When was the last time you’ve gone to a store, and suddenly their systems were down indefinitely, leaving them only able to accept cash? Or worse, they were unable to take any form of payment. Commerce has come to a complete standstill, and you’re left unable to buy anything. Putting all the items in your cart back on the shelves, you’re left saying, “There has to be a better way.”
Now apply that same scenario to your business. Do you have a backup plan for when your systems are disrupted? Or will your customers also be leaving empty-handed and in a huff?
Between cyber-attacks, power outages and systems failures, there are too many chances in today’s world for payments to fail. And they are increasingly failing. Our own research exploring payment disruption across UK retail, hospitality and leisure shows that businesses are experiencing over 5 major payment outages per year. With no backup plan, payments are brought to a complete halt time and time again, destroying revenue.
We’re going to explore the effect of payment outages, the need for businesses to solve these outages, and building payment resilience to future-proof your business.
Why Payment Failures Are a Bigger Risk Than You Think
When payment systems go down, the fallout happens quickly. Customers expect seamless checkout experiences and will likely become frustrated when faced with a wait longer than 6 minutes. They will wait up to 22 minutes for an outage to be resolved, but the average outage lasts 84 minutes. At that point, these affected customers are long gone. Without rapid recovery solutions, businesses risk abandoned carts, diminished loyalty, and lasting damage to their reputation.
To make matters worse, modern reliance on digital payments has left customers with fewer fallback options. Credit cards, mobile wallets, and debit cards dominate, while cash usage is decreasing every year. If your payment systems fail, particularly for tech-savvy or high-spending demographics, transactions are often abandoned entirely, damaging both your revenue and reputation.
The Pitfalls of “Band-Aid” Solutions
Despite the increasing digital payment dependency laid out above, many businesses remain unprepared. A staggering 22% still rely solely on cash as their backup plan, while 7% have no fallback solution at all. However, an outage plan with no digital backup is no plan at all. Less than 30% of consumers always carry cash when shopping, so a complete outage puts 70% of customers out of commission.
Quick, surface-level fixes might offer temporary relief, but they leave businesses open to larger, long-term risks. True payment resilience requires smart systems with built-in flexibility and the ability to recover operations in real time.
How to Stay Up and Running Through Disruption
Businesses need robust systems with real-time failover capabilities to ensure continuity when disruptions strike. These include installing a backup internet connection and bringing in-store checkout to a mobile device via QR code or app-based payment.
The most effective solution to stay in business though is installing a secure digital backup in the form of an offline card processing system. This is available on secure payment gateways like FreedomPay, and ensures that businesses can still accept transactions during an outage and process them once they’re back online.
Businesses can also choose a payment gateway like FreedomPay that allows them to work with multiple acquirers. In the event of one acquirer having an issue, you have the option to switch to continue accepting payments.
These systems build payment resilience and reduce the occurrence of payment disruptions. And if an outage is to occur, they will be able to get back and up running quickly.
How Payment Resilience Unlocks Opportunity
Resilient payment systems don’t just prevent losses; they create opportunities for growth. Businesses equipped with layered, fallback-ready payment infrastructure are better positioned to maintain customer confidence when disruptions occur. Consumers are more likely to remain loyal to brands that consistently deliver seamless, reliable transactions.
Here’s how payment resilience adds value to your business:
- Protect Revenue: Minimize losses by guaranteeing operational continuity.
- Enhance Brand Reputation: If your competitors are dealing with outages, whether small or headline-making, you can lead the market by ensuring a frictionless customer experience.
- Gain a Strategic Edge: Deliver the reliability and adaptability that today’s digital-first economy demands.
The Future of Business Starts with Payment Resilience
Simply put: payment outages are operational risks with lasting financial and reputational consequences. But with the right investment in cutting-edge, integrated payment solutions, businesses can secure their systems, reduce losses, and even turn resilience into a competitive edge.
Don’t settle for reactive fixes. Build proactive resilience into your digital payment framework. Secure your business, safeguard your customers, and ensure you thrive—even during disruptions.
Your next step is clear. Reinvent how your business handles payment failures and seize opportunities to lead in a digitally connected world. With strong payment resilience, your business is ready for the future.
Reach out to get more information on how to achieve payment resilience with an integrated payment solution, and download our report for more data on payment outages.
