Posted by tina on Oct 06, 2015

 

High risk merchant accounts internet

Payment processing for internet service providers.  Recurring and subscription payments stabilize your cash flow and increase the lifetime value of customers to you.

Intense Competition  Drives Market 

The days when the hosting market was cornered by a few large players are long gone. Today, individuals and business services who wish to put their website online can choose from a myriad of hosting providers, small and large. As it is the case with everything tech-related, the industry is constantly seeking to anticipate and exceed the expectations of customers.

In the past becoming a hosting provider was as easy as renting a couple of servers and then selling the space to customers.  Times have changed, however, and today’s providers must adapt to a different, rapidly changing environment. According to Web Hosting Geeks, the biggest web hosting trends for 2015 are dominated by the necessity of surviving and differentiating oneself in a competitive market.

Some customers decide on a provider based on a specific geographic top-level domain. Other internet service providers seek to attract new customers by offering tools that facilitate mobile use for the website.

The most important current trend, however, is the way hosting providers respond to the increasingly authoritative review websites. The task of picking the right provider can seem daunting to businesses.  As a result, many companies rely on review websites that rank hosting companies based on the diversity of the tools they offer, the usability of the features, and the quality of customer service.

Recurring Payments Stabilize Cash Flow

An essential part of the customer experience with internet service providers is the online payment process and the ease of recurring billing.  

Recurring payments are convenient for customers.  And profitable for you. Yet, updating card recurring payments can be a challenge.  

Every year, one in five cards are reissued.  Each time a card is reissued, you need to update the payment information for the recurring card transaction to be approved.

Obtaining updated card information is labor intensive and expensive.  And gives customers an unnecessary opportunity to cancel the service.

Special technology is available which automatically updates card information for you.  As a result, up to 70% of recurring payments can be updated without manual intervention. The service is available for high volume processing of recurring billing.   

Alternative Payments Boost Lifetime Value of Customers

Electronic checks are the most popular alternative payment option for US buyers.  When you accept checks online, you get orders from buyers that don't have cards, are maxed out on cards, or who simply prefer to pay you with an echeck.

Echecks are more stable for cards for recurring billing.  Consumers rarely change bank accounts because payroll, household bills, and other recurring payments are associated with the account.  Changing banks is a major inconvenience.

With echecks, recurring payments continue uninterrupted. With no need to update payment information, cash flow from recurring billing is stabilized.   

Conclusion

Recurring billing is part of the business model for web hosting companies and internet service providers. To protect your recurring payments, use account updater services to get updated card info without the need for manual intervention.

Set up an echeck account in addition to card processing.  Echecks increase the lifetime value of customers to your business while protecting your cash flow from recurring payments.

Are you an web hosting company or internet service provider seeking effective, secure payment processing?   

Contact info@paynetsecure.net today.