SPLITIT LTD (Company) Objectives The Risk, Audit and Governance Committee (Committee) has been established by the board of directors (Board) of the Company pursuant to article 47 of the Company’s articles of association. The Committee’s primary objective is, in
Get Your Online Payment Experience Right and Close More Sales
Let’s talk about how you make people pay. Online, of course. Obviously, we are not talking about gathering payments mob-style with bats and pointy things…
There are multiple factors that create the right payment experience and help get your shopper through the payment process and close the sale. From the design and usability, and purchase flow, to setting up the optimal payment experience, you need to consider every detail.
Here’s a good list of questions to get you started and help set your site up for success (side note: behind these questions are also key reasons why people abandon their carts):
- How much information are you gathering?
- How long does it take to fill out?
- Do they have to create an account profile (thereby providing even more information) or can they check out as a guest?
- How much shipping do they have to pay?
- Are there any other fees?
- Do they see what their total order cost is upfront?
- Is the site secure (trustworthy)?
- Does it load fast, even on mobile?
- Are there enough payment methods?
- Is the return policy and warranty information (if any) readily available?
A lot of these points cover logistical planning (return policy, warranties, shipping costs) and technical implementation (website functionality, site security and load time). Let’s focus on the second to last point. How can you provide enough (interesting) payment methods? This goes beyond the type of credit cards you will accept. It includes providing alternative payment methods that meet your consumers’ needs.
Consumers’ expectations are changing. Especially Millennials, who consider ease of use (35%), financial security (29%), security and safety (27%), and speed (20%) when choosing a payment method. PayPal and other similar payment options are a common alternative options that are widely used, and installment payments are running right up there with them. The installment payment option has the added benefit of increasing retailer average order values and sales, because it incentivizes adding additional items and/or upgraded items to shopping carts.
When looking into installment payment options, you will want to consider how they will affect your payment experience. Will your consumers feel a burden in having to take additional steps just to use this other payment option? If so, it could end up becoming the reason they abandon their cart. What you want is a third party option that does not add friction to the process. As with Splitit, it needs to be seamless (frictionless) and should not require fees or interest. Also, there should not be a tedious application process and credit check for your shoppers to go through. All of that adds up and creates more friction.
No matter what you do, you definitely want to consider what payment methods you will offer to customers. Alternative options will not only be an incentive to stay and make their purchase, but also increase their total order (as mentioned above).
So, make sure to pay special attention to your payment experience and ensure your sales sooner rather than later. Learn more about cart abandonment solutions.