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April 10, 2023 • Issue 23:04:01

Can we restore SMB satisfaction?

J. D. Power researchers underscored the need to clearly
communicate available options and tailor services to fit cli-
ent budgets. "Merchant Service providers should continue
communicating [about] data security and proactively sup-
port small businesses with cost and service offerings that
address inflationary concerns," they wrote. "Small busi-
nesses should seek and adapt merchant services solutions
that best fit their cost needs based on changing consumer
behavior patterns and a dynamic economy."
Address cost of service

J. D. Power researchers found small and midsize merchant
satisfaction with acquirers had dropped in 2022 from high
levels in 2020 due to concerns about service quality and
costs, especially among restaurants and food service pro-
viders. Researchers attributed dissatisfaction to inflation
and supply chain challenges, along with difficulties hiring
and retaining employees.
By Dale S. Laszig
"Food service businesses tend to be newer and smaller rev-
avigating the new normal spawned by the enue businesses that use self-service more and are likely
COVID-19 pandemic, payments industry ana- less familiar with the merchant service solution," Cabell
lysts have observed a growing divide between said. "Under those circumstances and without a dedicated
N small and midsize businesses (SMBs) and mer- account manager, building client satisfaction on multiple
chant service providers. This article explores these gaps dimensions can be a challenge."
and their root causes and shares advice from payments
industry leaders on how to regain merchant satisfaction Food service isn't the only area replete with complainants.
and trust. Researchers also found satisfaction with cost of service is
down 35 points across all sectors in 2023, which they sug-
John Cabell, director, wealth and lending intelligence at J. gested may be partially due to a higher mix of in-person
D. Power, stated that on-site commerce is making a come- traditional payments and smaller mix of takeout/delivery
back, according to data from J. D. Power's March 2023 compared to 2022. "This is consistent with small busi-
Merchant Services Satisfaction Survey. Researchers polled nesses across industries reporting higher satisfaction with
enterprises with $50,000 to $20 million in annual revenue ecommerce (and in-person mobile) compared to traditional
between September and November 2022 to evaluate satis-
faction levels with providers that authorized and settled
payment cards and mobile wallets.
Contributed articles inside by:
"In this latest phase of the pandemic, consumers are mov-
ing more toward in-person purchases, which changes the
dynamics for small business merchant payments because Lori Griboski ...........................................................................................18
of an increase in card-present usage," he said, adding that Nick Cuuci................................................................................................28
merchant services providers need to support the entire
customer journey across online, in-app, self-service and in- Casey Scheer ..........................................................................................31
store commerce channels. Adam Atlas ..............................................................................................33

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