Accepting Credit Cards at Tradeshows: Merchant Options
Business owners who need to provide remote acceptance have always faced the challenges of working in the field, as comforts such as power and telephone lines are not always assured. The need to accept credit cards is perfectly clear to trade show merchants, and the increased revenue and higher tickets generated by taking credit cards cannot be denied. Making transactions fast and easy are crucial in this economy, and in the hustle of a show environment, each second wasted could be one better spent serving the next customer.
One strategy for remote acceptance is the old standby – the knuckle buster. These manual imprinters are cheap, but without a card swipe, merchants pay higher fees. The risk of taking a stolen card is also much higher then an electronic transaction. Additionally, the workflow for a knuckle buster is also a challenge, as the salesperson needs to have the machine, a supply of slips, a pen, an imprinter plate and a flat surface to work on. Manual imprinter transactions also take time – time that could be spent up selling the current customer or helping the next customer in line. Lost slips have happened to everyone, and the pain of losing a slip could wipe out any profits gained by the remote setup. Knuckle busters have their place, as they do provide a good, cheap backup solution for voice authorizations or unexpected problems, but should not to be relied upon for day to day action.
Telephone authorization is another alternative that merchants have used in the past. This works by dialing a toll free number and keying in the credit card information. An authorization code is generated and usually within 2 to 3 days the money will be posted to the merchant account. This system works best with a manual imprinter, as a backup form of transaction authentication. Verbal authorizations are not without their issues, however. Costs for these transactions are significantly higher, and the non-swipe rate is also in effect. These two factors can quickly erode profit margins. Another drawback of telephone authorizations is the transaction speed. These transactions take time to complete, while the customer becomes increasingly impatient. One final point for consideration – the must be a telephone to communicate on. Cell batteries run dry, and coverage is still spotty in areas of the country. It is best to only use verbal authorization when there is a problem with the customer’s card, or another emergency type situation.
Store and forward machines are also common among tradeshow regulars. This is not a wireless terminal, but one that stores transactions for settlement later on. Although transactions are made via phone line, they are not real-time. This can be a major drawback for merchants, as the risk of a transaction being denied is very real. Most store and forward type terminals are also designed to connect to AC power, so the availability of a power outlet is a real concern. Store and forward terminals can be a good solution, but are not ideal for the mobile merchant.
Wireless terminals seem to be the best card processing option available. With wireless technology, transactions can be performed in full, anywhere a signal is available. Some can also work in store and forward mode when the signal is not there. Battery life is significant with modern wireless terminals, and spare batteries can be pre-charged before the event.
Swiping cards and instant approvals are attractive for business owners. The swipe and authorization of a card allows transactions to be sent through at the lowest rate possible. A wireless machine is clearly the best answer to accepting credit cards in the field, as it offers the best rates, the best transaction time and the most secure transaction.
Whatever mobile card processing option a merchant chooses, avoiding the hassle of tracking cash, or the risk of taking checks during a show is a great choice. With the wide variety of mobile card payment options available, today’s remote merchant should be able to find a solution that will fit their needs.