All smartphone users look for simplicity in getting their tasks done without the slightest chance of making mistakes. It all boils down to customer experience and when it comes to online shopping, the payment method is a key part of affecting conversion rates and reducing cart abandonment. Traditional methods using a credit card to transact your shopping cart require pages of data entry, and today's shopping might require you to confirm Bank authentication via the bank app to approve your transition. So here are key figures to consider when it comes to cart abandonment:
- 17% of abandonment is based on lengthy checkout processes or was too complex.
- 24% is due to a requirement of an account creation at checkout.
- 48% is based due to hidden fees or costs that were not anticipated.
- 11% are various other frictions in frustration in the online store such as not having the right size or color, difficulty in operating the filters to find the right product, not being able to match up a product set, or just poor navigation.
Re-invent the checkout experience
Historically, the process had little change or evolved little based on must-have information from the customer and the payment process is static, yet the number of card providers increasing over time. In the past several years, change in key areas of payment processing to accelerate eCommerce revenues have been made.
- Buy Now Pay Later
- BOPIS (Buy Online Pickup In-Store)
- Digital Wallets (Google Pay, Apple Pay, Amazon Pay, etc.)
- Pay In 3
- PayPal Credit (using your PayPal Express)
One-click checkout allows for user automation using pre-approved identity verification to process a payment request within an online store. Additionally, eCommerce marketplaces carry Apps such as Shopify Apps, or BigCommerce Apps that support the various payment methods to be added to your checkout. This can significantly improve your conversion rate, drop your shopping cart abandonment rate, and make your checkout flow frictionless.
About One-Click Checkout
When you think of your advertising spend in your digital marketing strategy to be optimized, reaching the right audience is hard enough. Then having them purchase is the goal of a profitable store. Completing the purchase is the core of your marketing and to do this you usually consider using multiple tools on finding the right product pages, promoting with minimum shipping costs all the way through to abandonment emails if the visitor leaves the store. How important is a one-click checkout when looking at all these features?
One-click checkout addresses the 17% of abandoned carts metric, as well as the 24% of account creation (given that you have an account with the payment provider). That's 31% all-in-one strategic move to reduce checkout friction. You don't have to create an account on the checkout page if you use your Digital Wallet, PayPal, or Venmo to get your shopping bag through to the confirmation page.
One-click checkout - how it works.
The difference between legacy online payments to today's one-click checkout is an intermediary service that retains your details securely and is offered in the checkout process to be used. The intermediary contains your details such as email address, delivery address, billing address, and payment options (Credit, Debit, PayPal Pay in 3, etc...), and while some are fewer clicks to get through the process such as Apple Pay, Google Pay or Amazon Pay - they all function in a similar way to securely authenticate a payment via your device using the intermediary service.
Data entry is reduced, and account creation is no longer necessary as the likes of Shopify Shop will track your order, remind you on reviewing your products, and be able to recommend additional items. Therefore your online store is assisted with the pre-purchase, purchase, and post-purchase experience.
Cart abandonment is a considerable issue to reduce. It makes your marketing spend effective, and if the conversion has friction, every sale is very costly. Leveraging your operational costs over a larger transactional base is the requirement for scaling your online business. Online shoppers that find their products and have a one-click checkout have all shown to have a good conversion rate. In some cases, you can have the Digital Wallets in your flyout cart (drop-down cart or folding shopping cart) for even faster checkout. The Shop-n-go experience is pushing checkout automation to new heights, so don't wait and have these checkout options available in your online store. If you have any questions or might need a hand to set this up - feel free to reach out to us at email@example.com