As credit card processing grows more expensive for businesses, many are looking for ways to cut this cost. Other than the flat rate approach, one of VMS’s offers is to implement the best cash discount program, which encourages consumers to pay with cash or check, thus offsetting payment processing expenses for company owners.
What is a Cash Discount Program?
A cash discount program operates by offering cash and credit pricing to your consumers. When a client pays with cash, he or she receives a cheaper price. When customers pay with a credit card, they pay a slightly higher price, which includes your processing fee.
Customers who pay with cash effectively get a discount since the cash pricing is cheaper. What was the final result? You reduce credit card processing costs for your company and encourage consumers to pay in cash while still giving them the choice to pay with credit.
What Does it Mean for the Merchant?
Reduced or eliminated card-processing costs are one of the most apparent advantages for businesses that implement a cash discount program.
Simply stated, by choosing not to accept credit cards, you avoid having to pay for the services.
Cash payments increased
While many consumers prefer to pay with credit cards, providing a discount would undoubtedly encourage more cash purchases.
Because processing delays are reduced, the merchant will have quicker access to money. Not to add, a shift away from card payments in favor of cash lowers the risk of fraud significantly.
Chargebacks are being reduced
The number of chargebacks will reduce as the frequency of card payments drops, according to the same reasoning.
If you’ve been dealing with a large volume of chargebacks, implementing a cash discount program may decrease the likelihood of them continuing at their present pace.
Get folks through the door
As we all know, few marketing tactics are more tempting than a company providing discounts or “deals” on its advertised pricing.
Customers, understandably, want to save as much money as possible. Even if the cash discount is modest, it is enough to bring customers in the door, boosting the probability of further purchases.
Choosing the Best Cash Discount Program
VMS is a well-known credit card processing business within Vietnamese merchants community that provides one of the most enticing cash discount schemes on the market.
VMS has the best cash discount program that removes up to 100 percent of processing costs, allowing companies to provide a wider range of payment alternatives to their consumers.
VMS’s technology enables you to accept cash, contactless payments, mobile payments, gift cards, and credit card payments from your consumers without incurring any of the high processing costs. You may save your company hundreds of dollars each year by removing these fees altogether.
VMS also provides 24/7 customer support that speaks both English and Vietnamese. Clear pricing, no setup fees, and a free walkthrough of the setup procedure with a product expert.
You’ll also be able to get cash advances, free equipment, and other benefits. Contact VMS to discover more about how our best cash discount program may benefit your business!