The popularity of an online shop amongst consumers depends increasingly on the selection of payment methods available. At the end of an order process, customers want a selection of payment methods that they like to use and that are both simple and practical. Customers will only complete a purchase and be satisfied with their shopping experience when this is the case. In a survey carried out by the ECC Cologne e-commerce centre1, 42% of respondents said that they would shop with a competitor if none of their favourite payment methods were available.
An optimal payment mix involves offering three to five different payment methods, including online transactions, card payments and alternative payment methods. Users also prefer when all payment methods are available at a glance.
In order to offer a range of different payment methods, you should work with a payment service provider (PSP) and an acquirer. The PSP ensures that different payment solutions can be integrated smoothly in the online shop. The acquirer has a banking licence and ensures that payments (such as by credit card or giropay) can be accepted and processed. Service providers such as Wirecard offer these essential services from a single source, so only one contract is necessary.
Business owners should understand their target groups, particularly when it comes to payment. After all, payment behaviour varies considerably. Men shop in different ways to women, and clothing is paid for differently online compared to software downloads. It is recommended to seek the advice of payment experts in this regard.
Misuse can be costly – for example, when shop operators are left with unpaid invoices. It is therefore advisable to work with a payment service provider who can handle both acquisition and fraud prevention services. This enables potential fraudsters to be identified before a transaction is completed.
Most people enjoy online shopping – until they reach the payment stage. Some customers have concerns when they reach the checkout stage at some less well-known online shops. The look and feel of the online shop and the payment page should therefore match and appear trustworthy and secure.
Source: Prestashop Blog