Cash is No Longer King: Why You Should Embrace Digital Payment ASAP
Back in the days, we all aspired to be Scrooge McDuck in Ducktales because he was so rich that his piles of money were as big as an Olympic-sized pool. Can you imagine if Scrooge McDuck had lived in 2021? His riches would consist of one small wallet and a smartphone, no mountains of cash. This is the era of digital payment when we don’t have to bring cash to buy luxury.
Five years ago, we withdrew lots of cash every payday so we wouldn’t run out of money to pay for bills, groceries, food, and transportation. How fast the days have changed. Now, most of us rely on smartphones and cards to pay for all the bills.
In Indonesia, many startups have published the newest and fastest digital payment methods since years ago. Sure, digital payments were something unknown to the masses. Thanks to the abundance of discounts and cashback offer from various platforms, and people have been more than happy to shift from cash to cashless.
Cash is Not Fully Neglected
Yes, cashless is the kingpin of payment 90% of the time. But what if suddenly your phone cannot connect to the internet? Then, you have no choice but to use cash. That’s why between cashless and cash, there really is no right or wrong answer. Cash is no longer king because it now has dethroned and becomes the prince.
So, if I were to describe it in an analogy, I’d say that the relationship between conventional and digital payment is like radio and podcast. We still use and love radio, even though we also like to listen to podcasts. In every business, it’s best to offer both conventional and digital payment. Therefore, customers can choose how they want to pay without any hassle.
Financial Inclusion is the Key to Embracing Digital Payment
There are two sides to the argument regarding digital payment. While most people are happy with the convenience of digital payment, others are still tiptoeing on the opportunity to accept digital payment. The number one fear of accepting digital payment is the security. How safe is digital payment in the POV of merchants?
To compare it with cash payment, digital payment is more secure since your money has no form or shape. With just your phone or card, you can bring all your money wherever you go. Burglars and thieves won’t be able to steal your money physically. As for all the forgetful humans out there, like me, your money is still safe even though you’ve lost or misplaced your wallet.
The younger generation has a chance to introduce digital payment to the older generation. This is the start of financial inclusion. Based on data from YouGov in 2021, GoPay users are mostly from the middle to upper class, aged 25–44. This proves that our nieces and nephews, friends, parents, and grandparents have chosen digital payment.
It’s Time to Take A Leap of Faith (with Calculated Measure)
Digital payments may seem foreign to your business. However, the pandemic is the right momentum for businesses to complement their business with digital payments. I’ve encountered several businesses who were afraid to take the leap and accept digital payments simply because they had a terrible experience with it. In hindsight, I’m 100% sure we have had terrible experiences with cash payments as well. So, why do we still accept cash?
It’s hard to trust after you’ve been hurt before by digital payments. But let’s shift the focus on the customers. Even during the pandemic, brick-and-mortar businesses have managed to serve their clientele by opening digital payment options.
Despite the challenges, digital payments may be your solution to increase your business’ survivability. Businesses can still “open their shops” without actually opening their shops in real life. Their products won’t go to waste, as they can still sell via online channels and accept digital payments, like virtual account transfer, link payment, e-wallet, online credit card payment, and so on. The bottom line is, when offline payment is deemed to be unreliable, you can still rely on online payment. You get the best of both worlds by embracing digital payment.
One step to take is working together with a payment gateway like Midtrans. If there is a problem, you can easily reach out to the customer service of the payment gateway, not the bank. We welcome our clients to discuss their worries and troubles with digital payment, so the smallest hitch will be solved immediately without the customer knowing.
