Yet a less-discussed trend is the growing role of “almost shopping”. The practice of browsing online, adding items to your basket, heading to the payment page, then just… stopping there. A staggering 96.7 percent of visits to e-commerce sites end before purchase, creating a headache for retailers and breeding a nation of basket-drop-aholics.
It’s no surprise that an increasing number of retailers are exploring new forms of technology and innovation to improve the shopping experience. This includes reducing friction at payments points, helping enhance the process for 18.6 percent of people who find this element too complicated to bother with.
It’s becoming increasingly common that payment providers are considered a consultant to drop this drop-out rate. Once, you’d just take your three lines of code, integrate your payment provider as a necessity and move on with your day, but times have shifted. Now payment providers are considered as valuable as a company’s lawyer or accountant, provided you pick the right one. If you can’t convert your customer at that final stage, when they are in the basket and ready to buy, because your checkout process is overcomplicated or because you’re not offering integration with the right payment method, then frankly, your previous efforts are lost.
There are multiple tips and tricks to increase your conversion from basket to payment. Some are simpler – don’t redirect your customer to an unrelated URL to take their payment as it breaks their trust. Some are more complex – how do you run a global business across multiple markets, each with their own rules and regulations on how to orchestrate payments?
PSPs can help. Local currencies, payment methods, local banks and financial legislation, languages… they understand it all.
For example, in Germany, card penetration is low, so to make a profitable company you need to offer as many local payment methods as you can, provided they are applicable for your industry. In France, meanwhile, a local acquirer is better than a global acquirer because you get higher acceptance rates. In Brazil, there’s a wealth of different alternative payment methods to consider. You may not need them all – it depends, of course, on the needs of your customer.