Have you thought about the different restaurant payment options you offer? Contactless payment options are one of the new restaurant technology trends that many establishments are following. They improve efficiency and speed up restaurant operations.
Providing customers with the option to use contactless payment methods is a way to show that you’re keeping up with current technology trends. Continue reading this blog to learn what is contactless payment and why you should incorporate these restaurant payment options.
Contactless Payment, and What Is Contactless Payment?
Contactless payment refers to payment methods that are accepted without physical contact between the POS system and the customer’s plastic payment. Plastic payment refers to debit or credit cards. All contactless payment methods involve little-to-no contact between employees and the customer.
It’s possible to make contactless payments using debit and credit cards, and mobile devices. However, cash payments are not considered to be contactless.
As a business owner in the restaurant industry, you may consider implementing contactless payment strategies to your eCommerce accounting processes. Utilizing this kind of restaurant payment technology will help guests feel more comfortable while making payments. This payment process requires no contact with the card reader or handling of cards or cash.
How To Use Contactless Payment
To use a contactless payment method, all you have to do is hold your card within close proximity of the contactless terminal. Either tap or hold your card over the contactless symbol on the POS once prompted to do so. After a few seconds, the payment process should be complete.
It’s also possible to complete a contactless payment transaction using a mobile device instead of a physical card. This can be done using Apple Pay, Samsung Pay, or Android Pay and their respective devices.
Key Takeaway: Contactless payment options allow customers to pay for products and services without physically swiping or inserting their card. This payment method is fast and convenient, especially in the restaurant industry.
Types of Touchless Payment
There are two types of touchless payment options. Each type includes different technology to ensure the payment goes through successfully.
- Contactless mobile payment. This contactless payment method involves the use of a mobile device and services such as Apple Pay, Android Pay, and Samsung Pay. The payment is made using near-field communication (NFC). This is how the payment information is captured and transmitted.
- Contactless EMV payment. Most EMV-compliant debit and credit cards can be used to make contactless payments. This is only possible if the merchant has an NFC-enabled EMV reader.
5 Ways Contactless Payment Is Improving the Restaurant Industry
Many restaurants, including pay at table restaurants, began adopting contactless payment methods years ago. However, the COVID-19 pandemic forced those lagging behind to invest in this kind of restaurant technology.
The pandemic made customers more health-conscious and in order to meet customer demand, restaurants had to incorporate contactless ordering and payment options. With things slowly returning to normal post-pandemic, contactless payment methods are still all the rage.
Here are five ways contactless payment options are improving the restaurant industry:
It’s Fast and Efficient
Contactless payment options are convenient for customers to use. In fact, they make paying at the table faster, compared to traditional payment methods. These payment methods include giving your card and waiting for the servers to swipe it and then return it to you.
POS systems with contactless payment options may also include QR codes. This allows customers to use their smartphones to scan the code and pay at their own pace.
With contactless payments, wait staff doesn’t have to spend time collecting and processing payments. As a result, they can spend time tending to other customers or important tasks.
Leaving cash or your credit cards on the table to pay is risky. It’s possible that those payment methods can be lost or stolen. However, contactless payment methods reduce that risk.
During a sales transaction, contactless payment technology requires minimal touchpoints to complete the transaction. The diner’s information is protected from start to finish due to encryption in the payment technology. This is also true thanks to integrated payments.
It’s More Hygienic
With a contactless payment option, you don’t have to worry about touching the restaurant point of sale systems. This is especially important in a post-pandemic world where customers are aware of high-touch areas that act as germ zones.
By incorporating contactless payment methods, you are helping customers feel more comfortable and reducing the opportunity for germs to spread. This shows customers that you’re committed to customer safety.
Better Customer Experience
There are a lot of factors that matter to customers in order for them to have a pleasant dining experience when eating out. These include the quality of the food, the atmosphere, and the customer service they receive.
Mobile payment and contactless payment methods are fast and convenient which helps improve the customer experience. This compares to other payment methods that are slow and cause long wait times. As a result, this can frustrate customers.
Offering touchless payment options allows customers to pay while seated. This makes the process quick and easy since customers don’t have to wait for employees or bar staff to bring back their cards or change.
Potential Increase in Tips
Square, a POS software, has conducted case studies to explore what leads customers to leave larger tips in restaurants. The studies found that customers are more likely to leave a larger tip when paying with mobile payments. This is compared to those who pay with a physical card or cash.
The reason for this is likely due to customers recognizing faster and more efficient payment. It’s also possible that customers don’t feel that the money is real when they pay using mobile contactless payment methods. This compares to physically counting their paper bills.
Frequently Asked Questions About Contactless and Touchless Payments
If you’re opening a restaurant or opening a business in the restaurant industry, it’s important to incorporate different payment methods. This helps improve business and overall efficiency. Read the following commonly asked questions and answers regarding contactless payments to understand why you should incorporate them in your restaurant.
What Is the Importance of Contactless Payments?
The importance of contactless payments is that they provide convenient and safe payment methods for customers. There is no need to swipe or insert a physical card into restaurant POS systems.
This method speeds up the payment process for customers. It also provides customers with additional ways to pay including mobile payment options.
Are Contactless Payments a Current Trend or Are They Long-term?
Contactless payment methods are increasing in popularity, and they are long-term. In 2020, the worldwide contactless payment market size was $10.3 billion. Over the next five years, that market size is expected to grow to $18 billion.
Are Contactless Payments Secure?
Yes, contactless payments are secure. Magnetic strips on credit and debit cards are easily duplicated. However, with contactless payment technology, there is no need to swipe the card making it harder to duplicate the magnetic strip.
A standard POS system and mPOS system that is equipped with NFC features allows customers to make contactless payments. These devices help reduce the risk of credit card fraud by only reading short-distance radio frequencies.
Due to the short physical distance between the contactless payment and the POS device, there’s less of a chance that an interruption will occur. This makes it less likely for someone to steal your card information.