What are Alternative Payment Methods (APMs)?
Alternative Payment Methods (APMs) are payment methods other than cash or credit cards. APMs have increased in popularity with the rise of digital commerce.
What are some examples of APMs?
Some examples of popular Alternative Payment Methods include:
- Consumer financing
- B2B point-of-sale financing
- Prepaid cards
- Stored-value cards
- Bank transfers
- Digital wallets such as Google Wallet or Apple Wallet
- Direct debits
- Cryptocurrencies
- Mobile payments
What are some benefits of APMs?
- Diversity in Payment Options: APMs offer consumers and business buyers a variety of choices for completing transactions, catering to different customer preferences and needs.
- Enhanced Accessibility: Alternative Payment Methods often provide easier access to financial services and bank loans.
- Global Reach: APMs are crucial for businesses looking to expand their market reach, as they accommodate local payment preferences in different regions.
- Stimulate Growth: Merchants offering APMs can tap into new customer segments, improve conversion rates and potentially reduce transaction fees.
- Be Relevant: Merchants that understand the payment methods preferred by their target markets can offer relevant APM options, thereby attracting more customers and increasing customer lifetime value.
