The anticipated growth in holiday retail sales for November and December is projected to be between 4.3% and 4.8% compared to the figures from 2017, resulting in a substantial total of $720.89 billion. While the focal point of this retail phenomenon remains Black Friday, a day characterized by post-feast vigor and a keenness for deals, even without your relatives in tow, it’s worth noting that there are additional instances of widespread shopping activity.

In particular, Cyber Monday has emerged as another significant occasion for retail engagement. This day, occurring on the Monday following Thanksgiving, has garnered billions of dollars in online sales in recent years.

This upcoming holiday season is poised to make history, with sales projected to surpass $1 trillion for the very first time. Alongside the prospect of copious amounts of discarded wrapping paper and a flurry of thank-you notes, this also presents an exceptional chance for e-commerce businesses to capitalize, provided they are adequately ready for the surge in demand.

The holidays – Can your business cope up with the low sales?

In the current landscape, numerous firms specialize in what’s commonly termed “Merchant Services.” This broad category encompasses companies managing credit card processing (CCP) for retailers of all scales, ensuring smooth operations even during high-sales periods. While your company provides products, the Merchant Services Provider (MSP) handles online credit card transactions and security, safeguarding both parties. The MSP ensures seamless purchase processing. If a significant portion of your transactions occurs online, consider establishing an “online payment gateway” for the credit card processor to authorize and manage digital sales securely.

As your online sales experience a surge, particularly during peak periods like the holiday season, a dependable leading credit card processing (CCP) company plays a crucial role in ensuring swift and secure transaction processing. This partnership ensures the seamless functioning of your business operations, maintaining efficiency even amidst increased demand.

Merchant Services – How do they help?

To start off, a merchant service simplifies the management of credit card transactions, which is particularly crucial for Ecommerce platforms. These service providers also offer mobile tools to facilitate the oversight of your Ecommerce site on-the-go.

Merchant services encompass comprehensive sales reporting, providing you with an overview of your sales performance. This aids in monitoring the success of different items, establishing priorities, and determining items that might need reconsideration. Moreover, advanced reporting tools assist in tracking inventory, especially for products experiencing high demand.

In addition, merchant services firms have the capability to establish customer reward initiatives, enabling you to offer rewards to loyal clientele. Moreover, you can create exclusive holiday discounts for occasions like Black Friday and Christmas, effectively elevating your sales performance.

Certain merchant services also offer integration with email marketing platforms. This integration assists in effectively targeting customers and enhancing your company’s reputation through word-of-mouth marketing. This influence extends both before and after the holiday season, contributing to your business’s overall success.

Factors to consider when choosing a good CCP company

It’s important to recognize that not all credit card processing firms possess equal capabilities. Therefore, when selecting the most suitable partner to support you during the peak business season, keep an eye out for several critical factors.

Reduced transaction fees

Arguably, the primary decisive element, especially concerning your financial outcomes, revolves around fees. Fee structures can vary, encompassing a flat fee accompanied by a percentage of the sale, or solely a percentage of each transaction. This percentage can range from approximately 0.15% to around 1%-2%, often accompanied by a flat charge of roughly 20 cents. Notably, most companies apply a higher rate for online transactions. If a substantial portion of your sales occur online, this factor carries considerable weight.

Furthermore, with certain providers, a specific transaction rate is applicable only after surpassing a designated sales volume threshold. It rests upon you to assess whether your company will meet this threshold and whether the associated benefits will be worthwhile.

In addition, it’s common for providers to include statement fees, covering the cost of printing and mailing your credit card statements. Typically, these fees amount to approximately $5 to $15 per month. It’s worth noting that this expense is separate from the monthly payment gateway fee, which is incurred for processing your sales transactions.

Rewards for customers

The majority of merchant services providers offer assistance in implementing customer reward programs, allowing you to tailor special offers according to your preferences. This strategy proves highly effective in cultivating customer loyalty and enhancing sales through strategically timed promotions, particularly during peak periods like the holiday season.

Advanced analytics and reporting

One of the notable advantages for businesses when utilizing a merchant services company lies in gaining a thorough, data-driven understanding of their operations and areas of success. It’s essential to seek a company that offers analytical support, enabling you to interpret these insights and identify key areas for sales concentration as well as recognize your business’s strengths and areas that require improvement.

Mobile Compatibility

It’s highly likely that you won’t be managing your online business exclusively from a conventional office space. Maintaining control from any location is imperative, making a mobile-optimized service essential. Ideally, this entails the availability of a dedicated mobile app from the company. This approach ensures both customers and yourself enjoy a consistent user experience, regardless of the device being utilized.

Customer Support

Merchant services platforms are crafted for user-friendliness, yet occasional challenges may arise. These instances could coincide with peak seasons, overwhelming you with orders and leaving little room for service disruptions. This underscores the importance of relying on a company renowned for its established, trustworthy, and responsive customer service team.

Prior to finalizing your choice, several other crucial aspects warrant consideration. Security stands as a paramount concern, necessitating stringent protective measures for both your and your customers’ data and personal details.

It’s advisable to review the contract’s terms regarding its binding nature. Determine if you have the flexibility to terminate it at your convenience or if there’s a stipulated minimum contract duration. It’s essential to inquire whether early cancellation incurs any charges. Moreover, assess whether the company ensures timely and consistent fund transfers.

Additionally, consider the company’s tenure in the industry and endeavor to gauge its standing among customers to form an understanding of its reputation.

Bottom Line

As the holiday season approaches, for business owners, regardless of their scale, the holidays present a dual nature: a valuable opportunity to bolster their year-round financials and a complex logistical puzzle that might have them reaching for eggnog well before noon.

To simplify these challenges, enlisting the services of a merchant services company can prove immensely beneficial. Begin by perusing reviews of top credit card processing (CCP) providers, allowing you to identify the one that aligns best with your needs.