According to a forecast by Statista, the number of pay TV households across the U.S. was approximately 60.5 million by the end of 2023. The millions of viewers who tune in to their favorite shows have to pay a subscription fee to TV broadcasters. Additionally, these broadcasters have to manage payments for tele-advertising and streaming services.
This is where electronic payments come in!
As viewers increasingly shift towards digital platforms, seamless payment solutions are becoming more essential to drive innovation and profitability. Electronic payment processing streamlines transactions, offering viewers convenient access to premium content and services.
For broadcasters, this translates into enhanced revenue streams and reduced operational costs, especially when it comes to invoicing. Reliable payment processors like iCG Pay, formerly iCheckGateway.com, make such transactions possible by providing an automated system to settle payments electronically in one unified platform.
In this article, we’ll examine the transformative impact of electronic payment processing in the TV broadcasting industry.
What Are Electronic Payments?
Electronic payments are financial transactions conducted through online platforms or digital devices. These transactions bypass traditional paper-based methods like cash or checks, relying instead on electronic mediums such as credit/debit cards, mobile wallets, and bank transfers.
Funds are transferred from one party to another electronically, facilitated by payment processing systems and secure networks. With the rise in payment automation trends, electronic payments stand out because they offer convenience, speed, and security for both consumers and businesses. They enable seamless purchases, bill payments, and money transfers.
What Are the Common Types of Electronic Payments?
Does your TV broadcasting company accept electronic payments? Here are the common types:
- Credit/Debit Cards: Approximately 191 million American adults use at least one credit card account, while half of all U.S. residents have at least two cards. Credit card payments are popular because they allow consumers to electronically transfer funds from their bank account or credit line to the merchant's account.
- ACH Transfers: These ACH payments involve electronic bank transfers between financial institutions. They are used for direct deposits, bill payments, and online purchases.
- Mobile Wallets: These payment apps allow users to store payment card information securely on their smartphones and make purchases by tapping or scanning their devices at compatible point-of-sale terminals.
- Contactless Payments: Customers can also make these online payments that utilize Near Field Communication (NFC) technology. You can make contactless payments by tapping the contactless-enabled cards, smartphones, or wearable devices on compatible payment terminals.
How Do Electronic Payments Benefit TV Broadcasters?
The world of TV broadcasting is quite dynamic. Advanced platforms like streaming require broadcasters to provide streamlined electronic payment processing options that offer uninterrupted viewing for the subscriber. Here’s why electronic payments are essential:
Streamlined Revenue Collection
The U.S. broadcast station sector is projected to reach $36.68 billion in advertising revenue in 2024, up 8.4% from 2023. To continue collecting these payments, broadcasters turn to options like electronic payments. Electronic payments streamline the revenue collection processes, facilitating faster and more efficient transactions.
Thanks to automated payment processing systems, broadcasters can accurately track payments in real time, reducing the risk of revenue leakage due to errors or delays in recording transactions. This streamlined approach enhances cash flow management, allowing broadcasters to access funds more quickly to allocate resources.
Reduced Transaction Costs
Traditional payment methods like paper checks are a hassle for both broadcasters and suppliers. However, with a payment processing system that caters to electronic payments, TV broadcasters can make significant cost savings.
Electronic payments involve fewer manual interventions, reducing the need for administrative tasks associated with handling physical currency or paper checks. Additionally, these systems often charge lower transaction fees than traditional banking fees, especially for large transactions.
Enhanced Customer Convenience
Every sector has shifted to digital payments to keep up with the changing customer preferences. TV broadcasters are not being left behind. With electronic payments, viewers have greater convenience and flexibility when accessing broadcasting services.
What’s more, if you partner with a reliable payment gateway like iCG Pay, you can provide multiple payment options, such as SMS invoicing, credit card processing, IVR payments, and more, to cater to diverse consumers.
Viewers can conveniently subscribe to premium channels, purchase on-demand content, or renew subscriptions with just a few clicks, eliminating the hassle of traditional payment methods. Convenience drives customer satisfaction and loyalty towards the broadcasting brand.
Secure Transactions
Electronic payment systems prioritize security measures protecting both broadcasters and their customers from fraudulent activities. Working with partners like iCG Pay gives you access to advanced encryption techniques and authentication protocols, which ensures that sensitive payment information remains confidential during transmission and storage.
These payment solutions also employ fraud detection mechanisms to identify and prevent unauthorized transactions, minimizing the risk of financial losses. This is the best way to instill trust in your brand and services.
How Can You Set up Your Electronic Payment Processing System?
It’s quite clear that electronic payment processing is beneficial to TV broadcasters. But how can you set it up? Follow this simple guide:
Evaluate the State of the Business
You might already have a payment processing system in place, but is it enough? Before setting up any payment solution, you should examine the current system and future needs. This way, you can determine the types of payments to offer and the integration capabilities you need to collect electronic payments.
Select a Suitable Payment Gateway
Payment processing partnerships will boost your company’s bottom line. Therefore, you should choose a reputable payment gateway provider like iCG Pay that offers secure, reliable, and user-friendly services tailored to the broadcasting industry's needs. iCG Pay complies with industry standards and regulations to safeguard sensitive payment data.
Offer Multiple Payment Options
Your customers will not always pay using one payment method. You need a payment platform that accommodates diverse payment methods. A partner like iCG Pay simplifies ACH and credit card payments for advertising and subscription services. You can also access other payment options, such as hosted payment portals, virtual terminals, and mobile payments.
Get Started with iCG Pay!
The current payment landscape has become more customer-centric. Therefore, you need to refine your payment processing system to keep your viewers happy. Electronic payment processing is ideal for TV broadcasters because it brings in convenience and efficiency in billing.
iCG Pay is PCI-DSS Level 1 Compliant, so you don’t have to worry about the safety of your payment information. Our industry-leading services will help you automate the payment process. Schedule a call with one of our experts to set it up!
