What is a digital wallet and how does it work?

 

Digital wallets have been round in one form or another for some years. In a sense, your online bank account is a form of a digital wallet. But, it’s only in recent years that the technology has got to the point where digital wallets are now transforming the way we do business, especially if you already do a lot of business online. 

Transforming the world of business 

Traditionally, sending or receiving money as a business was time-consuming and costly. Doing business across borders in multiple currencies was even more complicated, so much so that for many businesses, it simply wasn’t worth the effort. Online banking and digital wallets are now changing all that, opening up new markets and opportunities for all types of businesses – from the smallest start-up to the largest multi-national. 

At its most simple, a digital wallet, or e-wallet, is an online service or software program that allows users to make electronic financial transactions, whether that’s to make payments or receive them – all online. Wherever you have access to the internet via a computer, mobile device, or smartphone, you can now do business instantly. Just as importantly, so can your customers! 

Big benefits  

Clearly, there are huge advantages to be gained by using digital wallets instead of physical payments. After all, your customers are already using them to make payments. Almost everyone owns a smartphone and more of us are using them to make purchases. Mobile wallets make shopping quick, secure and convenient. What’s more, the use of digital wallets has been proven to increase conversions and reduce abandonment throughout the sales journey.  

For you, as a business, collecting and managing payments is easier than ever. Take KoalaPays, for instance, our digital wallet for business allows you to convert money in 20 currencies, eliminating FX cost. For businesses that operate in markets globally with different currencies around the world, it’s a no-brainer. The best digital wallets, like ours, are also API (Application Programming Interface) enabled. What it means, is that it’s been specifically designed to be compatible with the platforms your own business already uses. So, it’s easy to setup and integrate into your business. 

Of course, digital wallets are also designed to be extremely secure. At KoalaPays, we’ve made sure that ours is fully PCI-Compliant and meets the strictest security standards. Not only that, we’ve also integrated user-management so you can control access privileges for other members of staff within your operations.  

Furthermore, paperwork is non-existent. You don’t have to record transactions as the technology does all that for you and can even provide specialised reports based on the needs of your business.  

Put the power of the digital wallet in your business 

At KoalaPays we understand that every company operates differently. Not every type of digital wallet will meet the needs of your business, so we do what we can to tailor our solutions to meet your needs, now and as your business evolves.  

With all the benefits of digital wallets, it’s hardly surprising that more and more businesses are using them. If you’re not already using digital wallets, the question should be why not? Because your customers are. And if your customers are, so are your competitors. 

Find out more about how KoalaPays digital wallets and other payment solutions can help you do business better. Get in touch with our representative here

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