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Table of Contents

Lead Story

Canadian payments revolution - eh!

Adam Atlas
Attorney at Law

News

Industry Update

HR 5546 is in the House

Shopit starts Revolution

Agreement keeps Frontier flying

PCI SSC adds new payment device types

New webinars target PCI education

Gas stations nixing plastic

Approaching a crossroads

Patti Murphy
The Takoma Group

Features

Brewer taps payments market

Brewer taps payments market

ISOMetrics:
Payments in the Great White North

Views

Approaching a crossroads

Patti Murphy
The Takoma Group

Education

Street SmartsSM:
Passing the so-what test

Jason Felts
Advanced Merchant Services

Communication matters

Vicki M. Daughdrill
Small Business Resources LLC

How sellers blow deals

Lane Gordon
MerchantPortfolios.com

Canada goes to chip, fraudsters move south: Are you ready?

Deana Sellens
Take Charge Business Consulting LLC

Web sites that work

Nancy Drexler
SignaPay Ltd

Dial is yesterday's paper

Dale S. Laszig
DSL Direct LLC

Company Profile

RDM Corp.

Smart Circle International

New Products

Destroy the data, recycle the rest

D3eraSE
Company: Digital Data Destruction Services Inc.

Inspiration

Take new trip in downturn

Departments

Forum

Resource Guide

Datebook

A Bigger Thing

The Green Sheet Online Edition

July 28, 2008  •  Issue 08:07:02

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Dial is yesterday's paper

By Dale S. Laszig

Suppose you took the best salespeople you could find, gave each one a demo bag with a phone inside, and told them to sell security and peace of mind to small-business owners. That's exactly what happened 20 years ago when we introduced electronic data capture.

Suppose the device in the demo bag looked more like a small computer than a phone, although some of the early models had handsets. Imagine explaining to merchants who were accustomed to walking paper-based transactions to their banks that their credit card receipts would be sent electronically through a phone line and would take up to three days to appear in their bank accounts. Was it really an easy sale?

A new era to relish

Some of us like to reminisce about the good old days. But while competition and increased supply have driven down our pricing, let's not forget that technology is still our best friend, and newer solutions equal higher profits.

Today's technology is every bit as revolutionary as yesterday's electronic data capture. You don't need an engineering degree to sell it. You just need a high-level understanding of how these solutions work. This knowledge helps you solve problems and improve efficiencies for your merchant customers.

Twenty years ago we had a large population of merchants who depended on paper for their bankcard transactions. Today we have an equally large population of merchants who are using outmoded dial technology. They represent a superb opportunity for ISOs and merchant level salespeople.

For merchants, dial-up credit card processing is becoming just as antiquated as dial-up Internet access for most homeowners. Why choose to process credit card transactions with a dial modem when there are so many more cost-effective and efficient methods of transmitting data?

The widespread use of cellular, Internet protocol (IP)-enabled, Wireless IP-enabled (Wi-Fi), and contactless protocols has made these new technologies more affordable and easier to use. Traditional credit card terminals share an increasingly crowded market with such form factors as key fobs, laptop computers and solutions that are integrated with POS management systems.

Some of today's new hardware models not only resemble phones, they are phones. Smart phones with Bluetooth card reader peripherals offer an intelligent choice for mobile merchants or delivery services that need to process payments on the go.

Merchants who have switched from dial to countertop wireless or high speed Internet-enabled terminals will tell you the difference is like night and day. A four-second transaction looks like warp speed to a merchant who is used to a 45-second dial transaction.

With so much variety now available, how do we help new merchants make informed decisions on what method of processing to buy? Merchants are surrounded by new technology, and they are already asking questions about it. They want to know that your hardware, software and communications methods are secure and obsolescence-proof.

Essentials to emphasize

Here are five key factors to emphasize when reviewing processing options with merchants:

Spotlight Innovators:

North American Bancard | USAePay | Super G Capital LLC | Humboldt Merchant Services | Impact Paysystems | Electronic Merchant Systems