Monday Money Tip: Cheap Merchant Processing
Do you run an e-commerce site? Maybe you’ve been using Paypal or a traditional merchant processor the last couple of years but haven’t been really satisfied with the results. Maybe it’s the high fees, slow payouts, the nickel-and-diming you get from them. Well, keep reading because I think I have a helpful solution for you.
Last year Google jumped on the merchant processing train with Google Checkout and to drum up business they offered free merchant processing for all of 2007. I had initially been using Paypal for my e-commerce credit card processing but was unhappy with the high cost of doing business with them so when I heard about Google Checkout I was intrigued and decided to give it a whirl.
Am I glad I made that switch! Not only have I had free merchant processing in 2007 but I have also saved a good bit of money by not paying a 2.2% transaction fee on all my orders. At the end of January 2008, Google went back to their standard fees structure but they do have a way that you can keep from not paying any fees at all. That is by using Google AdWords credit. For every dollar you spend on Google AdWords you get a $10 credit in Google Checkout. So for instance you spend about $100 dollars a month in AdWords that would translate to $1000 in free merchant processing. Not bad eh?
It’s a great incentive to keep using their service. I know that I will keep on using it for all my processing needs. One of the things I really enjoy is that I don’t have to worry about storing and securing credit card information. Customers can put in their information securely and it’s all handled by Google and I never see it. I just get the end results - the revenue - and happy customers knowing that their credit card info is secure. Plus my e-commerce host has great API integration with Google Checkout.
If you don’t have an e-commerce site I still recommend Google Checkout. Why? Well, say you do small mail-order or person-to-person business and don’t want to mess around with checks and cash. You can always e-mail your customer the invoice and when they get the e-mail all they have to do is click the pay link and voila! Payment through Google Checkout.
Hope this helps some of you aspiring e-commerce folks out there. One of the greatest challenges of running an e-commerce business is the credit card fees you get slapped with. Google Checkout is a way to help alleviate those concerns and save money too.
Have a prosperous week and go make some money!
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