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Personalizing payments is a must for ‘ecommerce’ | Opinion


Today is Black Friday or Black Friday, the starting signal for the Christmas shopping season, which in Spain runs until the first days of January with the last orders from the Three Kings. In the United States, this last quarter of the year is known as the golden quarter, since it is the period of the year in which the retailers, paradoxically, they make their August in December. A great opportunity for any online store to increase sales and end the year satisfactorily.

A suggestive piece of cake that all digital retailers want, but in an environment where competition is increasing and requires differentiating approaches. In fact, many merchants are fully aware that making good use of this moment does not depend only on satisfying the most loyal customers who, while undoubtedly important, are increasingly difficult to obtain in the digital world and rarely drive growth. , but to be able to attract all kinds of buyers. In fact, this is where the real battlefield lies, especially during shopping periods like Christmas or Black Friday.

And in this challenge, personalization can play a key role as a competitive tool. In fact, the Accenture study Painting the Digital Future of Retail and Consumer Good Companies points out how digital personalization could contribute to the ecommerce 2.9 trillion dollars in the next 10 years.

In this last year, we have already seen that the loyalty programs of many e-retailers have been designed with a greater focus on customization in mind, combining the different insights that are extracted from the analysis of the data to achieve a end-to-end that provides a personalized and satisfying experience. And at this point, being able to offer different personalized payment options can also be a relevant competitive weapon because it directly affects a lower rate of cart abandonment.

According to data from Comscore and Enterpreneur, 56% of shoppers expect a wide variety of payment options every time they hit the virtual checkout counter. In fact, in recent months we have seen how ecommerce Each time they offer greater and more varied payment facilities to boost purchases, for example, offering fractionation or the option buy now and pay later.

And there is no doubt that ecommerce must personalize the payment experience adapting to the stage of the funnel purchase (funnel) they are in and showing them the most relevant options for them. And, of course, make it easy for the consumer, especially when you have a global reach and there are sales transactions between countries.

Clients will undoubtedly bet on that one ecommerce that offers the means of payment with which they are most familiar, including having the option of being able to pay with alternative means of payment (APM, for its acronym in English). So those who take this point into account will undoubtedly have a competitive advantage to attract a greater number of customers.

This presents a significant challenge for retailers, who must take into account that the payment landscape varies between countries and that those that exist in one country may not be enabled in others. In fact, only in Europe are there multiple settlement currencies other than the euro. That is why it is more important than ever that they can work with a partner with the skills and knowledge to help simplify this reality in the payments area, because this is vital to be able to be effective and not miss the opportunity it provides to gain access to a bigger piece of the pie ecommerce.

Many merchants now believe that personalization can do more to cultivate long-term buyer loyalty than traditional loyalty approaches. In fact, in the United States many ecommerce and digital businesses already prioritize investment in order to carry out personalization strategies based on data. However, according to our data, only 22% of European traders have adopted this strategy. Something that undoubtedly represents a competitive disadvantage to compete in today’s increasingly global market.

According to the report Global Payments Report 2020 McKinsey, the pandemic has driven the decline in traditional demographic differences in consumer behavior. There are no longer geographic or generational divisions, which means that it is easier for merchants to attract, attract and retain consumer bases from anywhere in the world.

Therefore, if retailers want to differentiate themselves and be competitive in this environment, they cannot ignore the nuances of personal preferences for their strategies for attracting potential customers and have to adapt to adopting an increasingly demanding and personalized approach to online sales, especially if they want to capture the attention of very heterogeneous digital native communities.

Success will largely depend on knowing how to apply granular data that helps guarantee all aspects of a shopping experience adapted and personalized to the user’s needs, where payment must also be well adapted to each target market.

So these last months of the year are a great opportunity to be able to bet on personalization in all aspects, at a time when human connection has never been so relevant in the purchase process.

Jonathan G. Rambal it is gerente general for Southern Europe from Checkout.com

Today is Black Friday or Black Friday, the starting signal for the Christmas shopping season, which in Spain runs until the first days of January with the last orders from the Three Kings. In the United States, this last quarter of the year is known as the golden quarter, since it is the period of the year in which retailers, paradoxically, make their August in December. A great opportunity for any online store to increase sales and end the year satisfactorily.
A suggestive piece of cake that all digital retailers want, but in an environment where competition is increasing and requires differentiating approaches. In fact, many merchants are fully aware that making good use of this moment does not depend only on satisfying the most loyal customers who, while undoubtedly important, are increasingly difficult to obtain in the digital world and rarely drive growth. , but to be able to attract all kinds of buyers. In fact, this is where the real battlefield lies, especially during shopping periods like Christmas or Black Friday.
And in this challenge, personalization can play a key role as a competitive tool. In fact, the Accenture Painting the Digital Future of Retail and Consumer Good Companies study points out how digital personalization could bring ecommerce to 2.9 trillion dollars in the next 10 years.
In this last year, we have already seen that the loyalty programs of many e-retailers have been designed with a greater focus on personalization in mind, combining the different insights that are extracted from data analysis to achieve an end-to-end. end that provides a personalized and satisfying experience. And at this point, being able to offer different personalized payment options can also be a relevant competitive weapon because it directly affects a lower rate of cart abandonment.
According to data from Comscore and Enterpreneur, 56% of shoppers expect a wide variety of payment options every time they hit the virtual checkout counter. In fact, in recent months we have seen how ecommerce increasingly offers greater and more varied payment facilities to boost purchases, for example, offering fractionation or the option buy now and pay later.
And there is no doubt that ecommerces must personalize the payment experience by adapting to the stage of the purchase funnel in which they are and showing them the most relevant options for them. And, of course, make it easy for the consumer, especially when you have a global reach and there are sales transactions between countries.
Undoubtedly, customers will bet on the ecommerce that offers the payment method with which they are most familiar, even having the option of being able to pay with alternative payment methods (APM, for its acronym in English). So those who take this point into account will undoubtedly have a competitive advantage to attract a greater number of customers.
This presents a significant challenge for retailers, who must take into account that the payment landscape varies between countries and that those that exist in one country may not be enabled in others. In fact, only in Europe are there multiple settlement currencies other than the euro. That is why it is more important than ever that they can work with a partner with the skills and knowledge to help simplify this reality in the payments area, because this is vital to be able to be effective and not miss the opportunity it provides to gain access to a bigger piece of the ecommerce pie.
Many merchants now believe that personalization can do more to cultivate long-term buyer loyalty than traditional loyalty approaches. In fact, in the United States many ecommerce and digital businesses already prioritize investment in order to carry out personalization strategies based on data. However, according to our data, only 22% of European traders have adopted this strategy. Something that undoubtedly represents a competitive disadvantage to compete in today’s increasingly global market.
According to McKinsey’s Global Payments Report 2020, the pandemic has driven the decline in traditional demographic differences in consumer behavior. There are no longer geographic or generational divisions, which means that it is easier for merchants to attract, attract and retain consumer bases from anywhere in the world.
Therefore, if retailers want to differentiate themselves and be competitive in this environment, they cannot ignore the nuances of personal preferences for their strategies for attracting potential customers and have to adapt to adopting an increasingly demanding and personalized approach to online sales, especially if they want to capture the attention of very heterogeneous digital native communities.
Success will largely depend on knowing how to apply granular data that helps guarantee all aspects of a shopping experience adapted and personalized to the user’s needs, where payment must also be well adapted to each target market.
So these last months of the year are a great opportunity to be able to bet on personalization in all aspects, at a time when human connection has never been so relevant in the purchase process.



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