Card Processing for Bridal Shops

16 October 2024

Written by Libby James

Libby James is co-founder, director and an expert in all things merchant services. Libby is the go-to specialist for business with more complex requirements or businesses that are struggling to find a provider that will accept them. Libby is regularly cited in trade, national and international media.

In this article

Share this article with others:

Understanding the Card Payments Landscape

Running a bridal shop comes with its own set of challenges, especially when it comes to handling payments. With high-value transactions and delayed deliveries for custom orders, finding the right card processing solution is crucial. In this guide, we’ll cover the key considerations for bridal shops when choosing a payment processor, from pricing models to managing payments on the go.

Common Challenges Bridal Shops Face with Card Processing

Bridal shops often deal with high-ticket items like wedding dresses, which can cost thousands. These large transactions, combined with the time between purchase and delivery (for custom or pre-ordered dresses), can sometimes cause issues with certain merchant account providers. Some providers may view this as a higher risk and could decline or even terminate your account.

To avoid disruptions, it’s essential to choose a card processor that understands the unique business model of bridal shops and is willing to support it.

Which Pricing Model is Best? Blended vs. Interchange

The pricing structure of your card processing can have a big impact on your costs, especially with high-value transactions typical in bridal shops. The two main models to consider are:

Blended Pricing: This model offers one fixed rate for all transactions, regardless of the card type used. While straightforward, it might not be the most cost-effective option for larger transactions.
Interchange Plus Pricing: This model breaks down fees into the base cost (interchange fee) plus the processor’s markup. For businesses like bridal shops that handle high-value transactions, this option can often lead to lower overall fees, though it can be a bit more complex to understand.

For most bridal shops, Interchange Plus pricing is likely the more cost-efficient option, providing transparency and savings on high-ticket sales.

Portable Card Machines for Events and Shows

Bridal shops don’t always operate exclusively from the store. Many participate in events such as wedding fairs or shows, where being able to take payments on the spot is essential. A portable card machine allows you to accept payments at these events, providing flexibility while still processing transactions securely. These machines connect via Wi-Fi or mobile networks, so you can handle sales wherever you are, making them ideal for off-site events or mobile bridal businesses.

Accepting Deposits Over the Phone

Taking deposits is a common practice in bridal shops, especially for custom orders or securing a particular dress. Many customers prefer to make these payments over the phone rather than coming into the store. Ensure that your card processing provider supports card-not-present (CNP) transactions for phone payments. This way, you can securely accept deposits without any hassle.

The Benefits of Switching Card Processing Accounts Regularly

It’s worth reviewing your card processor regularly to ensure you’re getting the best rates. Some businesses stick with the same provider for years, but with the Payment Services Regulations (PSR) capping card machine contracts at 18 months, there’s a good reason to shop around. By reviewing your options every 18 months, you may find better deals or lower transaction fees, which can lead to significant savings in the long run.

FAQs

Why was my merchant account declined?

High-value transactions and delayed delivery times can be seen as high-risk by some providers. Look for a payment processor that understands the nature of bridal shops.

What’s the difference between blended and interchange pricing?

Blended pricing combines all fees into a single rate, while interchange pricing separates the base cost and processor’s markup. Interchange pricing is usually more cost-effective for high-ticket items.

Can I take payments at wedding fairs and events?

Yes, portable card machines allow you to take payments on the go, whether you’re at a wedding fair or pop-up event.

How can I accept deposits over the phone?

Make sure your payment processor supports secure card-not-present (CNP) transactions so that you can safely accept deposits over the phone.

Should I switch my card processor regularly?

Yes, switching providers every 12–18 months can help ensure you’re getting the best rates. The PSR limits machine contracts to 18 months, encouraging businesses to review their options.

Is switching card processors difficult?

No, switching is usually straightforward. Most providers offer support to make the transition smooth, and it can often lead to better rates and service.

What type of card machine is best for a bridal shop?

Portable card machines are ideal if you attend events or shows, while a countertop machine may be sufficient for shops that operate solely from one location.

Can I accept international payments?

Yes, many card processors allow you to accept payments from international customers, which is useful if you cater to destination weddings or out-of-town clients.