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Canadian Companies accepting E-Commerce

Canadian e commerce is a small but growing part of the payment card industry in all seven provinces of Canada, as well as throughout the world. E-commerce is short for electronic commerce. It’s also sometimes referred to as doing business through the internet or an online solution. It encompasses a variety of different types of transactions in a wide range of industries. In researching this article, the author came across an incredibly wide and divergent group of items being sold online ranging from small, easily transportable (small office supplies) to large industrial items including printing presses and conveyor belts. The common bond throughout all of these transactions is the fact that the merchant or seller is accepting credit cards from the consumer, and is doing so online, rather than in a face to face, mail order or telephone type transaction. Obviously this new way to conduct business opens up the entire world as the potential marketplace for the seller who no longer has to rely solely on local consumers or businesses to purchase his good or products. However, that’s a separate topic for a different day. The purpose of this article is to bring to light facts surrounding Canadian e commerce and discuss the virtual terminal, one of the two major ways this type of purchase and sale is actually implemented in Canada.

The most commonly used method to accept credit cards online is through a virtual terminal. Canadian e commerce received a huge boost in terms of number of sales and revenue once this mechanism to accept credit card payments started to become a mainstream solution. A virtual terminal is just like what it sounds like. It is a mechanism set up by the merchant processor in conjunction with their e-commerce or gateway provider to allow a business to go to an online portal or terminal and safely and securely type in a credit card number as a form of payment.

A virtual terminal is incredibly easy to set up, very cost efficient, both to set up and as a mechanism to conduct online business. A virtual terminal can be put in place very quickly, assuming the business owner has a reliable merchant processor as well as an understanding of how they plan to take credit cards online. The small to mid sized business owner looking to accept credit cards through a virtual terminal should look for a company that offers the following:

●     The ability to process virtually all payment options, including credit/debit/gift/loyalty cards

●     A company offering low processing fees

●     The ability to quickly access to your account anywhere, anytime with online reporting

●     Reduced risk with fraud protection

●     Fast, reliable, 24/7 customer service

Companies that engage in Canadian e commerce and are able to partner with a merchant processor offering the above services will certainly have an advantage in the marketplace.

When choosing a service for your virtual terminal there are a few important factors to consider. Most important of which is the method of connecting the virtual payment withyour business banking account. Merchants should take comfort in knowing that they can keep the same bank account they currently use. Most online payment systems function on a relatively simple system based around crediting the consumer’s credit card. Some services like PayPal offer the ability to link directly to the merchant’s personal checking or savings account. Some feel this is a wise idea, others resent the high fees associated with PayPal.  Irrespective of the service you choose to be your virtual terminal partner, Canadian e commerce can be tricky for the unaware. As a result you should always read the fine print when signing up.

About the Author

05-12-08 – In The Bleak Mid-Winter Pt 1