriptions in the UK alone, mobile billing has the largest share of users of any mobile payment option in the country. Online merchants have the potential to reach 93% of all adults in the UK by including a mobile billing option at checkout. This is an additional 47% when compared to a stand-alone credit card option.
Direct mobile billing has two main advantages for merchants. As it does not require users to sign up for any accounts, payments can be completed with just one step. This creates an improved checkout experience over bank-based payment solutions. It also reduces the number of dropouts, especially on mobile devices. Furthermore, mobile billing is recognized as a safe, alternative payment method. This is because with mobile billing, no personal or sensitive data is transmitted during the checkout process.
By allowing customers to pay for goods and services using their mobile phone number, many new potential clients are available for merchants. This is the main prerequisite for the rise in profits and market expansion.
If you’d like to learn how carrier billing can improve your business performance all across Britain, get in touch with us here at Siru Mobile.