Venmo is not just a peer-to-peer payments app, but it can also be used as a payment method by small businesses. Since Venmo is owned by PayPal so if you already accept PayPal as a payment method then you can also accept Venmo at no extra charge. Venmo offers various things that can attract potential customers like fast processing speed and secure transactions etc. Venmo offers instant transactions but like credit cards and other online payment systems, there is a minimal fee of 1. 9% plus 10 cents per transaction. In Venmo when you make a payment it gets updated on the user’s feed unless you have changed your privacy settings. This allows users to track their expenses and payments and one other thing your friends can like and comment on your payments as well.
Why Should Businesses Choose Venmo?
Easy Online Integration
Since Venmo’s payment method and the user interface are so easy to use and the younger generation is familiar with it, it creates a vast potential for online retailers to drive sales through Venmo in the near future.
Venom is also great for limited sales at the storefront rather than using an expensive POS.
Speed
In this fast-paced life, everyone wants everything to be instant and that’s another factor that attracts not only customers but businesses also to Venmo. In Venmo’s business version transfers are very quick and allow companies to receive money and issue a transfer of payment on the same day. Since the Millennials want their money as soon as they do their work Venmo is ideal for any business to pay their employees and freelancers.
Security
Like its owner PayPal, Venmo also takes the security of the transactions made on its app very seriously. Venmo uses an encryption method to protect its user’s data and to make the payments more secure, most users of Venmo are the younger generations who believe in technology and since Venmo is owned by PayPal it has 20 years of experience in handling online transactions and keeping customers’ sensitive data stored in a secured method.
Free Marketing
When a buyer buys something through Venmo it gets posted on his user feed which is seen by his friends and families therefore it indirectly makes the buyer an ambassador of the seller and gives free marketing. Venmo’s user feed created digital word of mouth which may work as a promotion of a seller’s product absolutely for free.
Customer Connection
We all know the power of social media, and in Venmo when a customer pays you it gets updated on its user feed and gives businesses an opportunity to interact with their customers directly through likes and comments, it breaks barriers and allows businesses and clients to interact in the social-style platform.
Venmo’s social app-type features are also a great factor to drive customers to businesses.
Alternatives of Venmo
Apple Pay
Apple Pay is the giant in this segment with half a billion users worldwide.
Google Pay
Google Pay which was formerly known as Android Pay has 25 million users in the U.S alone and is accepted in many brick-and-mortar stores and many online stores too.
Zelle
Being the direct competitor to Venmo. Zelle’s peer-to-peer and subscription size modal crossed 1.8 billion payments in 2021.
Conclusion
So, by coming this, we hope that you would have some idea of how Venmo helps businesses to grow, its social features allow businesses to connect to potential customers and with existing customers directly and create a bond with the customers. Venmo also helps in promoting businesses and marketing for free literally by updating the buyer’s feed and the engagement of Venmo turns the users into potential customers for business in the future. Venmo is also very fast and secure in handling payments and provides same-day receiving money and issue of payment.
The only thing which can be considered as a disadvantage that is not a disadvantage is that it is not free for businesses because likewise credit cards and other online payment providers also charge some minimal 1.9% plus 10 cents on every transaction.
But considering all the pros of Venmo the single con becomes negligible.
