One of the biggest puzzles of Brazilian e-commerce is its high cart abandonment rate, which already surpasses the 80%. To better understand the reasons, OneKey Payments released the study 'Disruptive Payments’ that reveals the main points that hinder a buying journey.
– 62,6% of consumers have already given up on an online purchase because of the excess of mandatory data in filling out forms;
– 92,8% abandoned the transaction because they could not access the device to which the authentication code (OTP) was sent;
– 93,7% they stopped the purchase because the site did not load correctly.
Complicated payment processes, slow pages and unexpected requirements are among the main reasons.However, the payment institution responsible for the survey believes that new technologies and payment models have the potential to solve this historical problem of digital commerce in Brazil. “What the data makes clear is that payment friction has been a key factor, but little explored, in the withdrawal of” purchases, explains Cesar Garcia, CEO of OneKey Payments. “On the other hand, many of the problems pointed out by consumers can already be solved with innovative solutions.”
Although retailers are beginning to realize the importance of the payment step in sales conversion, the survey points out that just over half (54%) retailers consider the payment experience as fundamental to brand reputation.
Caesar compares this number to that of consumers: almost three out of four (73,1%) state that the preferred payment method and process can be decisive when choosing between two competing brands.
“There is still a mismatch between how much the consumer values the payment experience and how much the shopkeeper sees this value”, he evaluates. Almost nine out of ten consumers (87,5%) consider your process and preferred payment method as something that is important’ (73,1%) or 4’ (14,4%) in the purchase decision.
Today, the digital consumer expects fast, one-click payments, and easily gives up long or complicated checkout journeys.“Paying is not just technology, it is trust, loyalty and sustainable growth”, he says. “If you offer the Brazilian consumer an intuitive, safe, predictable and frictionless process, your brand will be as valued as the very product or service it delivers.”
The company points to Pix as an example of how technology, when thought of with a focus on the user, can overcome the barriers of cart abandonment.The Pix has already surpassed credit cards as a method more used for online shopping, and it is also already more popular than the cash in face-to-face payments.“It is simple, secure and fast, in essence, everything a payment should be. And with recurring payments, especially with the recent launch of the Pix Automatic, the system redefines how brands can offer convenience and loyalty, eliminating repetitive steps in periodic purchases, such as subscriptions and recurring services.The payments market and online retail still have a lot to learn from Pix”, says the executive.
Technologies such as one-click payment, recurring payments, biometric authentication and advanced fraud detection systems are already available to payment institutions and retailers, and can solve the old obstacles of e-commerce once and for all. Digital wallets, which work as a “virtual wallet”, store card data securely and prevent the consumer from having to type everything again with every purchase. This makes the process faster and less likely to be abandoned. In addition, innovations in fraud prevention, using artificial intelligence and machine learning, make the experience safer without adding barriers such as codes sent to secondary devices.
With abandonment rates still so high, it is now up to payment providers to integrate these solutions with a focus on security and operational effectiveness, show their benefits to retail and, above all, deliver the shopping experience that the consumer not only expects, but requires”, concludes Caesar.
