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Payment industry is heating up but is it helping merchants?

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Pretty much every day we are reading about a new payment method, another start up and another way to pay online or over the mobile phone.  But if you are a retailer/merchant, how does that help you choose what is the right option for you?  I would argue that it's becoming increasingly different to filter out what is the marketing noise, what is indeed a workable solution, and finally what will actually work for you as a merchant, i.e. what your customers need, would they accept it, whould you increase your conversion and popularity?

In the not so distant past, to start a business you just opened up an account with your bank and signed a merchant agreement with them to be able to accept credit cards - Simple!  But you were limited to the one market you knew, and you needed to go and get to know all the new markets to the same degree.

Now it's a lot easier to sell online to many different markets, but the payments are often the stumbling block - e.g. the Germans just wont pay online with a credit card, and you start narrowing down your addressable segment if you dont offer the locally aceptable payment methods.

So what is the merchant to do?  Well, looking at the competition and what they do in terms of payments is not a bad start, especially at those local to the market.  Also, getting a better understanding of the customers you are targeting and how the product you are selling fits into their payment habits.  And, of course, try not to get too carried away with trying out all the new 'payment inventions' untill they are tried and tested by the market, unless of course you have a huge budget to experiment with and like being the  first comer and to have a technological edge.

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