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About the Payment Processing Industry
Credit Card Processing
With more than 500 million credit cards in use domestically, US credit card charges recorded for 1999 alone reached just over $1 Trillion! Each day in the USA, more than 52 million purchase transactions on credit and debit cards pass through the VISA and Mastercard networks.
In the first quarter of 2003, more than $295 billion of goods and services were charged to VISA- and Mastercard-branded credit and debit cards, an 11.5% increase over the same period in 2002.
Electronic Check Processing
Between 18 and 20 billion checks are written at point-of-purchase locations every year in this country. On the Internet, on the phone, and even in the storefront, many merchants don't accept check payments. That's like opening a store at the local mall, but closing your doors to more than a third of potential shoppers.
E-Commerce Projections
Based on the projections, consumer spending on the Internet will top $14 billion, up 41% from last year. By 2004, 87.2% of small businesses and home businesses will have a website, and the total number of Internet users in North America should grow to 185 million.
Gift/Loyalty Card Success
Consumers plan to spend $17.24 billion on gift cards this holiday, which would account for nearly 8 percent of all holiday sales. The average gift-card purchaser will be purchasing more than three cards (3.34) for a total of $114.44.
Older consumers are spearheading gift card growth. Consumers over age 65 on average plan to buy 3.90 cards, spending $130.62, and consumers 55-64 will purchase an average of 3.61 cards, spending $134.80.
Men plan to spend $120.57 each on gift cards, while women plan to spend $109.23.
Why is this so significant to the average sales rep? You will earn a monthly residual profit off each credit card that is swiped through each credit card terminal for each merchant you sign-up on a monthly basis. An average retail store could process 100-300 credit card transactions each month.
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