SMEs miss benefits of online payment offerings
JOHANNESBURG, (CAJ News) – A SIGNIFICANT number of South African small and medium enterprises incur huge costs as they continue using inflexible and expensive payment solutions from large financial institutions.
These are unaware of modern online payment offerings offering lower costs and higher levels of business automation.
This is according to finding of market research conducted by Curiosity Box on behalf of payments specialist, Sage Pay, which suggests 31 percent of SMEs are not aware that there are alternative payment providers.
The research reveals that most SMEs are not thinking about the opportunity of streamlining their payment environment.
Managing Director of Sage Pay, Charles Pittaway, said as a result, these were losing out on significant time and cost savings.
The result of a lack of awareness, he said, was that companies were frustrated by high payment costs, low levels of automation, making payments time-consuming and prone to human error, and a lack of customisation in their payments solutions.
“A choice of payment providers remains a passive decision because most accountants and owners at small businesses think that a bank is the natural choice of a payment partner. And since they perceive all banks to be much the same, they’ll simply use the institution that handles most of their banking needs already.”
Pittaway said SMEs should thus explore alternatives that made it safe and simple to capture details for recurring and once-off payments directly on one system which was accessible anywhere at any time.
– CAJ News
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