Amidst the COVID-19 pandemic we have seen many firms becoming more agile and open to new business models. Where stores usually needed their physical location to generate profits, more have now moved online. Supported by a broad range of online services and channels, they are now able to navigate the online world with ease. A link for payment is such a service that has become highly valued among small and medium-sized firms.
What are payment links?
We have to admit that payments are not the sexiest element of your business. It is a necessity for all of us, but often overlooked as being a commodity. You expect your payments to flow to you, preferably with low fees and minimum hassle. Payment links by SumUp could become the substitute for a normal in-store transaction. This technology is considered to be an improvement as the transaction fees are low and the payment happens instantaneous. This makes it a preferable means of payment for both parties involved in the transaction.
Where are these payments being used?
Depending on the nature of the business, there are many opportunities for company-owners to leverage payment links. We have listed two categories of use cases below.
Social media sales
Entrepreneurs have embraced social media to sell their goods and services to users. The platforms promise great opportunities to target an audience that you can turn into customers. Depending on your products, customers can ask questions through chats and in the end decide to buy the specific good or service. When this happens, the merchant can easily send a URL to the customer, which can then be paid immediately. Once the payment is settled, the merchant can start the delivery process.
Food delivery
Restaurants often do not have an online portal or webshop where customers can buy their food. Customers often call to the restaurant and request the food that they would like to receive. In the past, it would happen that it was a prank call or that the customer did not want to pay. In case of pick-up it happened that customers did not show up. With the new technology by paying through a simple link, this is something of the past. The owner can simply send a link to the customer and will start preparing the food once the payment is received. This also reduces the risk of having cash on-hand when delivering.
Providers of this technology
Though Adyen Pay and SumUp are similar payment link providers, PayPal.me is more accessible as it could be used by companies as well as individuals.
The use of these links is relatively new, therefore, there are only a few players on the market. One of the pioneers that introduced this technology is SumUp. The latter provides a variety of payment methods ranging from digital to card payments.