To successfully rent a holiday home time and time again, it is absolutely critical to build trust into your dealings with renters. So when taking credit card payments, what are the best ways to make sure both parties are getting what they want; peace of mind?
Richard Speigal is the Managing Director of Espana Breaks and in this post offers his words of wisdom on taking credit card payments.
He comments: “Rather than relying on sheer force of personality to bridge the trust gap, we recommend owners squash the issue from the outset by offering a safe and transparent method of payment to all their customers: you must accept card payments.
Card payments still offer the highest level of protection for both the customer and supplier, especially should a dispute arise. This way your customers need not fear booking with you and it’ll be a whole lot easier to close a sale with wary new punters.
The good news is that these days you don’t have to be a registered business to accept card payments and you don’t need an expensive card processing solution for your website. The most popular solutions for owners include these user friendly and affordable options:
- PayPal (www.paypal.co.uk) – typical transaction cost 3.4% + 20p
- Google Checkout (checkout.google.com) – transaction costs from 1.5% + 15p
- WorldPay (www.worldpay.co.uk) transaction costs at 4.5% + .50p
- Protx (www.protx.co.uk) flat £20 tariff per month
- No Chex (www.nochecx.com) transaction costs from 2.9% + 20p
(US and Canadian owners should also look at http://www.homeandawayconnect.com’s in-house solution.)
Some owners gripe about the cost of the payment processing and so pass it directly to their customers in the form of a surcharge. Avoid this approach at all costs! It is short sighted and liable to make you look penny-pinching; customers loathe people who state one rate then start charging unavoidable ‘extras’. Instead build the cost into your overall price. If your prices can’t take an increase of a few percentage points, look elsewhere at your pricing and cost base.
Just remember this simple sentence: The most successful owners are the ones who are easiest to buy from. Have a safe and easy payment mechanism and your customers will love you for it, and more importantly they will return time and time again.”
Thanks to Richard Speigal, Managing Director of España Breaks, for taking time out of his busy schedule to give us all a little more useful info on making our home away from home a rental success!