Choosing what payment forms you wish to accept is one of the most crucial decisions you will make as a business owner. Two-thirds of Kiwis no longer carry cash and this statistic continues to grow. When you expand your business to accept credit cards online, you can meet the demands of a digital nation.

We understand that offering credit card payments appears to be more of a hindrance than a help for small businesses. Merchant service fees charge a percentage of each transaction to the merchant, which can often mean you lose money rather than make a profit.

Over two-thirds of small businesses have felt a negative impact since the Covid-19 pandemic hit New Zealand. Since large companies have always been more powerful, running a local business was a challenge before, and now vulnerability is increasing. The number of small enterprises that grew in 2019 had almost halved by 2020.

It doesn’t have to be this way! At Qippay, we want to help small businesses flourish in times of economic uncertainty. Our team of IT and finance experts sat around a table in 2019 to discuss how we can use our expertise to improve the economic outcomes of our community.

Why it’s Time to Accept Credit Card Payments in NZ

Due to the high cost of transaction fees, it is understandable that small businesses are reluctant to use credit cards as a payment gateway. However, we need to find a new way of doing things so that small businesses can stay afloat - even thrive - in these different times.

The ability to make payments online makes a massive difference in the world of Covid-19. The use of digital technology increased significantly during lockdowns. Post-pandemic businesses are setting up more easily accessible payment options for their customers.

Businesses need to be able to keep up with the demands of customers who want convenience.

With so many more of us turning away from old-fashioned payment options and towards credit, it is time for businesses to adapt their sales methods to keep up with the demand. Only two per cent of our money is held in banknotes, further demonstrating the need to stay ahead of the curve.

Even when alert levels allow in-person retail, consumers love to choose the easiest way to shop. Businesses that accept credit cards online simply get more customers.

Clearly, consumers are showing a strong preference for electronic payments. They are faster, more secure, and safer in a world where touching surfaces has become a matter of public health.

Credit Card Fees

Merchant fees on credit and debit card transactions are a huge issue.

Large businesses swooped to make online payments accessible as soon as it became clear that cash payments and cheques were going out of fashion for consumers. Credit card fees impact large companies less, making it difficult for small businesses to keep up in Covid times.

Accept Credit Cards Online

The small percentage that comes with every transaction quickly adds up. Combined with monthly fees, authorisation costs, and assessment fees, these costs make up a far higher percentage of a small business’s cash flow than large businesses. Powerfully large companies themselves, banks don’t always recognize how inequities arise in their standards.

In the interests of mitigating this disparity, the government has been trying to regulate the fees that banks charge. The burden of merchant fees in New Zealand is twice as high as that of Australia.

At Qippay, we have found a solution that shows small businesseshow to accept credit card payments and completely avoid the rigmarole of dealing with banks.

Qippay Accept

Take control of your cash flow with Qippay.

It is easy to download the Qip payment tool. When you sign up for our service, you will be able to receive credit card payments at no cost to your business. Signing up for Qippay Accept is 100% free for all business owners.

Our service operates by transferring the fees that you would normally get charged in each transaction to the customer. Alternatively, you may wish to talk to our team about the split fee option.

Your customers can choose how they want to pay you and the funds will show up in your account as soon as they are cleared.

Each transaction fee, in itself, constitutes only a minuscule percentage of the service cost. But for small business owners, such fees add up quickly to vast amounts of money. When your customers collectively take on a small segment of these costs each, you can save thousands of dollars a year.

Even with the minutely extra cost, your customers are more likely to pay you via credit card than cash. It is far easier to whip out a card and punch in a number than to scrabble around for notes and coins, or worse, fill out an archaic check.

When your customers receive an invoice from you, all they have to do is pay you via the Qippay link - simple payments at the touch of a button.

New clients will get attracted to your business when you accept credit card payments online. Your products and services will be more appealing to customers when you offer easy payment options.

Credit card payments get processed quickly, and with more money coming in, you will love the way your cash flow increases.

People spend more of their money when using credit cards. Cash payments signify more tangible losses when making purchases. With credit card payments, all your customers see is a number. This takes up less psychological processing, meaning that by accepting credit cards online, your customers will likely spend 15% more.

It’s time

New Zealand consumers want to support small businesses! But the same amount of people prioritise convenience.

Your small business deserves access to the most customers possible! Make your local business as convenient as possible and the customers will come.

Start using Qippay so you can accept credit cards online without worrying about merchant fees breaking your bank.