Today’s global economy has made commerce mobile and borderless. Customers and revenue can come from any part of the world. This opens new doors for businesses.
Innovation is on a fanatic spree, the rising fintech world is including AI in delivering smart solutions. All these developments are disrupting the traditional ways of payment. There is also a new trend of buy now, pay later. It is emerging as a very popular payment method among the young.
When customers see a variety of card payment options and alternative payment methods, they speed up their purchase process. It also leads to a lower shopping cart abandonment rate. So the inclusion of diverse payment options can boost merchants seeking to grow their business internationally, therefore expanding their customer base. Let’s outline some of the benefits of diverse payment options.
How consumer benefits from it
First of all, the checkout process gets easy and smooth. This is a very vital component of the user experience. If your checkout process is quick, there is a significant reduction in the cart abandonment rate.
People’s payment preferences have also undergone a change in recent years. They are now influenced by other factors such as social, financial, and convenience. Merchant has to be careful and informed, and then decide the target market.
There is also a growing mistrust in people on banks and credit cards. The uncertain economy and the deadly pandemic have made many young adults ineligible for banking products. A large chunk of youngsters is low-income consumers in emerging economies.
They prefer convenient, mobile payment. Mobile digital wallets can be directly connected to your bank account. This eliminates the need to carry a physical card, and also the need to manually enter payment information.
You can imagine the inconvenience, the irritation when you search the entire web to find the item you want to buy and realize that they only accept cards. This is a frustrating thing no one wants to experience. It can also alienate the target market.
Shoppers always buy from those online stores that have their preferred method of payment. Customer loyalty and satisfaction are dependent on such features.
How does your business benefit from it
Giving choice to your customer is a powerful tool. The major issue business owners are facing today is shopping cart abandonment. Most recent statistics put the cart abandonment rate at 75%.
There are many reasons why carts are being abandoned. Mainly the contributors are unexpected fees, a confusing and complex checkout process. Even though this problem seems huge, it can easily be fixed. All a business can do is select a suitable payment service provider.
Recent surveys have shown that the majority of the shoppers abandon their shopping cart only because there are not enough payment options. It can now easily be said that payment options are a big point of friction for consumers. To a point that they are the ones that lead to consumers making the final purchase.
If you are aiming to multiply your present customer base, stick to offering more options. You will definitely earn a large customer base. Doing it doesn’t just restrict the base from being present locally, you start getting customers all around the world.
You have to keep note of one thing. Just like individuals have their own preferred methods of payments, other countries too, have a general preference, when it comes to payment options. So the more diverse your payment options are, the broader your consumer base will grow. You can imagine the scope of your business spreading internationally, its reach being far and wide, just by offering a variety of payment options at your website’s checkout.
It is essential to onboard a secure and fast payment service provider. It is a key to open the doors for cross-border payment. There are new players entering every month, only a few have delivered on their promise.
The competition is now fiercer than ever. There are many minor details that are driving the customers’ choice. You can also stay a step ahead by providing a seamless UX. You can also include reliable customer support in your approach. It makes your business stand out from the rest.