A recent study by DECTA found that fast payments and the availability of a preferred payment method are the most important factors for positive customer experience when shopping online. On the other hand, absence of a preferred payment method or experiencing friction during the checkout process is the leading cause of a negative shopping experience, with nearly 49% of respondents saying they would likely abandon the shopping process if they encountered these problems.
The primary goal of the study was to showcase how adoption of embedded finance leads to higher conversion rates and positive customer experience. For this, DECTA conducted a survey among British online shoppers aged 19-68 and US shoppers aged 23-68 years totalling 1504 respondents.
The report also delves into the main reasons why consumers may abandon their online shopping journey and explores the potential of additional revenue streams that online retailers can gain through the adoption of embedded finance.
- Availability of preferred payment method is considered a crucial factor for a positive customer experience, with 85% of Brits considering it a very important feature, and 49% of respondents from both countries stating that they would abandon a purchase if their preferred payment method is not available.
- 54% of Americans report that embedded add-ons like insurance or financing are either very important or the most important factor for a positive purchasing experience
- Survey found that faster payment speeds were considered important for a positive experience in both the UK and the US, with 68% and 53% of participants respectively considering it either the most important or very important.
- The availability of a preferred payment method is crucial for a positive shopping experience. In a survey, over 85% of UK participants and 54% of US participants considered it either the most important or very important.
- 90% of companies in the United States have loyalty programs, collectively representing a staggering 3.3 billion memberships in total. This presents a prime opportunity for embedded finance to tap into this market.
Complete Study Results: The Role of Embedded Finance in Boosting Conversion Rates – A Report
DECTA is a global payment processing company, experts in FinTech. Company provides a complete range of digital payment services designed with the needs of Merchants, Banks, and Payment Service Providers in mind. Used by 2000+ companies across 32 countries, solutions include: Payment Acquiring Services, BIN Sponsorship and White Label Card Issuing, White label Payment Gateway, Issuer and Acquirer Processing.