After decades of public pressure and litigation for violating antitrust laws – creating a monopoly – credit card brands were forced to allow some form of recompense for merchants.
They did so, with only a few requirements:
Because 2A companies typically operate at lower effective rates due to large ticket sizes, you can likely get away with passing through a much lower percentage in comparison with businesses in other industries. Where most companies implement a 4% surcharge, many 2A companies can operate with a 2.5-3% surcharge.
This is crucial because it allows you to pass through the fees with minimal risk of upsetting your customer base.
Because the market is ripe and ready. As a bit of background, surcharging has been around for about five years. We initially thought it had the potential to look like a cash-grab opportunity and potentially undermine your ability to compete in the marketplace. So, we hadn't actively promoted the program. Fast forward to today.
Due to the current economic and political climate, surcharging makes the most strategic sense right now. Reasons include:
Look at your monthly statement and see how many dollars you're paying in credit card fees per month. Multiply that by 12, and this is what could potentially go back into your pocket. In essence, surcharging could be a new revenue stream since you've shifted those costs to your customers. And, if customers balk at the price, they still have the option to pay with cash instead.
Surcharging is the most flexible way to increase the profits for your sporting goods company while keeping your posted prices low and competitive. It's an easy way to score.
If you need a 2A-friendly, hassle-free credit card processor, you're in good hands with Guardian. We're a company of hunters, shooters, sportsmen, and military members. We believe in what you do, and we understand firearms
transactions are some of the most secure that take place. Ready to work with someone who gets you?
Guardian completely changed our perspective on a credit card processor. Supportive, cooperative, and caring. These three words do not even put into words the amount of time and care that the team at Guardian put in for us. There were several occasions their team was on the phone with us in the middle of the night getting issues taken care of. Not only are they saving us money, but they are also a company you can depend on!
We love Guardian Payments. Not only do we get great rates, outstanding service and a system that works great but we get the personal relationship with the Guardian team that you just don't see in business these days. We sleep easy at night knowing Guardian Payments has our back and that they're a partner we can actually rely on. I would recommend them to anyone.
MIKE DICKERMAN,
DIRECTOR OF MARKETING, VELOCITY PRECISION ENGINEERING