The rising of O2O commerce has shifted the way Chinese consumers shop. Accordingly, a seismic push has taken place on merchant’s end all around China, since mobile payments like WeChat Pay has been more popular than ever. As a result, the POS Terminal in every retail stop is expected to not only handle cash and credit, but also support WeChat Pay and other popular mobile payments.
Here comes the question: What does it take to add WeChat Pay to your POS terminal?
To upgrade, or not to upgrade?
Modern POS system looks pretty much like this: Generally, terminal has cash register, credit card terminal, and a personal computer, which is provided with application-specific programs (for example: menus for restaurants).
Theoretically, the most direct way is to completely upgrade your POS system to “WeChat Pay-ready”. Wangfujing Department Store has followed this path in 2014: The iconic retail store in Beijing, China thoroughly reformed their old payment system to new POS Terminal that fully supports WeChat Pay.
However, there are 3 major reasons holding every business back on the upgrade:
High cost.
Your POS system is the lifeline of your business operations. How much does it cost to completely change your POS system to another? How long does it take to upgrade? The costs of time and money are two major issues bothering every business owner.
Complexity.
Merchants with integrated, customized POS platforms face a complex and timely implementation process that may prevent them from upgrading in time. After all, it is a matter of time for employees to adapt to the new system. But for every retail shop, time matters.
Life cycle.
The average age of a merchant POS system is 3.3 years and the average replacement cycle is 5.2 years. Merchants caught in the middle of the cycle are less likely to replace their current POS system.
Our Solution: Add a little something extra
Enters TMO Group’s solution: With the help of our technical partner, we will simply add a “magic cube”, instead of changing everything.
The “magic cube” works as a WeChat Pay server, which connects your POS computer and receipt printer. On the top of the “magic cube”, there will be a small screen to present the price to the customers. Together with the WeChat Pay sever and the screen, our WeChat Pay solution will be an crucial stage of building up your O2O model in China.
The core in this WeChat Payment solution is QR Code. Here is how it works:
- When in a grocery store/department store/offline retails, a specific QR Code will generate on the screen within payment details. Customers use their phone to scan the QR code on the screen, and the QR code will direct the customers to WeChat Pay. Simply click “confirm payment” and the transaction is complete.
- When in a restaurant/coffee house, or waiting for food delivery at home, the QR code will be found on the receipt. Customers can just scan the QR code on the receipt, and finish the payment.
The little something extra we added to your POS system will not interrupt the current peace; instead, an extra device can bring your retail to “mobile payment era” without redundant development and maintenance.
“Magic Cube” can do more than just payment
Our WeChat payment solution will bring convenience to payment end, and it can do more than just collecting the money. The payment integration will be used as part of your O2O model strategy, to attract potential buyers to their physical stores through online marketing efforts.
To be a more specific, “magic cube” will also contribute in promotional campaign and CRM. For example: Every time a customer paid via WeChat Pay, his/her WeChat account will follow your WeChat Public Account automatically. Thus all of your promotional coupon can be seen by your customers, which could have a positive impact on your promotion process. This will help your business generate popularity, enhance customer loyalty and bring more repeat business.
Moreover, our WeChat payment solution will collect data from various customers from their transaction details. Analyzing this data will help your business define your target customers, find your top sales product and improve your store to a new level.
Conclusion
Since the payment habit has been different through the years in China, change is coming to any POS Terminal near you. For every business owner, it is always vital to know what is the latest trend in the business world, and more importantly, how to stay ahead of the pack.
As mentioned above, adding WeChat Pay function to your POS terminal is not that difficult. If you and your business is ready to embrace mobile payment popularity, Contact TMO Group and find how we can help.
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