Black Friday seems to be getting closer every year and with the excitement a looming anxiety especially for those who are fairly new to the game, as the dreaded date kickstarts the busiest time of the year for retailers, huge opportunities for sales growth sit just beside the pressure to manage such an increased demand, not to mention operational challenges, and ever more heightened consumer expectations.
For growing businesses, the stakes have never been higher: they must balance seizing the opportunity with ensuring that their systems can handle the surge.
Sarah Koch, director of marketing and communications at Aevi, the in-person payment company, addresses the main challenges when it comes to growing businesses around the busiest time of the year for retail.
In a recent survey conducted by Aevi, involving 2,000 participants across the US, has revealed among others, one critical issue that new businesses face: ‘trust’.
The respondents were revealed to be particularly distrustful of small chains, independent stores, and unattended retail when it comes to biometric data security. 45 per cent of respondents expressed distrust towards unattended retail, and 41 per cent felt similarly about small businesses, compared to lower distrust levels for large corporations (33 per cent) and payment processing companies (31 per cent).
This data highlights a significant challenge: for growing businesses, building trust is essential during peak retail periods like Black Friday.
Overcoming trust
Building consumer trust in a crowded market for small and growing businesses, overcoming trust issues is crucial, but it’s no picnic. While large corporations may benefit from established reputations, smaller businesses are often viewed as less secure. This can be especially problematic during Black Friday, where consumers are overall more cautious about where they spend their money and especially post CrowdStrike when alertness over ccybersecurity and data breaches is at an all-time-high.
For SMBs, security and simplifying / integrating payment processes often go hand-in-hand. new business your starter pack your starter pack needs to include key essentials: fulfillment and logistics options to ensure smooth delivery, end-to-end encrypted solutions for secure transactions, RKL support and fully managed security services to protect your customers.
Another, more apparent challenge is managing the sudden spike in foot traffic and demand. The possibility of Black Friday drawing sudden huge crowds to your small businesses can quickly become a logistical nightmare. New businesses must be prepared to handle the increase.
Whether it involves hiring extra staff, ensuring that stock levels are sufficient or being able to manage longer hours planning and prep are absolutely crucial. But this goes beyond just hiring; businesses need to equip their employees with the right tools to keep operations smooth. Point-of-sale systems that are able to handle multiple payment methods on one platform are essential to avoid long queues and, as a consequence, lost sales.
Smooth operations
Operational efficiency tools are increasingly being adopted by businesses of all sizes to streamline operations during the holiday season. Whether it’s inventory management, staff scheduling, or processing transactions, growing businesses need to integrate digital tools that improve efficiency. Small businesses should leverage systems that can manage all these functions easily in one place, reducing time spent on back-office tasks and allowing for more focus on engaging with customers.
While brick-and-mortar stores see increased foot traffic during the festive period, many consumers still prefer the convenience of online shopping. Therefore, adopting an omnichannel strategy is important even for physical stores. In-Person Payment Orchestration is key to building an effective omnichannel strategy by ensuring a seamless customer experience across online, mobile, and physical stores. It supports self-service environments and enables customers to use their preferred payment method across all channels.
An open API approach is vital for executing services like click & collect or buy-online-return-in-store, allowing merchants to connect channels easily and access real-time transaction data, and in-Person Payment Orchestration provides the insights of closed systems while giving businesses the flexibility to choose partners aligned with their goals.
Black Friday and Cyber Monday present both great opportunities and challenges for new and growing businesses. While the potential and promise for increased sales is evident, the key to success lies in building trust, managing and maintaining operational efficiency even under the ‘stress’ of a sudden surge in demand, and adopting the right digital tools to ensure that both customers and employees are well-supported throughout the busiest time of the year. As Aevi’s latest survey shows, addressing consumer concerns head-on, is more important than ever in an increasingly competitive retail landscape.
The post It’s Black Friday: Challenges for New and Growing Businesses appeared first on The Fintech Times.
