How to increase customer direct debit use

If you have already integrated direct debit into your business, you are most likely aware of the many benefits it offers. Beyond the reduced administration costs and increased convenience, direct debit is one of the most effective payment solutions when supporting recurring revenue streams. Such benefits can be maximised by increasing customer direct debit use.

Direct debit has numerous benefits for you and your customers. Addressing any misconceptions your customers may have about direct debit will help them realise the benefits of direct debit and get them on board. Whether customers are nervous about security or unwilling to sign onto a long-term contract, educating them about the benefits and facts about direct debit is key.

If you’re interested in the increased convenience and reduced costs that direct debit offers, here are three strategies that can help increase customer engagement.

Security

With new reports of online data breaches hitting the headlines each month, it is not surprising that certain customers may be cautious about sharing their payment data with corporations.

Rather than risk their personal details being stored online, some customers may prefer to use cash or alternative payment methods when dealing with businesses. However, direct debit can be a secure and safe option for businesses and customers alike.

Educate your customers that the Ezidebit direct debit is not only simple and easy, but payments processed are fully PCI DSS Level 1 compliant and adheres to these standards so they can rest assured that their payments are safe and secure.

The collection, use and storage of card payment data is strictly monitored by the global authority, Payment Card Industry Security Standards Council (PCI SSC). The PCI SSC has created an extensive world standard framework to ensure merchants and businesses follow best practice processes when dealing with card data. This vital framework applies to all businesses that accept, transmit, or store cardholder data, with the highest level of PCI DSS (Data Security Standards) Compliance being Level 1.

Convenience

A paperless direct debit solution is not only convenient for your business, but for your customers too. By integrating a system that requires little physical input, customers can effectively process regular payments without having to take action.

Inform your customers about the many benefits of an online payment solution such as direct debit. Direct debit is an extremely streamlined and automated system which means they can easily avoid the late penalties that are incurred when bills are lost, late or forgotten.

This is the ideal solution for time-sensitive payments, as customers no longer have to rely on their own memories and actions to fulfil due invoices.

Once your customers understand the benefits of direct debit, direct debit usage will increase, and your business can further reap the benefits of increased cash flow and in turn greater profitability.

Flexibility

Some customers may not wish to sign up to a direct debit system because they believe they are signing a contract that takes away their payment freedom.

On the contrary, direct debit payment platforms such as Ezidebit, often enable the business to adjust their customer terms throughout the life of the contract. This means that if a customer’s circumstances change, direct debit payments can be altered to suit their new situation. Additionally, platforms can be personalised to each customer and business, which allows you to work together to reach terms that benefit you both.

Reducing any concerns your customers may have about direct debit will not only increase their direct debit use, but help create strong relationships between you and your customers and mitigate the risk of customer churn.