Brick-and-mortar businesses typically generate sales from approximately 30% of the consumers who walk through the door. But data reveals that less than 4% of e-commerce website visitors convert to paying customers. That means that online businesses fail to sell to more than 95% of all the traffic they generate.
One factor that adversely affects e-commerce conversion rates is the absence of a quick, easy, convenient “pay now” option. There are three extremely compelling core reasons why every online business should incorporate pay now tools.
#1 Speed and Flexibility
Perhaps the best argument for a pay now option is that it guarantees faster transactions and superior customer service. Many of today’s advanced payment processing tools and platforms can be easily integrated into any website. Buyers can then pay from any mobile device, 24/7, from anywhere the world. They can pay in virtually any currency, which enables even the smallest localized business to become a genuine global commerce participant. Payment happens instantly, and many payment platforms charge lower processing fees than those that businesses typically incur. Customers receive instant confirmation of purchase, too, and that makes refunds and exchanges quicker and easier.
#2 Buyer Psychology
The presence of a pay now feature also signals greater credibility and professionalism. It conveys a greater sense of confidence to the customer. Leading payment systems additionally offer merchants full brand transparency. The customer sees the merchant’s own logo and other identifiers throughout the payment cycle. Clients know that the party they do business with is directly connected to the payment process, and uses the latest secure technology.
Another powerful incentive for adding a pay now button is that the tool can help to generate impulse purchases. When the payment process is more convoluted and time-consuming, consumers who feel the urge to buy often rethink that decision. Instead of completing the purchase, they talk themselves out of it. Sometimes they’ll later see the same item for sale on a competitors site, where there’s a pay button, and decide to go ahead and buy. In that case, the original merchant not only lost a valuable customer, but they also helped fuel the success and revenue of their competitor.
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#3 Security and Efficiency
Many businesses lack robust cybersecurity protocols for payment processing. But they cannot afford to retain an expert IT security team. Fortunately, there are affordable and user-friendly turnkey payment processing platforms that include fully-integrated security tools. Safeguards include encryption, tokenization, PCI compliance, and Level 3 payment processing. These are essential in today’s interconnected world, when there are more than 4,000 cyber attacks per day. Many specifically target businesses that don’t have the in-house resources to protect themselves.
Other Fringe Benefits
A well-designed and comprehensive digital payment platform can even provide the ability to use recurring billing. That enables lucrative subscription plans for the purchase of goods and services. Or customers can take advantage of options to pay using an installment plan, for a hassle-free and client-centered solution. A payment portal also simplifies business analytics and customized reporting. That helps owners and managers insightfully identify ways to maximize resources for sustainable success.