Revolutionizing Service Industry Payments: Navigating The Wave Of Digital Transformation In Payment Processing

In an era where technology is often dubbed the great equalizer, it's the nuanced differences that are leaving an impact. As industries evolve at a breakneck speed, so does their need for technology that's cut from the same unique cloth as their challenges. The cookie-cutter, off-the-shelf solutions are being nudged out by bespoke technologies specifically designed to meet distinct industry requirements.

This is especially true as COVID-19 forced companies into a distributed work model that leaned heavily on existing technologies that were rapidly evolving to meet the needs of the moment. This was a catalyst for digital transformation across industries, leading to a revolution where companies can create tailored solutions as quickly as clients request them.

As a result, nearly three-fourths of global companies reported they are prioritizing digital transformation over the next few years. This is especially true within the service industry, which reaches a high volume of customers globally and where brands are fighting to stand out and remain relevant. 

Through digital transformation, brands are better positioned to customize their offerings and meet unique market needs, filling in existing gaps and becoming leaders in the process. Digital transformation speaks to a brand's agility and ability to quickly adapt to changes in a sustainable fashion while increasing productivity, efficiency, scalability, and profitability.

While topics like artificial intelligence (AI), cloud computing, and facial recognition have dominated conversations around digital transformation, other cutting-edge technologies have been meticulously developed to cater to specific markets or industry needs. For service-industry businesses, this includes automated onboarding, advanced billing methods, personalized payment options, updated cybersecurity solutions, and more.

As brands look to manage, grow, and support their clients, they require cutting-edge technology that is easily customizable and capable of providing solutions that meet their complex needs. 

The benefits of customizable payment platforms

Regardless of size, brands are busy managing their business, so how can they participate in digital transformation before it’s too late and they get left behind?

When 50% of consumers claim a bad experience will cause them to switch to a competitor and 70% of consumers are motivated to spend more money with companies offering seamless, personalized experiences, finding the right solutions to enhance digital transformation is crucial to improving business performance and building brand loyalty.

From enterprise companies with full IT teams to smaller organizations with limited programming knowledge, there are a variety of resources for businesses looking to enhance their payment processing tools and upgrade to more innovative technologies. 

Focus on enhancing the customer experience 

When it comes to collecting valuable customer data and billing information in the service industry, leveraging features like built-in reporting tools and analytics enable brands to deliver the solutions customers are seeking throughout the payment process. The ability to provide automated, customizable options to help streamline services and payments for any client, regardless of size or need, can help brands grow their revenue. Companies like Regpack have achieved this for their clients, reportedly boosting revenue growth for brands by an average of 30%. 

With the right software in place, brands can also take advantage of smart payment processing to benefit themselves and their clients. Adding smart payments in the service industry might involve creating customized online storefronts with simple interfaces. This allows brands to offer a smooth checkout experience that can be further enhanced by increasing the availability of products displayed, payment options, and purchasing locations. 

Brands can also take the hassle out of finalizing a purchase by setting up streamlined order management, recurring billing options with automated payment collection, and custom payment plans. Once initiated, smart payment processing allows brands to provide a positive, seamless online shopping experience that improves customer satisfaction. 

Revamp ecommerce for the future 

In addition to improving customer satisfaction, smart payment processing also streamlines payment workflows and helps brands to grow their business. Merchant account setup allows businesses to accept and process transactions from credit and debit cards, digital wallets, and other popular online payment methods directly to a website without third-party processing fees. This is more convenient for customers who may be looking to pay with apps like Venmo, PayPal, or Zelle. 

Smartphones and Amazon account for the largest number of users in the mcommerce (mobile commerce) retail industry and since 2019, the U.S. has exceeded $431 billion in retail mcommerce sales. The flexibility enabled by smart payment practices is one way for brands to tap into mcommerce and reach target customers with a preference for digital wallets, thereby improving customer retention, increasing cash flow, and minimizing shopping cart abandonments. It also helps brands to prepare and quickly adapt to additional future payment updates and preferences. 

Ensuring sites and checkout processes are mobile-friendly will lean into the growing popularity of mcommerce. And as brands continue to increase their global presence, the ability to process multiple currencies without the addition of conversation rates or hidden fees will help build trust, increase customer loyalty, and boost international sales. 

Digital transformation’s impact on payment processing highlights the rapid evolution of technology within the service industry. Maintaining traditional ecommerce tools creates more work for businesses and their clients. Instead, businesses in the service industry can increase their revenue by accommodating mcommerce and implementing tailored tools that include automation, advanced billing methods, and customized onboarding experiences that align with the industry's specific requirements. 

Secure the payment process

From cyberattacks and data breaches to identity theft and card fraud, bad actors are constantly seeking ways to take advantage of weak, outdated payment systems to steal valuable information. In order to avoid falling victim to cyber threats, brands must keep up with cybersecurity best practices and the latest compliance requirements. However, small teams, limited resources, and a lack of knowledge can prohibit businesses from focusing on cybersecurity until it’s too late. 

Digital transformation in payment processing software allows brands to outsource IT system security measures and implement a robust cybersecurity plan that includes encryption, firewalls, fraud detection, and two-factor authentication. Companies that specialize in cybersecurity can also provide consulting services to audit every aspect of a brand’s operation. This is crucial to ensure data centers, networks, end-points, and employees are safe against vulnerabilities.

And because ecommerce operates across multiple locations and includes a variety of payment options, brands need 24/7 support to prevent security threats and manage network access across each location. Third-party services also ensure businesses meet compliance requirements regardless of industry or location, keeping customer data and digital business assets safe and secure against cyber threats. 

Focusing on cybersecurity sets the foundation for developing a risk management strategy that includes recovery planning, awareness training, assessments of existing security plans, recommended improvements to that plan, and more. Securing payment is part of the seamless processing experience both brands and consumers are looking for. Expert organizations in the cybersecurity field offer a range of services tailored to meet the unique needs and vulnerabilities of individual businesses. For example, brands like Top Golf, Dave & Busters, and Container Store turn to companies like Calian IT & Cyber Solutions. From risk assessments to security infrastructure development, cybersecurity companies bring a deep understanding of regulatory requirements and industry standards, which can help brands proactively identify and mitigate a variety of risks.  

Because of the industry’s global reach and unique market needs, no one-size-fits-all solution exists. This means brands must search for tailored solutions that build on traditional retail and ecommerce solutions to accommodate modern and future needs. 

These innovative tools drive tailored advancements across diverse sectors, highlighting the symbiotic relationship between technology and industry evolution.

 

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This post was authored by an external contributor and does not represent Benzinga's opinions and has not been edited for content. This contains sponsored content and is for informational purposes only and not intended to be investing advice.