It is very easy to assume that once a customer has picked out what they like and decide to pay for it, very little can get in the way of a complete transaction. After all, the hard part of convincing the customer to go for the product is over with; they want to hand over the money!
However, the world of online shopping says otherwise. The checkout, rather than being a mere formality, is the last, biggest hurdle for online merchants. Everything has to be just right for the customer to input their payment details, most important of all is offering a preferred payment method. New research from e-payment specialist PPRO group has found that a third of consumers (31%) criticise merchants for not offering their preferred payment methods while just under half of consumers (47%) actually abandon their online shopping baskets and go shop elsewhere as a result. The research found that PayPal is the preferred payment method of four out of ten people.
In a humorous turn of events, while the home as a whole is slowly being turned into a hub of commerce, it turns out that the loo is where the real commerce goes down as PPRO’s research found that one percent, that’s half a million British people, say they will do their Christmas shopping on the toilet.
This is just an extreme demonstration of how shopping has becoming a house-bound, leisurely activity. Six out of ten respondents actually said they will be buying Christmas gifts while watching TV, while 13% will do so in bed at night. Even the workplace is becoming a place of commerce as 17% said they will do their shopping while at work.
Continuing to dispel the notion that finch innovations are not being used by the older generations, the research found that nearly half of respondents over the age of 55 (48%) will be buying gifts over the internet.
PPRO’s CEO, Simon Black, said: “Our research paints the picture of a savvy shopper who has high expectations of online shopping. They have the power of choice and the world of online merchants at their fingertips, and they know it. Plus, they won’t stick around if they can’t pay for their gifts quickly and easily, especially at Christmas when stress levels are high.
He also said that merchants need to be smart, especially about cross-border sales.
“They need to do their homework and realise it’s not enough just to offer credit card payments. Countries in Europe and other regions all have their own preferred ways of paying, whether it be iDEAL in the Netherlands, online bank transfers in Germany or SEPA direct debit in the EURO zone. Only those merchants armed with their target audiences’ preferred local online payment methods will succeed during this busy festive period and beyond.”
Richard Broadbent, General Manager, Banking, Wincor Nixdorf UK/I, explains how customer attitudes to loyalty are changing because of technology.
RBS is closing 158 bank branches which will put over 400 jobs at risk.
Financial inclusion has been a priority for Latin American policy makers for the last five years, with governments across the region working to offer low-fee bank accounts, improve access to credit and encourage the development of mobile and e-banking in rural regions.
Cardtronics UK and and independent research company Populus have teamed up to determine whether cash is still used by UK shoppers.