Payments’ role in driving higher eCommerce conversion rates
In the world of football, any player who can convert 80-90% of their chances from the penalty spot is considered a world-class sharpshooter. But why can’t the likes of even Lionel Messi or Cristiano Ronaldo put the ball in the back of the net 100% of the time? Because even the best still need to beat the goalkeeper.
In the world of eCommerce, a 100% conversion rate is equally elusive, as shoppers can encounter all sorts of obstacles as they navigate their way through the checkout and payment process. The task of online merchants is to remove those obstacles – the digital ‘goalkeepers’ – so that they can drive conversion rates as high as possible. And just as penalties can swing the result of a game, even a minor change in a merchant’s conversion rate can noticeably impact their revenue, positively or negatively.
Merchants are therefore turning to payment providers to equip them with solutions that remove barriers to high conversion rates, as seamless and frictionless customer journeys are becoming ever more important with the rise of mobile.
Challenges to achieving high conversion generally fall into one of three categories. Firstly, shopper distrust, which often occurs because of redirects to offsite payment forms, poorly designed payment pages, or the failure to display well-known and trusted logos. Secondly, inconvenience, which causes frustration and takes shoppers elsewhere because of inadequate payment method offerings and forced registration. And finally, process problems, often stemming from inefficient payment setup and overzealous fraud protection.
But payment providers can help their merchants overcome these challenges with a suitable range of tools; embeddable and secure payment forms, currency and language localization, relevant alternative payment methods, robust yet flexible fraud prevention, and insightful analytics, to name just a few. Merchants, therefore, need to seek out those payment providers and technology partners that will give them a shot at the ‘golden boot’ in the competitive world of global eCommerce.
Our insight paper ‘Driving Up Conversion Rates In eCommerce’ illustrates how merchants and payment providers can optimize conversion rates: