A transaction occurs when a consumer purchases a product or service from a business in-person, online, or via a mobile device.
A transaction is what fuels modern ecommerce businesses. They’re the process through which consumers use a payment method (such as a debit card, a credit card, cash, or a digital wallet) to purchase a product through a business’ in-person or online point-of-sale (POS) system.
In a business-to-consumer (B2C) transaction, a business sells a product directly to a customer. Business-to-business (B2B) transactions, on the other hand, occur between two or more businesses, such as a manufacturer selling a wholesale product to a retailer.
Ecommerce businesses need strong online POS systems to facilitate transactions efficiently. These systems include software that allows the consumer to submit their payment credentials and enables the merchant to review, process, and authorize payments directly online. Virtual POS systems can also process other kinds of transactions, such as refunds and voids.
Guiding consumers toward a transaction requires businesses to provide positive shopping experiences with consistent, cohesive branding.