QR codes can be found almost anywhere.
It is a type of barcode that quickly stores data and allows users to obtain information.
There are numerous payment options available nowadays for recording business transactions.
On the other hand, receiving payments via QR code is far more efficient and convenient than accepting cash or checks.
The trick is simple.
You only need a smartphone for your payment transactions. To complete a transaction, you must first install a QR code app.
Then, all your customers have to do is to scan your QR code with their smartphone.
Following that, a notification will immediately appear on both of your devices to mark that the transaction is successfully done.
What kinds of QR codes are there?
Because of its ability to engage users everywhere and extract relevant facts about end customers, QR codes have elevated business payments to a whole other level.
There is, however, a significant distinction between Dynamic and Static QR Codes.
The decision between the two must be based on just how much flexibility and transparency your business needs when it comes to accepting payments.
Static QR Code
Here is an example: you own a coffee shop.
One day, your team decided to introduce a new promotion called “Tea-Time Special.”
As part of this promotion, you offer three menus for your customers to choose from.
Therefore, a static QR code can help you collect payments faster.
You only have to provide a physical QR code that can be printed and attached to your checkout counter.
When your customers do not have cash on them, it can assist them in making paperless payments.
This allows you to accept payments quickly and efficiently record your transactions.
However, a static QR code can only store a limited amount of information.
This code is permanent, and the data it contains is irreversible.
Once the URL is generated, it cannot be changed.
If you make a mistake, you have to start over and provide your customers with a new QR code.
Dynamic QR Code
On the other hand, dynamic QR codes are more useful for your business.
With them, you can track your customers’ data and they will be updated automatically.
When you use a static QR code, all the decisions made are limited and cannot be changed.
Unlike dynamic QR code, you can adjust and change the file at any time. It also allows you to track the number of scans, audience location, and download reports.
Moreover, you can easily distribute your QR code over the Internet. In this way, you can improve the identity of your brand.
What are the differences between digital payments and credit/debit card processing?
Both methods use cashless transactions and payments. However, there are some differences between the two:
|Digital payments||Credit/debit card|
|It requires a lower processing fee and is suitable for any type of business.||The fees are slightly higher, which is not suitable for start-up companies.|
|Digital payment records are stored in the app, so you can download and access this data anytime.||It comes with the additional hassle as you need to invest more money on external POS hardware to increase functionality.|
|Easier forms of payments such as PayNow & DuitNow (QR codes popular in Southeast Asia), which allow paperless and cashless transactions.||It is a cashless payment that can be done online and offline.|
|You do not need any additional hardware other than your smartphone.||Merchants must purchase or rent a POS device to accept payments.|
Why are QR code payments on the rise in Asia?
QR codes payment is very user friendly.
It allows both merchants and customers to have a smooth transaction as it provides paperless payment.
With this new mobile experience, you will be able to improve your customer’s loyalty.
In addition, customers increasingly have high expectations of merchants who can offer a contactless payment option.
The usage of the QR code is rapidly increasing after the Covid-19 outbreak in Asian countries. It has become one of the most popular options among customers because they are quick and easy to use.
Most importantly, it helps small businesses adapt to life after the pandemic. People also appreciate how fast the transaction is and how much time it saves.
That’s why, customers prefer to make their purchases online instead of using cash. The new e-commerce technologies will definitely simplify payments processes for both businesses and customers.
How does a business implement QR code payments?
Since QR code payments are accepted and sent via smartphone, as a business, it’s relatively simple to set up.
UOB mCollect POS for instance can be used in Southeast Asia for businesses who either don’t want to invest in a separate POS system, do not have the funds to do so, or already have a POS system but want to accept digital payments from their customers.
Your sales staff (cashiers, delivery people, etc.) can perform this process – while you receive an immediate payment notification when funds come in.
Because UOB mCollect POS links directly to your UOB account, funds are reflected within seconds instead of the 3-5 days that it takes with credit and debit cards.
In addition, UOB mCollect POS accepts payments using PayNow, DuitNow and PromptPay.
This feature is currently available in Singapore, Malaysia, Thailand and Hong Kong (coming soon).
How safe are QR code payments?
UOB mCollect POS is secure cloud-based technology at its finest. It requires user authentication to secure and protect your QR code.
This means all your data is secured, and you control user permissions and decide who can access the app, see financial data and accept payments across multiple locations and branches.
If you are looking for easier payment processing for your business, you should consider the UOB mCollect POS app.
We offer a 0.15% transaction fee, which is by far the lowest rate on the market.
Go here for more information on UOB mCollect POS!