Consumer habits and user behavior have changed. How many times have you heard at a dinner with friends or at a party, “can you put the money and I’ll make you bizum?” or “I’m going to pay with my watch”. The truth is that the digitalization of payments has meant a change both in the paradigm of consumption of products and services and in the way we organize and share our expenses. In fact, in ecommerce you already have the possibility to make an online purchase and pay via bizum.
La rapidez y la coSpeed and convenience are two of the factors that have made these payment methods the most widely used by everyone. Digital payments are possible in virtually all types of businesses and areas. Therefore, it is important to know what they are, what types of digital payments exist, their benefits and how to apply them in your business, in this case to the events or music festivals sector. Shall we start?
What are digital payments?
Digital payments are those monetary transfers from one account to another in order to pay for products, services or online experiences using a digital device: cell phones, smartwatches, contactless payment methods, point-of-sale (POS) terminals…
These payment methods are growing and increasing their use more and more, leaving behind cash and credit cards where direct card-TPV contact was necessary. The fact that businesses are now enabling more than one form of digital payment demonstrates that a business has well studied the stage their customer is at in the buying process. Facilitating multiple digital payment methods increases the likelihood of conversion.
Benefits of online payments
The benefits of digital payments involve everyone involved in a purchase process. From customers and businesses to banking organizations. Let’s highlight the main advantages of digital payments with a special focus on mass events or festivals:
Reduces payment fraud
User transactions are more secure with digital payments, as they employ current digital technologies with state-of-the-art authentication methods such as tokenization, encryption, etc.
Online payment methods are more efficient and faster, thus allowing cost savings. In addition, the countless online payment methods companies make the market more competitive and therefore cheaper for a company to hire a technology to process collections.
With digital payments there is a unique identifier or token where the personal information of each attendee is kept. Thus, in case security is compromised, personal data is protected and cannot be accessed. In addition, banks provide multi-step authentication systems to simplify and secure the payment process.
Increased user satisfaction
The main objective of online payments is to improve the user experience. Therefore, it is crucial that payment options are accessible and meet the user’s needs, so that the transaction is completed without hindrance.
Most used digital payment methods
The most commonly used types of online payments are as follows:
Contactless cards. Thanks to NFC technologies we can pay with our credit or debit card without the need to carry it with us and insert it into a payment terminal: contactless payments.
Payments with QR codes. This is another fast and very effective payment alternative at festivals. In this case, you just have to open the application, scan the QR code of the establishment and authorize the payment.
Virtual wallets. A mobile wallet is one that allows you to store the information of any type of card in a mobile device. This digital payment method is the one most users resort to. Some of the options include: Paypal, Apple Pay, Google Pay….
Mobile payment applications. We are referring, for example, to Paypal, an online payment service that allows you to make electronic money transfers through a smartphone or tablet, without constantly entering your bank details and between different countries and currencies. Although it is true that there are also other devices with which to make the payment such as NFC bracelets or smartwatches.
Purchase financing. Many establishments offer the possibility of paying for a product or service in installments. The customer only has to choose the platform to agree on the financing installments.
How to apply a payment method to my business?
The truth is that there is no one online payment method that is better than another. As we mentioned, each option has been created to adapt to the type of business and to the expectations and consumption habits of users with the aim of favoring a convenient, secure and complete payment experience. Therefore, all strategic efforts should be focused on the business model and the customer.
The road to the different digital payment methods we know today does not end here. New payment alternatives are emerging and over time we will be able to see them applied in different sectors. From biometric recognition payments through a selfie, 3D technology used in payment verification processes, payments with voice interaction… and much more! Still don’t know what kind of online payment method to choose for your business? Discover Gofun technology, the most complete and secure technology for any type of event and space.
Digitalization of payments at music festivals
Thanks to the technology used in Gofun, you will be able to digitize the collections so that the user can dispense with cash, it will be much easier to pay and access to the site will be faster.
The Gofun platform incorporates NFC cashless and contactless payments with which the event promoter can choose a digital payment method or combine several and centralize them in a single device. Among the payment options available are the bank card, mobile payment through a QR Code or the personalization of a bracelet with NFC technology. In addition, with the business intelligence and data analysis tools we work with, we can collect all the information about the music festival, the attendees and the staff team. NFC cashless and contactless payments, the future of venues for concerts, festivals, nightlife or any other large event.