WayForPay: On market readiness for one-click purchases
The lengthy registration process, endless forms, entering payment information - the more steps to make a purchase, the less likely that the client will pay for the goods or service on the site. According to a Statista.com study, about 21% of respondents say that they did not complete the purchase due to the length of the payment process on the site. Internet business is gradually simplifying the process of making payments by removing unnecessary fields in the payment form, while representatives of the foreign e-commerce market have long been practicing one-click payment.
On the Ukrainian market, one-click shopping is not an innovation. Although the advantages of this payment method are immediately visible - this option has not received much use in e-commerce. Among the reasons that can “slow down” the use of the function to simplify the payment process as much as possible, we can single out:
• Unwillingness of the Internet business to make any improvements - basically this problem is inherent in large businesses, since the work has already been established and there are no changes to the established process everybody wants. Although small and new projects that are just entering the market, immediately take into account the addition of innovative functionality to their product.
• Testing the options on the site, but due to the subtleties of the implementation, an not entirely successful result was achieved (low conversion)
• Ignorance and misunderstanding of the benefits of one-click payment.
Subtleties of implementation
One-click payment is realized using “tokens”.
A token is a unique character set that is assigned to a set of map parameters. This character set can be used instead of card payment data, which allows to minimize the likelihood of data theft by cybercriminals.
Based on tokens, the buyer can make all repeated purchases on the site in “one click”, without re-entering the card details.
The ideal buying process for a customer is simply to click “pay”.
For Amazon, at one time, the active introduction of one-click shopping was one of the main components of success. In addition, the implementation of simple purchases on mobile devices made it easy to solve the problem of long-term input of payment data, which is inappropriate for mobile devices.
According to the Oxygen8 study in 2014, about 56% of respondents said that one-click payment would motivate them to complete a purchase from their mobile device.
During the active development of mobile commerce, when developing in the WayForPay system, we also took into account the possibility of making purchases on mobile devices in one click - tokens in mobile applications.
Automatically filling out customer payment data and even making a one-click payment without entering CVV cannot guarantee that the purchase will be completed successfully. In addition to the fact that the client may not have enough funds on the card, there may be a problem with the processing of the payment. Therefore, the approach to increasing conversion should be comprehensive, and not only limited to the introduction of one innovation, but also take into account a number of tools for successful payment completion.
What are the benefits to an online business?
As mentioned earlier - simplifying the payment process and increasing the level of payment security. In addition, this is additional loyalty to regular customers and increased conversion, with the right approach to implementation.
Adyen conducted a study to compare the one-click shopping experience and the standard payment process. The flow of payments for customers was divided in half, 50% went to the standard payment process, the second half of users got the opportunity to pay for the purchase in “one click”. About 1,000 payments were analyzed in 3 countries over the course of a month. According to the results of the experiment, there was a significant increase in conversion when using one-click payment and about 25% of additional sales compared to a standard purchase.
Buyers with the advent of new technologies are becoming more demanding, so the maximum orientation to the customer’s needs is convenient and easy to make a purchase can bring additional benefits to the Internet business that implements innovative payment solutions in time. WayForPay
Team
On the Ukrainian market, one-click shopping is not an innovation. Although the advantages of this payment method are immediately visible - this option has not received much use in e-commerce. Among the reasons that can “slow down” the use of the function to simplify the payment process as much as possible, we can single out:
• Unwillingness of the Internet business to make any improvements - basically this problem is inherent in large businesses, since the work has already been established and there are no changes to the established process everybody wants. Although small and new projects that are just entering the market, immediately take into account the addition of innovative functionality to their product.
• Testing the options on the site, but due to the subtleties of the implementation, an not entirely successful result was achieved (low conversion)
• Ignorance and misunderstanding of the benefits of one-click payment.
Subtleties of implementation
One-click payment is realized using “tokens”.
A token is a unique character set that is assigned to a set of map parameters. This character set can be used instead of card payment data, which allows to minimize the likelihood of data theft by cybercriminals.
Based on tokens, the buyer can make all repeated purchases on the site in “one click”, without re-entering the card details.
The ideal buying process for a customer is simply to click “pay”.
For Amazon, at one time, the active introduction of one-click shopping was one of the main components of success. In addition, the implementation of simple purchases on mobile devices made it easy to solve the problem of long-term input of payment data, which is inappropriate for mobile devices.
According to the Oxygen8 study in 2014, about 56% of respondents said that one-click payment would motivate them to complete a purchase from their mobile device.
During the active development of mobile commerce, when developing in the WayForPay system, we also took into account the possibility of making purchases on mobile devices in one click - tokens in mobile applications.
Automatically filling out customer payment data and even making a one-click payment without entering CVV cannot guarantee that the purchase will be completed successfully. In addition to the fact that the client may not have enough funds on the card, there may be a problem with the processing of the payment. Therefore, the approach to increasing conversion should be comprehensive, and not only limited to the introduction of one innovation, but also take into account a number of tools for successful payment completion.
What are the benefits to an online business?
As mentioned earlier - simplifying the payment process and increasing the level of payment security. In addition, this is additional loyalty to regular customers and increased conversion, with the right approach to implementation.
Adyen conducted a study to compare the one-click shopping experience and the standard payment process. The flow of payments for customers was divided in half, 50% went to the standard payment process, the second half of users got the opportunity to pay for the purchase in “one click”. About 1,000 payments were analyzed in 3 countries over the course of a month. According to the results of the experiment, there was a significant increase in conversion when using one-click payment and about 25% of additional sales compared to a standard purchase.
Buyers with the advent of new technologies are becoming more demanding, so the maximum orientation to the customer’s needs is convenient and easy to make a purchase can bring additional benefits to the Internet business that implements innovative payment solutions in time. WayForPay
Team