Why Digital Payments? Ask the Infographic


It’s a Fact: Digital Payments Cost Merchants Money. However, this “juice is worth the squeeze…”


That’s the word from payments research firm The Strawhecker Group (TSG), which recently released an infographic to make the case that merchants and consumers derive great value from using and accepting digital payments, including mobile payments. The infographic also highlights payment solutions’ unique role in helping consumers safely and securely purchase goods and services during the COVID-19 pandemic, along with how that experience has impacted consumer demand for digital payment options in the new normal. Let’s look at some of the important findings brought out in the infographic—and what we can infer from them.

Why Digital Payments? Ask the Infographic

Accepting digital payments saves time

Time savings—for businesses of all kinds—tops the list of benefits emphasized in the infographic. TSG points out that merchants spend an average of 200 to 500 hours of labor per month just to handle cash. The more digital payment options these merchants have implemented, the less time—and money—they must invest in counting, safeguarding, and transporting cash to the bank. 

Accepting digital payments saves money

In addition, TSG notes in the infographic that eliminating cash payments entirely yield financial savings. Such savings can be up to $150 per month, which is what some banks charge merchants for cash handling and coin deposits.

Accepting digital payments makes for better security

Security, too, is highlighted as an advantage that makes the “squeeze” of incurring the cost of digital payments worth the “juice.” Cash is inherently insecure, with cash theft the second-highest reason for losses in bricks-and-mortar stores. Cashless payments, on the other hand, come with round-the-clock monitoring.

What’s more, with checks, merchants can never be entirely certain that funds remitted will really land in their bank accounts. This isn’t an issue with digital payments because they don’t “bounce” as checks do.

Cashless payment options enable a business to be conducted across multiple channels

Digital payment options open doors for new business, and, may we add, doors for more timely receipt of any type of payments. Payments can be made by phone, online, in-app, and in-person with mobile wallets.

Consumer interest in making payments digitally is clearly increasing

According to the infographic, 22 percent of all retail sales transactions completed in the U.S. in April and May 2020 were made digitally, up from 11 percent for the same period in 2019. Statistics from other sources highlighted in the infographic also bring to light the importance of digital payment availability across multiple lines of business. One survey cited by TSG revealed that 55% of consumers would go or have already gone to a different business or spent less money at a business if that business did not offer their preferred method of payments.

Additionally, nearly 70% of consumers who participated in another survey whose results were covered in the infographic said they expect to use cashless frequently even when the Covid-19 pandemic is over. A survey conducted by TSG showed that nearly half of small businesses that accept cashless payments have seen consumers request a cashless payment option since the Covid-19 pandemic began earlier this year.

At E-Complish, we agree that the small price merchants pay to offer digital payments is far outweighed by the benefits of doing so. E-Complish provides businesses of all types and sizes with a wide range of digital payment solutions.

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