Does your business serve customers all over the world?If so, then you need to be able to process international credit, debit, and prepaid cards in your store. Having one or several international merchant accounts can help you do just that. Read to find out how your business can benefit by opening an international merchant account.
The advantages of going global54% of US digital shoppers have reported buying online from non-American e-commerce stores. And if you have a US-based business tapping into overseas markets, the stats are equally encouraging: at least 35% of global consumers make purchases in online stores outside of their home countries. E-commerce has done a lot to increase cross-border shopping, and the business opportunities are only growing. Looking into international merchant accounts can help your business take full advantage of these opportunities.
Not having any international merchant accounts can cost youAny expansion opportunity presents a unique set of problems that also need to be solved. Doing business internationally is no exception. Domestic solutions will usually suffice when it comes to handling domestic credit and debit cards, but will not always be up for the job when you start accepting payments from abroad.
As more new credit cards are introduced in almost every country of the world, having a domestic merchant account can lead to problems with declining international payment cards. Similarly, processing those international payment cards can be more expensive than domestically issued ones, and the cost can vary by card or by country – meaning that it’s hard for you to predict this variable expense and calculate it into your prices.
Both you and your customers might also be unpleasantly surprised by unexpected currency conversion costs, be it through extra fees or unfavorable currency rates. For the customer, it can mean that purchase costs more than expected, and they’ll never do business with you again (or worse yet, they issue a chargeback). For your business, it means the opposite – the revenue coming in may be less than expected. You can solve these problems by employing cost-effective international merchant services.