QR code payments — how they work and why QR codes will revolutionize c

QR code payments — how they work and why QR codes will revolutionize contactless payments
QR code payments — how they work and why QR codes will revolutionize contactless payments

QR code payments are one of the most efficient and easiest ways to make online payments. QR code payments first took off in 2017 when Apple introduced active QR code scanners in smartphones. Statistics show that the use of QR code payments will increase by 22% by 2025 compared to 2021.

A survey by Mobilieron also found that around 67% of respondents think that QR codes make life easier in a contactless world. So if you want to offer a user-friendly payment experience in-store or in e-commerce, a variety of payment options, such as QR code payments, are essential.

At Payrexx, QR codes and digital wallets have long been among the most popular payment methods that our merchants use to accept payments. But why are QR codes such an effective contactless payment method? And how do QR code payments actually work? We will explain that for you in this article.

1. What is a QR code?

QR is the abbreviation for Quick Response. It is a two-dimensional barcode that contains information such as contact details, a website link or payment information.
QR codes can be used for a variety of purposes — they can direct customers to menus, provide access to websites, or even enable payments.

The QR code is easy to use by scanning it with the smartphone camera, without having to laboriously type information into your phone.

2. What is a QR code payment system and how does it work?

At first glance, you might think that QR codes work like barcode scanners, but there is one crucial difference: QR codes can be scanned on both paper and screens.

This versatility of the QR code makes it very convenient for use on all types of surfaces as well as on the screen of a phone.

Payment works like with a normal POS (point of sale) terminal: the customer scans the code with their smartphone and as soon as the camera recognizes the QR code, a push notification is displayed that redirects the customer to a secure payment screen where they can choose whether they want to pay with Mastercard, Visa, PostFinance, TWINT, Apple Pay, Google Pay, Samsung Pay or one of the over 200 payment methods we offer at Payrexx.

With a payment provider like Payrexx, companies can turn their smartphone into a POS terminal and accept payments without investing in hardware. The QR codes can also be printed out and used on-site or placed on-site.

Learn more about how we help businesses accept QR code payments at Payrexx .

3. Are QR codes a secure payment method?

QR code payments are one of the safest payment methods. This is because they offer three levels of security:

  1. Debit/credit card
    Your customers' payments are processed via a card network such as Visa or Mastercard, which ensures a secure and stable transaction.
  2. Local payment methods
    By using local payment methods, you give your customers the option to pay with their preferred payment method. When your customers can use the service they know and trust, they will also feel secure in their payment transactions.
  3. Tokenization
    QR code payments are tokenized and encrypted, which means that no payment data is stored by the merchant.

These layers of security make it incredibly difficult for fraudsters to steal personal information or make a customer a victim of fraud.

4. How can I make a QR code payment?

Making a QR code payment with Payrexx is very quick and easy.

  1. As a user, all you have to do is scan the QR code with your phone and a notification will appear.
  2. Once you click on the notification, you will be redirected to a separate payment page where you can select your preferred payment method.

At Payrexx, we accept over 200 payment methods for you to choose from. As a merchant, you can offer your customers many different payment options and thus appeal to a much broader segment of the population.

Find out more about the payment methods available at Payrexx .

5. What are the advantages of QR code payments?

Easy setup and no expensive hardware
If you're trying to keep costs down or looking for a more versatile solution, bulky card readers are a costly way to accept payments.

QR codes make it ten times easier and faster to set up a payment solution. If you use a QR code payment system like Payrexx QR Pay, you can generate a personalized payment QR code in just a few clicks and start accepting payments immediately.

In addition, you no longer have to keep track of different systems and manage multiple Excel spreadsheets. With Payrexx you have all your payments on a single dashboard.

Accept payments faster
Nowadays, customers no longer have the patience to wait for their items — whether it's an online delivery or an in-person order, QR code payments help you speed up payments and thus increase the number of customers you can serve.

Better security
When using multiple payment systems, each with different rules and regulations, it is often difficult to ensure security.

With Payrexx you have a single centralized payment system that ensures payment security and puts it first.

QR code payments are also inherently more secure than other transactions, such as cash:
With a QR code payment, all information is encrypted and no customer data is stored in a file.

Payrexx is also PCI Level 1 compliant, which means that we meet the highest security requirements of the credit card industry.

6. What are the most popular uses for QR codes?

QR codes are popular in many industries and situations:

Gastronomy : QR codes are often used in restaurants or hotels — guests can scan a QR code at the table or in the room and then order and pay for food or other services online.

Flyers : QR codes can be placed on flyers distributed on the street or indoors. When scanned, these take consumers to an online store with more information.

Market stalls/street sales: Sellers can use QR codes to reduce queues and waiting times by allowing customers to order and pay from their mobile phone using an online ordering system.

Cash registers : Encourage your customers to pay contactless online by displaying a QR code on your cash register.

Companies with many sales employees : Instead of buying a separate card reader for each employee, QR codes are a better and more cost-effective way to accept payments.

Would you like to try QR payments yourself? Register for free with Payrexx and test the QR Pay Tool for 30 days free of charge.

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