A recent study by Dito CRM and Opinion Box highlights that 55% of consumers already know what they want to buy on Black Friday, one of the most important dates in retail. In the survey, 43% of people say they intend to spend more than last year. According to them, e-commerce is the favorite platform, with 43% of individuals using it exclusively in 2023. However, even with these encouraging numbers, the retailer needs to pay attention. With so many payment methods available in the market, the customer may switch from one company to a competitor if they do not find their favorite option there.
A study by Adobe in partnership with PYMNTS shows that 70% of consumers surveyed say that the payment method greatly influences when choosing which online store to make a purchase. “This can lead to one of the biggest nightmares for retailers: cart abandonment in e-commerce. In this phenomenon, the consumer selects the products of interest, puts them in their virtual cart, but when it comes time to pay, they abandon the purchase,” explains Walter Campos, general manager of Yuno, a global payment orchestrator. A study by E-commerce Radar shows that this index reaches 82% in Brazil.
Furthermore, data from Yampi indicates that one of the main reasons for cart abandonment is when the customer is ready to place the order and cannot find their favorite payment method. “Among the damages this causes, we can highlight direct revenue loss, reduction in conversion rate, impact on brand reputation, and threatened competitiveness,” explains Walter Campos. The executive also points out another problem that haunts online retail: declined purchases, especially in situations where the consumer is honest. According to Signifyd, about 52% of Brazilians have experienced this situation.
To overcome these problems, Walter Campos draws attention to a new technology available in the market: payment orchestration. With great traction globally, retailers can, through it, select on a single screen which payment methods they want to offer to their consumers, all just a click away. “These platforms also use dynamic routing, technology that selects the best paths for a purchase to be made. Thus, if a transaction is denied by one provider, the system makes an automatic attempt, increasing the chances of approval,” explains the professional, highlighting that the solution also works with the main anti-fraud tools on the market, avoiding the most common scams at the time.
With this, consumers have an enhanced experience on the platform since they find their favorite payment methods there and, as a bonus, have a higher index of approved purchases. Consequently, they can become regular customers and leave positive reviews, which, according to surveys from Opinion Box and Dito, is essential for Black Friday, as 59% of people usually search for satisfactory opinions on Google before getting products. “Furthermore, payment orchestration allows a certain retailer to expand into new markets, offering international payment methods and even those considered quite alternative. This contributes to a more democratic market,” Walter concludes.
