Why You Should Accept Closed Loop Payments Like Campus Cards, Military Cards, and Employee ID Cards!
Accepting payments from closed-loop methods such as campus cards, military cards, and employee ID cards means you never have to miss a sale from those populations again!
A closed-loop method of payment refers to a system in which the entire payment process, from the initiation of the transaction to the settlement, occurs within a controlled and proprietary environment. In a closed-loop payment system, the payment is typically limited to a specific merchant or group of merchants who have established a closed network for conducting transactions. This can include more standard methods like pre-paid cards like gift cards or store credit, public transportation cards, prepaid phone cards, or more unique methods such as campus, military, and employee ID cards that are also enabled as methods of payment.
Gift Cards/Store Credit:
Closed-loop payment methods are commonly associated with prepaid cards. For instance, a retailer may issue a gift card or store credit that can only be used for purchases within their stores, making it a closed-loop payment system. Closed-loop payment systems are often preferred by merchants as they provide a level of control and simplicity. The transaction process is streamlined, and merchants can customize loyalty programs or incentives.
Accept Campus Card Payments On or Off Campus, Gain New Sales From Campus Populations:
Campus cards, also known as student ID cards or university ID cards, serve as multifunctional cards for students and staff on college and university campuses. These cards typically incorporate a variety of features, including identification, access control, and payment capabilities within the confines of the campus environment. Campus cards are primarily designed for use within the specific campus or university environment.
For example, students or staff can load funds onto their cards or link them to their university accounts to make purchases at on-campus facilities, such as dining halls, bookstores, vending machines, and printing services. In addition, if your business is near a college campus, accepting campus cards as a method of payment could open up a whole new pool of customers for you! But, you need to work with a payment solutions provider that has a relationship with a wide variety of campuses, campus card providers, and associated processors. Luckily, Apriva supports campus card payment acceptance on over 500 US college campuses, so we’ve got you covered! We can help you accept campus cards on over 90% of US college campuses, and potentially increase your sales by up to 25%.
- Convenient Payment Option: College students and staff often carry their campus cards at all times, making it a convenient payment option for on-campus and nearby off-campus transactions. By accepting campus cards, businesses can cater to the preferences of their immediate customer base.
- Increased Foot Traffic: College campuses are bustling with students, faculty, and staff who regularly visit nearby businesses. Accepting campus cards can attract this large and potentially loyal customer base, leading to increased foot traffic and sales.
- Tapping into a Target Market: College students typically represent a significant demographic with specific needs and purchasing power. By accepting campus cards, businesses can tailor their offerings to the college community and meet the needs of this target market.
- Loyalty and Repeat Business: If a business offers favorable terms, discounts, or promotions for campus card users, it can foster loyalty among students and staff. This, in turn, can lead to repeat business and a steady customer base.
- Streamlined Transactions: Campus cards are often linked to prepaid accounts, meal plans, or other financial resources. Accepting campus cards streamlines transactions for students who can use their existing accounts without the need for cash or credit cards.
- Competitive Advantage: In areas near college campuses, businesses that accept campus cards may gain a competitive advantage over those that don’t. It sets them apart and makes them more attractive to the college community.
- Community Support: Supporting the local college or university by accepting campus cards can build goodwill and enhance the business’s reputation. It demonstrates a commitment to the local academic community.
- Special Events and Promotions: During peak times like the start of the school year, graduation, or special events, businesses that accept campus cards can offer targeted promotions or discounts to attract students and their families.
- Partnerships and Collaborations: Some colleges and universities actively seek partnerships with local businesses to enhance the student experience. This can result in mutually beneficial arrangements where businesses accept campus cards in exchange for promotional opportunities on campus.
Click here to learn more about campus cards!
Accept Military and Employee ID Card Payments:
Similar to the benefits of accepting campus cards, if you run a business inside or nearby a large employer or military base, such as an office café or vending machine, or nearby restaurants and stores, accepting employee ID cards as a method of payment can make it that much easier for that customer population to make purchases at your business while they’re on the job.
Accepting military ID cards as a method of payment can offer several benefits for businesses, including select stores located near military bases or in regions with a significant military presence, who are enabled to accept this form of payment. Here are some reasons why a business might want to accept military ID cards as a method of payment:
- Tap into a Target Market: Military personnel and their families represent a significant and potentially loyal customer base. By accepting military ID cards, businesses can attract military service members and their families, which may lead to increased foot traffic and sales.
- Community Support: Supporting the military community can build goodwill and a positive reputation for a business. Businesses that actively cater to military personnel can demonstrate their commitment to the local community and show appreciation for the sacrifices made by service members.
- Increase Sales and Revenue: Military service members often have stable sources of income, and military bases can be hubs of economic activity. By accepting military ID cards, businesses can potentially increase their sales and revenue.
- Loyalty and Repeat Business: Service members and their families may become repeat customers if they find a business that caters to their needs. Loyalty programs or discounts for military personnel can incentivize return visits.
- Convenience: Accepting military ID cards as a method of payment can provide convenience to military customers who may prefer to use their cards for purchases on and around the base.
- Competitive Advantage: In areas with multiple businesses, accepting military ID cards can be a way to gain a competitive advantage. It sets the business apart from competitors who do not offer this payment option.
- Support Local Economy: Military bases often have a significant economic impact on the local community. By accepting military ID cards, businesses contribute to the financial well-being of the local area and may benefit from increased patronage.
