Small business owners can increase profits by selling products that are in high demand. They may obtain retail reports about these products when starting out, or keep track of sales trends. Subsequently, they can continue ordering the products that sell and drop those that don’t sell. It is also important to have both an ATM machine and credit card processor in the store. Customers who don’t have credit cards or checks with them can use their debit cards for cash. This prevents them from going elsewhere for their purchase. Having a merchant machine is just smart business. Credit cards can increase a merchant’s business by 40 percent or more.
Advertising is another way to increase profits. Retailers must advertise to increase traffic to their stores. The best ways to advertise are newspapers, radio, television and direct mail. Coupon magazines are highly effective in generating traffic. These publications are distributed through newspapers or by mail. They contain ads and coupons from many different retailers, but usually not directly competitors. It is best to put a deadline on coupons to get people in stores more quickly. Merchants can then take their orders by check, cash or credit card processor.
Business owners can also increase profits by having a fair return policy. Customers should be allowed to return merchandise for up to 30 days minimum. Some may receive duplicate gifts, or the merchandise may be damaged in some way. A clothing item may not fit a family member. Whatever the case, customers are much more likely to regularly patronize a retailer that has a fair return policy. The charged purchases can easily be refunded by running a person’s card through a merchant machine.
Frequency programs also help boost profits. A frequency card is usually run through a POS system or computerized cash register. People are then rewarded according to the number of times they shop at the store and make purchases. Rewards can include coupons, free items and even cash back. The magnetic stripe on the card can easily be programmed and run through the card processor.
Internet and mail order retailers can also boost profits by opening a MOTO account. MOTO stands for “mail order telephone order. Telemarketing companies can also benefit by using a MOTO account to process credit card orders. Internet companies can use the web-based systems on their websites. Mail order and telemarketing firms may use the touch-pad or portable units. They both work wonders in increasing sales from people who prefer paying with credit cards.