Monday, September 17, 2007

Bill payment solutions bring in customers and commissions!

Bill payment solutions bring in customers and commissions!

Merchants are finding that adding bill payment solutions to their Sale platform is greatly adding to their foot traffic and revenues. Additionally, go-getting wireless stores are making commissions by being in the loop with wireless customers and switching them to new and better plans.

Bill payment processing is in the early stages, but everyone we talked to about it agrees that this is a lucrative market. Many are planning to get on the Bill Pay bandwagon. Here’s why it can be successful.

Many consumers who are unbanked and credit challenged pay their bills with cash. They have no checking accounts, debit or credit cards. It is estimated that about 30% of the population in the US stands in line to pay their bills each week at cable companies, phone companies, and satellite TV offices.

Retailers could get the overflow traffic if bill payments were set up. The merchant receives a convenience fee so he shares in the revenue. The benefits for the merchant resulted in increased walk-in traffic and the convenience fee, a portion of the processing fee.

On the technical side, it is easy for merchant retailers to integrate their platform with the biller’s platform. It all depends on how sophisticated the retailer is.

Wireless retailers have been particularly successful with the bill payment program. That’s because they are making more commissions on new phone plans they sell when customers come in to pay bills.

For example, when a customer comes in to pay a wireless bill, the merchant will notice that the contract is almost up or that there are better plans available. He knows he can do better for the customer and shows him a plan with more minutes for less money and a new phone to boot. "Nine out of ten times, the customer will switch over.

Merchants get between $1 to $1.25-up for each bill payment transaction. If they sell a cellular phone plan, they may make a $300 commission. If a Convenience-store processes 2000-3000 bill payments each month, that is $2,000 or $3,000 extra in revenues, for very little work. They will also get the purchases for store items.

At a wireless store, 100 payments for cell phones can be converted to 50 new cell plans. Then you are looking at a commission check of $15,000.

One merchant retailer has system in place for several months. At first, they was very skeptical, but it has opened new doors for business owner. Store gets a fee for accepting bill payments and it brings in new contracts. Location also gotten customers into other prepaid programs. Business has increased by 47 percent. There is a sign outside his store that advertises All Bills Accepted Here. Businesses just need to stick with this and it’s the best thing that’s will happened in your business.

Getting customers into a store to pay bills is going to become more and more prevalent. Once customers get used to paying bills at a particular store, it will become a habit. That cannot be a bad thing.

A must read on for merchant retailers.

To learn more go to web site or call toll free 1-877-947-3577

Prepaid Phone Services Solutions For Merchants:

Bill Payment Services Merchant Money Solutions:

Bill Payment Services & Cellular Phone Prepaid Services Provider.

Retail Licensing Provider of Bill Payment Services & Cellular Phone Prepaid Services Provider Technologies.