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Increase Conversion by Improving Payment Process

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The dream of retailers is customer visit your store and find exactly what they want, complete the checkout process and become forever loyal to your brand, and they would return your store to buy product again and again.

But, it’s just a dream; in real life there are many challenges that you need to overcome in order to achieve your goals. You will need to remove the barriers of checkout issue, provide a frictionless shopping experience… a streamlined payment process is the requirement to catching your dream: improve conversion, customer retention and brand loyalty.

So, hope that some advices below can help you to improve your business and reach your goal:

Facilitate a frictionless checkout

Shopping cart abandonment – this is a problem of many businesses. You can fix this problem by creating a less demanding checkout. Simplify the checkout process may help to improve conversion rates, do not require customers to fill out too many fields which not really necessary. See more about create a good checkout process here.

Look at ASOS as an example; they have invested to create an exemplary checkout, and then the report show that the abandonment rates has been reduced 50%.

Provide a branded, hosted checkout

Use the hosted checkout solution to avoid situations that will reflect badly on your brand and lead to costly chargeback liability battles. Some payment solutions that offers the hosted payment fields; when you use this solution, all data which submitted in these (hosted payment) fields of your checkout will be securely stored on the platform’s payment card industry (PCI) – the compliant servers. This will help you to reduce the responsibility of securing the payment while also ensuring a good checkout experience.

Recognize returning customers, with tokenization

Tokenization – this is a PCI-compliant technology which used by Apple Pay and other leading payment platforms. The “token” is 16-digit number created to represent a credit card that was used or stored previously for payment purposes. And whenever customers return your store to make a purchase, system will recall the token in the stored payment data from the secure servers and then they can complete checkout quickly. It will save a lot of time and bring convenient payment process for returning customers.

Dynamically convert currencies and calculate taxes

All information about prices and costs should be clearly presented as possible to customers. The currencies and taxes are different in different country, so you should present all informations clearly on checkout page and accurately reported to the relevant regulatory and tax authorities. In marketplace, there are many 3rd party plugin which provide tax/price-calculation and real-time currency conversion. By using this, customers will feel more comfortable making a purchase; they will know exactly what costs they will have to pay when buying products on your store. This will more effective if you are participated in international market.

Optimize payment acceptance with multiple providers

Same with the currencies and taxes, the cross-border retailer may have some problems with payment acceptance because it different in each country. So, consider to work with local acquirers to resolve the problems of payment acceptance. In the past, working with multiple financial institutions was too complex and required demanding infrastructural changes. But now, the development of technology help us to connect to multiple acquirers and leverage transaction data – in real time – to dynamically route transactions among financial institutions, significantly impacting acceptance rates.

Analyze customers’ behavior to match their preferences in the future

Optimizing and personalizing user experience is the goal of all business today. The PCI compliance can help you to collect and store customer data through your gateway, acquirer or payment service provider (PSP). Today, you can choose to integrate a payment technology that allows to analyzing the payment data and gives you insight into inefficiencies in your processing protocols, and then help you to understand your customer behavior on your website. Therefore, you can optimize and provide the most suitable preferences for your customers in future.

Source @Entrepreneur

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