Gamification: it seems to be the biggest buzz word since tweet rocketed into everyday usage just a few years ago. This beginner’s guide will help you sort out what it is and why it might be right for your business.

What is gamification?

It’s a term that describes the incorporation of gaming techniques and mechanisms into business and other non-game environments, like employee training. The goal is to keep consumers and others engaged by making online experiences fun and rewarding, according to Wharton’s Kevin Werbach, in a conversation with Knowledge@Wharton.

And gaming components are becoming big for business. Gartner predicts that more than 50% of businesses that manage innovation will gamify their processes by 2015. And, this fall, the University of Pennsylvania Wharton School will offer an MBA course about gamification for business.

What are examples of gamification?

• Foursquare badges
• Rewards programs, such My Coke or Starbucks Rewards
• Nike+, which allows runners to track their progress and compare it against their friends’ progress
• GagaVille, the Lady Gaga-themed version of FarmVille

But gamification isn’t just for B2C companies. It also offers potential for B2Bs and even internal employee engagement programs, tech company Bunchball founder Rajat Paharia told Knowledge@Wharton.

Is gamification right for your business?

The addition of gaming components encourages involvement and engagement (often the long-term kind), and, internally, it stimulates innovation. It’s also LEC and mobile billable, making it easy for brands to complete gaming-related transactions with consumers.

Check back soon to learn more about how to make gamification work for your business.

Image courtesy of Stephen Davies on sxc.hu

What is phone billing? If you’re shopping on a website that sells digital services, such as gaming or downloads, you may see an option to charge the purchase to your telephone bill. But is this a safe way to pay online? How does phone billing work? Is it the same as cramming?

Here is a consumer FAQ guide to shopping smartly and safely with phone billing:

What is phone billing?

Phone billing allows online shoppers to buy ecommerce services and charge the transaction to a telephone bill. It’s not a credit card transaction, so you pay no interest or other fees that big banks tack onto credit card sales. When the transaction shows up on your phone bill, you simply pay it along with the rest of the bill, using whatever payment method you normally use, such as a check or money order. The entire transaction is handled by a third party payment processor, like ILD Teleservices.

But is this a safe way to shop online?

Absolutely! When you charge a purchase to a phone bill there are no credit card or bank account numbers to share over an Internet connection—and that significantly reduces your risk of identity theft. You’re not asked to provide any sensitive financial information; you’ll simply give your phone number as well as information to verify your identity.

Will I become the victim of cramming if I pay for digital goods through phone billing?

Cramming is when a consumer is subject to unauthorized charges on a phone bill. A reputable payment processor works very hard to ensure that customers are billed only for the goods and services they have ordered. At ILD, we take proactive steps to protect consumers from cramming. For instance, before we agree to handle phone billing for a merchant, we conduct a rigorous screening process to ensure that company maintains appropriate business practices.

If you ever have a question about an ILD charge that appears on your phone bill, we welcome you to contact our help center.

The volatile economy is causing many consumers to be more mindful of their wallets. Will they have a job in 6 months? How high will credit card interest rates rise? These are the discussions millions are having around their kitchen tables. In fact, the August 7^th Bloomberg Consumer Comfort Index showed that consumer confidence dropped to its second-lowest point of the year.

Digital merchants who want to succeed in these uncertain times need to take action.

One of the simplest paths to easing consumers’ concerns and making their decision to spend money on your ecommerce store easier is by offering alternative payment methods (APMs), like phone billing. This payment alternative works by allowing consumers to purchase digital goods and services, like downloads or Internet services, by charging the purchase to their phone bill.

Phone billing saves consumers money.

Shoppers spent less on credit cards during July 2011, according to a First Data report. As credit card companies increase interest rates and impose steeper penalties on late payments, plastic is becoming a less attractive way to pay for ecommerce products.

Digital merchants who add a phone billing option to their shopping cart give consumers a no-additional-cost way to complete the transaction. Shoppers aren’t forced to pay interest or fees to banks in order to get the goods and services they want. It’s a win for the customer; and that means it’s a win for you, too.

To start integrating consumer-friendly phone billing into your ecommerce store, contact ILD Teleservices, a leader in the third party payment processing industry. Our Bill to Phone alternative payment method offers timely settlements, increased customer satisfaction, and an easy-to-integrate interface. Learn more today.

Selling digital goods and services to the lucrative college set isn’t always easy. While it’s challenging enough to stay ahead of trends and fads, it can be even trickier to find the perfect ecommerce payment method to offer. Why? Not every college student has a credit card, and those who do may not want to add to their debt by making online purchases.  

Here are a few facts about young adults and credit card use:

• Only 51% of 18-24 year-old Americans had used a credit card in the preceding month. (creditcards.com,  from Javelin)
• The average credit card balance for undergrads is about $3,100. 21% of those had balances between $3,000 and $7,000. (creditcards.com,  from Sallie Mae)
• Only 17% of credit card using students paid off their balance each month. (creditcards.com,  from Sallie Mae)

Give your college market the option to pay without a credit card.

Between college students who don’t have credit cards and those who have them but don’t want to add to their debt, you could be losing revenue if you don’t offer alterative payment methods (APM), like Bill to Phone, also known as LEC billing.

ILD Teleservices’ Bill to Phone is one of the easiest APMs to offer your target market. It works by allowing college students who want to buy your ecommerce goods or services to simply charge the purchase to their phone bill.

Grow your business with Bill to Phone.

Our system is easy to integrate into your checkout process and it comes with a management portal that allows you to access the account information that will help you make profit-building decisions. Learn how ILD will lift your revenue with LEC billing.

Is the cardholder legitimate? Is the credit card valid? For years, these types of questions have dogged the digital merchants who rely on card-not-present transactions to do business. And while credit card sales aren’t likely to disappear in the near future, there are strategies merchants can implement to manage the risk of fraud. Here are four to consider:

1. Invest in the right third party payment processor. A payment partner should be more than the “system that handles the money.” The right processor will understand the risks of operating in the digital space as well as provide the tools and expertise to reduce fraud exposure. For example, ILD’s Bill to Phone, which charges transactions to the customer’s phone bill, offers a real-time verification system that validates the customer’s identity.
2. Develop risk management procedures. Implement the internal controls that lower your brand’s risk of losing revenue to cybercriminals and “friendly” fraud transactions. Review everything from the sales order process to real-time customer identity verification.
3. Educate staff. Those risk management procedures won’t be worth much if employees aren’t familiar with them. Teach staff about your company’s fraud prevention tools and strategies. New and established employees should also understand how to follow the risk management procedures you’ve implemented.
4. Review risk management plans on a regular basis. Fraud reduction and prevention is not the work of a single day or week. Criminals find new ways to steal from businesses. Payment processors develop new fraud prevention strategies. To maximize return on a risk management plan, regularly review the strategies and tactics.

ILD Teleservices is a trusted third party payment processor for a range of industries, from telecommunications and ISP to gaming and home security. Our Bill to Phone alternative payment method allows you to build predictable revenue streams while reducing your exposure to fraud. To learn more about our ecommerce payment solution and real-time customer identity verification, contact our team.