The more payment processing options an ecommerce merchant offers buyers the more sales will happen. Each new payment of option added at point of checkout results in a sales lift of 5-20%.
The vast majority of sales made by internet merchants are via credit cards. Consumers still prefer making purchases online with credit cards over any other payment method.
Despite the popularity of credit cards, if a merchant does not offer multiple methods of payments, sales are being lost. Adding new payment methods gives merchants the opportunity to capture as many sales as possible from consumers visiting their websites.
Amazingly, there are large segments of the population that do not have credit cards. And among those that do, many still prefer to use other methods of payments.
Among debt laden Americans, a staggering number of consumers are within inches of maxing out their credit cards. Even if a consumer wants to buy from a site, there is a real possibility that the sale will be declined because the buyer has exceeded the line of credit available on the credit cards.
Additional payment options enable merchants to profit from buyers who do not have cards, cannot use cards, or simply chose not to use credit cards for a purchase.
Certainly the easiest alternative payment option to offer buyers are electronic checks. Most payment processing gateways already have echecks integrated in the payment gateway.
It’s a simple matter to turn on the echeck functionality in the gateway. There is generally little or no additional paperwork required. Once enabled, a buyer simply chooses from a drop down menu whether the preferred method of payment is credit card or echeck.
Adding additional payment options is the fastest and easiest way to realize an increase in ecommerce sales. Investigate the alternative payment processing options offered by the payment gateway. You may find it a surprisingly effective way to increase profits.