Have we Perfected

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Have we Perfected E-Commerce Revenue Collection?
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Five Types of Payment Systems

• Cash
• Checking Transfer
• Credit Card
• Stored Value
• Accumulating Balance

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Cash

• Legal tender defined by a national authority to
  represent value
• Instantly convertible into other forms of value
  without a third party
• Normally used for small transactions

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Cash (continued)

• Positives Portable, gives consumer instant
  purchasing power, and virtually free
• Negatives easily stolen, limited to smaller
  transactions, provides no float

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Checking Transfer

• Funds transferred directly via a signed draft or
  check from a consumers checking account to a
  merchant
• They can be used for both small and large
  transactions

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Checking Transfer (continued)

• Positives Provide users with some float, hard to
  steal
• Negatives theyre not anonymous and require a
  third party

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Credit Card

• An account that extends a line of credit to
  consumers and allows them to purchase items now
  and pay later
• Issuing banks issue cards and process
  transactions
• Processing centers handle verification of
  accounts and balances

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Stored Value

• An account where funds are deposited and
  withdrawn as needed
• Examples prepaid cards, gift certificates, debit
  cards, and smart cards

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Accumulating Balance

• Accounts that accumulate expenditures and to
  which consumers make period payments
• Examples phone and utilities

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Most Common Payment Systems (Based on Number Of
Transactions )
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Most Common Payment Systems(Based on Dollar
Amount)
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Online Merchants Actual and Preferred Online
Payments