Podium, a platform that connects local businesses with their customers, has added payments feature to its interaction management tools.

The move will enable local businesses to use text messaging to accept payments directly from the Podium platform.

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The addition reduces logistical costs and replaces the need to mail an invoice or call the customers for payments.

Furthermore, it is expected to improve customer experience and expedite the completion of a transaction.

Podium CEO Eric Rea said: “In the past five years since Podium launched, we have been at the forefront of solving the biggest interaction pain points local businesses face.

“One of the largest things we have always heard from our customers was how difficult it was to conduct the $20B+ worth of card-not-present transactions that they transact each year.

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“Podium Payments allows businesses to modernise their payments by simply sending a text, solving everything from outstanding invoices such as medical bills or home services jobs to retailers wanting a more convenient way to close a sale through messaging.”

Founded in 2014, Podium operates as an interaction management platform. It supports more than 43,000 businesses across the US, Canada and Australia to connect with the customers.

According to the company, 24% of US smartphone owners used Podium’s platform last year to connect with a local business.