During the pandemic, it is now common to see convenience fees in many industries and businesses - for grocery delivery and pickup, restaurant delivery and pickup, to help cover increased overhead costs for sanitizing and other regulation.
The other "convenience fee" that is becoming more mainstream is a fee for the convenience of using a credit card. In technical terms, it is called surcharging, but many business owners think of it as a fee passed on to the customer for the convenience of using a credit card vs paying in cash. Typical fees charged are 3.99%. On a $10 sale that translates to roughly .40 cents per transaction.
While this seems like a relatively small amount, for a business when you add that up over all your credit card transactions, now we are talking some real money. For a customer with $50,000 in monthly credit card sales, this translates into ~ $2,000 savings in credit card fees per month or $24,000 per year! Now that gets a person's attention.
Of course, there are guidelines and rules to be followed when implementing surcharging in your business. Which is why you want to work with a company that understands surcharging programs and can help you set it up correctly.
If you are curious how it would work for you, please give us a call at 907-243-2683. We can answer your questions and see how surcharging could work in your business.