HARDISON’S TIPS – DECEMBER 16, 2020 – SHOULD RETAILERS START ACCEPTING CRYTOCURANNCY
While Bitcoin may be gaining steam, it is unlikely that the payment system will overtake the leaders in the mobile payment space such as PayPal and Google Wallet. Retailers need not throw out an Isis terminal or stop accepting PayPal.
However, Bitcoin does seem to be a valid alternative form of payment for many consumers, especially those who want to maintain anonymity. It would therefore make sense for retailers to get a better understanding of what its target consumers want to decide whether or not it is worthwhile to accept Bitcoin in addition to the major payment methods.
“If Bitcoins continues to gain traction, I see it being adopted as a back-end payment method for other wallet solutions,” Pervasive Path’s Mr. Stein said.
“For example, Google or PayPal may choose to provide you to check-out using PayPal, or Google Wallet, the funds would be withdrawn from your Bitcoins account rather than a traditional bank account or credit card,” he said. “I don’t see Bitcoins gaining the critical mass required in terms of merchant acceptance to grow beyond that as an independent alternative to the big guys.”
At the end of the day, retailers need to meet the needs of their consumers. If their consumers want to pay via Bitcoins, then they should accept Bitcoins.
“Retailers are very interested in alternative payments,” said Nikki Baird, managing partner at RSR Research, Miami, FL.
“I think some of it stems from trying to get out from under transaction fees and the reliance on major card networks,” she said. “But some of it is a genuine interest in keeping up with the payment alternatives that consumers are interested.
“Retailers want to take payments however consumers want to pay, and if they want to pay in Bitcoins, retailers will figure out how to take them.”
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