Running a beauty and wellness business is all about creating a relaxing experience for clients. You want them to roll in, have a blissful hour (or four), and leave with their next appointment booked.

To do that, you need to keep things breezy from beginning to end – so you need a hassle-free checkout experience.  

Quick and simple payment processing starts with an advanced card reader. Here’s a detailed look at how card readers work, what they do, and why you need one.  

What is a Card Reader?

A card reader, also called a card machine, is a small debit and credit card processing device. This device reads the cardholder and account information on a client’s credit or debit card to collect payment for your services.  

A card reader is a must-have tool for beauty and wellness businesses because, by 2029, 68.4% of the United States’ population is expected to use credit cards. With credit card usage rising, clients expect to be able to check out quickly and easily via card. That means without a card reader, the checkout process could be slow and awkward for clients, making them less likely to rebook.  

Thankfully, card readers that require customers and staff to copy the card details by hand are (mostly) a thing of the past. Today’s models connect to the internet and complete transactions in the blink of an eye, getting clients out the door in no time.  

What Does a Card Reader Do?

Credit card readers gather and transmit the client’s credit or debit card details to the payment processor. The transaction is approved and completed if the customer’s bank confirms sufficient funds are available for the purchase. Here’s a breakdown of the process:  

1. Payment Authorization and Verification:The card reader extracts the client’s credit or debit card information, encrypts it for security, and sends it to the payment gateway. Encryption is a security method that scrambles customer data so it can only be interpreted using a unique code. The payment gateway is the technology that reads the card and sends the card details to the issuing bank to verify the transaction. If the client has enough funds, the bank approves the transaction and holds the amount they owe.  

2. Fund Capture and Movement: The credit card company captures the funds for the customer’s purchase and moves them to your business’s bank account. 

3. Approval and Completion of the Transaction: After approval, the payment is deposited in your business’s bank account. This process can take several days to complete.  

3 Types of Credit Card Readers 

Streamline your client checkout process with one of the following types of card readers:  

1. Countertop Card Readers 

Countertop card readers are fixed to your checkout station and connect to your salon or spa’s phone line or broadband internet. These traditional machines, which you often see at retail stores, are becoming more uncommon today as businesses switch to advanced and portable options. 

A countertop card reader might work for you if you prefer a stationary Point of Sale (POS) for your salon and don’t need to take payments anywhere but at your business’s front counter.  

2. Portable Card Readers 

Portable machines connect to a central system via Bluetooth or WiFi, so you have the flexibility to bring the card reader to your client. Portable card readers are ideal for busy times of the day because they prevent a line of customers from forming at the checkout counter. You’ve probably seen these in the hands of servers collecting table-side payments at a busy restaurant. 

For any wellness or beauty business, you want relaxation and ease to be integral to the experience. With a portable card reader, clients can cash out wherever they are – like their chair at your nail salon or in the room where they get a massage – instead of at a central terminal. 

3. Mobile Card Readers 

These advanced payment processing solutions are completely mobile (and totally convenient). While portable card readers let you move around within your shop, mobile card readers function just about anywhere. They let you accept client payments anytime, whether you’re at your barber shop or hosting a pop-up shop. Mobile card readers connect to the main system via WiFi or mobile data, letting you expand your business reach and provide convenience for clients. 

Try GlossGenius’s card reader free for 14 days!  

What Types of Payments do Card Readers Accept? 

Card readers take a variety of different credit card payments, so let’s dive into the details: 

EMV Chip Payments 

EMV is the global standard for chip credit cards. This standard was developed by American Express, Discover, JCB, Mastercard, UnionPay, and Visa to combat credit card fraud in the United States. 

EMV cards contain a small, secure microprocessor that encrypts each transaction, making payment extra secure. For example, when a client pays for a luxury facial, the unique code created to pay for the service makes it incredibly challenging for criminals to duplicate the card information. 

To pay using an EMV chip card, the client inserts the chip card into the card reader. After approving the purchase amount and adding a tip, the client enters their Personal Identification Number (PIN) to authorize the transaction. A PIN number is a unique passcode, typically four digits long.   

Contactless Payments 

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Clients can make contactless payments by tapping their credit card on or holding it near the card reader. Powered by Radio Frequency Identification (RFID) technology, which uses secure radio waves to keep the client’s sensitive information safe, this payment method is both convenient and quick.  

A customer rushing to get their nails done during their lunch break can just tap their card and go – no card insertion or PIN number required.  

Mobile Wallets 

A mobile wallet is an app on a mobile device like an iPhone or Android smartphone that stores credit card details. Some card readers accept mobile wallets like Apple Pay and Samsung Pay, letting clients pay with smartphones or smartwatches. This payment method uses Near Field Communication (NFC) technology, which allows the device to communicate with the card reader and securely transmit payment information. 

This payment method is secure because it uses tokenization, which protects clients’ credit card details by replacing them with secure data (called a token).  

Magnetic Stripe (Magstripe) Payments 

Magstripe payment is when clients swipe the magnetic strip of their card through a slot in the card reader. The magstripe contains the cardholder’s information, which the payment terminal reads during the swipe.  

Magstripe cards are becoming less common because they’re less secure than cards with chips or contactless methods. The data on a magnetic stripe is static and not encrypted, making it less secure and more susceptible to fraud.  

5 Benefits of Card Readers for Beauty Businesses 

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Card readers are a beneficial business investment for the following five reasons:  

1. Increase Sales 

Accepting card payments lets your business cater to more clients – and make more sales. Some customers use cash, but many prefer credit and debit cards, especially for pricey services like premium skincare packages. 

2. Enhanced Customer Trust 

Card readers process transactions securely, protecting your business and clients from fraud. Encryption and tokenization keep sensitive data safe, and this security builds trust with your clients. Clients who are confident they can rely on your payment processor will trust your business.  

3. Faster Payment Processing  

Card readers speed up checkout, letting clients quickly tap, swipe, or insert their cards. Faster checkout means shorter wait times, which can enhance customer satisfaction. 

For example, during your salon’s peak hours, a mobile card reader lets your team accept payments at their stations so they can welcome their following appointments efficiently. Happier clients are then more likely to rebook and recommend your services to friends and family.  

4. Enhanced Hygiene 

Did you know that paper money changes hands about 55 times a year? If you have a pocket full of cash, you’re carrying around a lot (a lot!) of people’s germs. 

Card readers minimize cash handling, reducing the spread of bacteria and viruses. This creates a cleaner environment for your staff and customers, which is particularly important if you run a business like a medical spa that requires sanitary conditions.  

5. Simplified Bookkeeping and Financial Tracking 

Card readers provide digital records of every transaction, making tracking your company’s sales and overall finances easier. When you use a card reader, you can find the payment information you need in the transaction records without searching through receipts, saving you valuable time in your busy day. Plus, there’s less room for human error when you aren’t manually copying down transaction information. 

Upgrade Your Payment Processing with GlossGenius 

GlossGenius is an all-in-one solution that helps  self-care business owners run their entire operation. Our platform supports spa and salon credit card processing with POS hardware, including the Tap & Go Reader, which comes in several different colors and patterns and is so portable it fits in your pocket, and the Pro Reader, which includes a dedicated client-facing display and extended battery life. These card readers connect to your mobile device or tablet so you can process payments quickly.

Try GlossGenius’s card reader free for 14 days!    

GlossGenius charges a flat 2.6% processing rate on all transactions, so you don’t have to worry about add-on charges or different rates based on how many transactions you process like so many other softwares out there charge. We also offer features like Appointment Scheduling, Client Management, Payroll Management, and Financial Reporting to make managing and growing your business easier.  

Sign up for a free 14-day trial today to tryGlossGenius with no commitments.