At eirpoint we find innovative ways to increase our retailer’s profitability. Giving our retailers access to the best and most advantageous card payment processing services available Worldwide is part of the added value we bring to the table.
When was the last time that you REALLY examined you merchant account card payment charges in detail? Do you ignore those monthly statements that you received, mainly because they are difficult to decipher? Do you know what rates you are being charged for each card payment? Does your card payment provider share their margin with you? Are you seeing PCI non-Compliance charges being charged on your account? Are you paying a monthly rental fee for your card payment device? Does it strike you as strange that you are paying monthly rental for a device that makes the card processor money?
At eirpoint we work with partners that are transparent. They show the retailer the margin they make. We can work with you and show you how to become PCI compliant and put an end to these non-compliance charges. We also offer our retailers the option of purchasing and owning their payment devices. This puts an end to the monthly rental fees and you own a depreciating asset that your accountant can use wisely.
Most merchant account contracts work off CONTRACT prices that are also known as blended percentages. These contracts mean that your payment provider is not being upfront or transparent with you regarding the fees that they earn. Indeed, it is likely that if you are on a contract based on a blended or fixed percentage per card that you are likely paying a lot more than you should be in card processing charges.
The more transparent pricing model is known in the industry as interchange-plus pricing. Normally this payment model was only available to larger, more-established businesses. The card processors felt that they could compensate for offering lower rates by only making it available to merchants who had a very high monthly sales volume. Traditional small businesses were stuck with tiered pricing plans, and forced to pay a premium for being small businesses. eirpoint has now changed that and can now offer all our retailers the benefits of interchange+ pricing.
Accepting credit cards in your business is something of a two-edged sword. On one hand, they’re extremely convenient for your customers, which generally translates into more sales. At the same time, processing a credit card transaction costs money, and the fees associated with maintaining a merchant account cost even more money. These expenses eat into your profits and increase your overall cost of doing business. Nonetheless, as customers increasingly turn away from paying with cash and use credit or debit cards whenever possible, most businesses will have to accept credit cards to remain competitive.
Many retailers jump into the World of e-commerce without considering potential pitfalls. Naively they believe that if they build an online store that their business will take an exponential upward curve. However, this is unlikely to be the case.
Retailers need to stop, sit back and consider their move into ecommerce. They need to see the opening of an online store as they would plan for the opening of another branch of their bricks and mortar estate.
Self Build or Contract
Do you go the self build route such as Shopify or contract a builder to create you an ecommerce site using a shopping cart tool such as Magento? The self build route is faster but will not scale as well as the contractor option. You must also consider if you want to own the content of your ecommerce site. In the case of Shopify you are renting the premises on a month to month basis.
Integrate or Hope
A retailer has to consider their current support and customer service chain and if the introduction of an online store will complement or disrupt these chains. As a simple example, a retailer has to seriously consider integrating their stock levels with their online store. Small to medium retailers will not have the resources to dedicate or allocate stock to their online store so they have to take stock level updates
The Payment Trap
Retailers in the offline high street World would never consider giving away 2%+ of margin to a payment processor but, for some unknown reason, they are content to pay all comers to process their online payments. There are excellent multi-channel ready payment processor that will off retailers the same rates for in-store and on-line card sales ; retailers just need to search these out and not be lead by the nose to fill the pockets of these online processors. Finally, do you want to be reconciling multiple providers of payment services? Wouldn’t it make more sense to have you offline and online payment processed by a single provider!
The moment retailers open their online store they are inviting all comers to compare their pricing to the big players in their vertical. There is little chance of competing on price with the likes of Amazon and others so retailers have to consider how they will add real value to their offering. Retailers need to find real ways of differentiating their online store experience and service so that buyers will purchase online., remember the experience and come back for more!
At eirpointô we are experienced in delivered integrated multi-channel retail solutions. We can integration with Shopify, Magento and other shopping carts. Out multi-channel solutions link your high street and online stores in a way that ensure you do not suffer from stock outs and stock control mayhem. We have partnered with experienced multi-channel payment providers to ensure that you are not giving margin away online. Let us help you reduce of the stress and risks of opening an online store.