Payment Processing

Payment Processing News Blog

• Fear Leads to Shopping Cart Abandonment

  According to Marketing Sherpa, 58% of consumers abandon their online shopping carts before completing the purchase. In other words, the shopper has taken the time and effort necessary to search through the retailer’s site to find products, places the products in the cart, proceeds to the checkout page, and then decides not to buy. A merchant will never totally eliminate shopping cart abandonment. There are lots of shoppers that are simply shoppers and not really buyers. Still, businesses must do whatever possible to understand the reasons for shopping cart abandonment and do whatever possible to encourage the purchase of items in the cart. Marketing Sherpa reports that 49% of consumers abandon shopping carts out of fear of identity theft, while 53% do so out of fear of sharing personal information online. Yankee Group says that 44% of consumers are less likely to trust an internet merchant with their personal information than they were a year ago. And according to the Ponemon Institute 36% of consumers will not use their credit or debit card to make a purchase with a web merchant they don’t know. Trust creates sales. Fear drives away customers. Clearly, reassuring shoppers that privacy is protected and the merchant is trustworthy is vital to increasing sales. Reassure customers continually through the buying process that information is safe and protected. Clearly post privacy policies. Put up seals from trusted authorities. Provide testimonials from satisfied customers. Display shipping and returns polices. Get creative and give your customers reasons to trust you. Increased sales will surely follow. - 7 hours ago

• Fear Leads to Shopping Cart Abandonment

  According to Marketing Sherpa, 58% of consumers abandon their online shopping carts before completing the purchase. In other words, the shopper has taken the time and effort necessary to search through the retailer’s site to find products, places the products in the cart, proceeds to the checkout page, and then decides not to buy. A merchant will never totally eliminate shopping cart abandonment. There are lots of shoppers that are simply shoppers and not really buyers. Still, businesses must do whatever possible to understand the reasons for shopping cart abandonment and do whatever possible to encourage the purchase of items in the cart. Marketing Sherpa reports that 49% of consumers abandon shopping carts out of fear of identity theft, while 53% do so out of fear of sharing personal information online. Yankee Group says that 44% of consumers are less likely to trust an internet merchant with their personal information than they were a year ago. And according to the Ponemon Institute 36% of consumers will not use their credit or debit card to make a purchase with a web merchant they don’t know. Trust creates sales. Fear drives away customers. Clearly, reassuring shoppers that privacy is protected and the merchant is trustworthy is vital to increasing sales. Reassure customers continually through the buying process that information is safe and protected. Clearly post privacy policies. Put up seals from trusted authorities. Provide testimonials from satisfied customers. Display shipping and returns polices. Get creative and give your customers reasons to trust you. Increased sales will surely follow. - 7 hours ago

• US Mobile Payments Soar with Smart Phones

  Smart phones are taking over and payments on mobile phones are becoming accepted ways of sending and receiving money for millions of people. According to research company Javelin Strategy and Research, mobile phone companies will be controlling the customers and be the channel of payment flow, not the banks. In the US, four mobile phone carriers control most of the market. Verizon, AT&T, Sprint, and T-Mobile have 244 million customers. The number of US consumers with smart phones has nearly doubled in the past year, from 9% to 17%. Overall,, in 2008, 13% of US mobile phone users said they were likely to use mobile P2P payments , a 5% rise from just one year early when 9% said they would. Javelin estimates that 26 million Americans are now to give mobile P2P payments a go. The title of the Javelin Strategy report is “Mobile Person-to-Person Payments: Mounting Telco Activity in a Mobile Channel Segment That Financial Institutions Can’t Afford to Lose.” Of course, some of the money being sent and received reside in bank accounts. But, the mobile companies will control the relationships and will get the lions’ share of the payment processing revenue fees and profits. - 7 days ago