Mobile wallet, or eWallet, technology has been around for decades. Paypal, for example, is the most widely used eWallet in the United States, with an extremely loyal customer base.
But in recent years, eWallet technology has been gaining fast momentum, and a number of eWallets — such as Apple Pay, Google Pay, and Visa Checkout — are rising up to challenge Paypal for the top spot in the market. They’ve been slow out of the gate, but they’ve been iterating and improving on the original Paypal experience.
Now, especially with the integration with the phone itself, eWallets are providing a really slick checkout experience on mobile, and consumers can’t get enough of them. To provide your customers with the best possible checkout experience, you need to be offering the most convenient and relevant payment capabilities available, and eWallets are no exception.
Don’t believe us? Here are 5 signs it’s time to adopt mobile wallet technology.
5 Signs It’s Time to Adopt Mobile Wallet Technology
1. Your global customers keep abandoning their shopping carts.
Look at the demographics and behavior of visitors to your website. If many people are spending time on your website, engaging with your content and adding items to their shopping carts, a significant number of those people should be converting into customers, right?
Not without mobile wallet technology. If web visitors aren’t converting into customers at the rate you’d expect, that’s a sign that there’s something wrong with your payment options or overall checkout experience.
So how do you fix it? First, identify where your marketing is reaching people, where your visitors are from and where your paying customers are from. If you only look at your existing customer base, this might not highlight the problem.
For example, if you notice that a great number of your web visitors are from China, but none of them are converting to paying customers, then you need to take a look at the dominant payment methods in that country and adapt your payment offerings to meet their needs.
This is true for any country or region around the world; by understanding the dominant payment methods used in each region you sell to, you can best adapt your payment offerings to meet the needs of your target demographics.
2. You’re experiencing high rates of declined payments.
Now take a look at those customers who do actually follow through with the checkout process and click buy — how often are those payments processed successfully?
Regardless of the geography of payments, you may be experiencing high rates of declined payments from customers who try to pay with credit cards. Mobile wallets are a simple way to resolve this; even if a customer uses the same card in an eWallet like Apple Pay, the payment will be more likely to be processed successfully, because eWallets have stronger security methods than other payment types.
Yes, you heard that right. Mobile wallet technology dramatically reduces fraud with unique security measures like fingerprint authentication and encrypted tokens. Because of these added protections, banks feel better about processing payments made through eWallets.
Plus, eWallets will notify users when credit cards are expired or have zero balance, so you’ll avoid declined payments from issues like those as well.
3. You spend a significant portion of your marketing budget on digital advertising.
I can’t think of a brand that isn’t marketing on social media and email — and these days, most digital marketing is being consumed from mobile devices. If you’re serving ads to consumers on their mobile devices, doesn’t it make sense then, that they should be able to respond to those calls-to-action and make purchases on the same device?
This is especially true for companies who market primarily to Millennials and younger generations; these young people find all of your marketing material through digital channels, so there’s a very good chance that these potential customers are looking for mobile-friendly forms of payment as well.
Ultimately, this is just one more way to remove friction from the checkout experience, improving the likelihood that customers will convert, the payment will be processed successfully and your overall business revenue will experience a much-deserved boost.
4. Your competitors have adopted mobile wallet technology.
If your competitors are offering mobile-friendly payment options, there’s a good chance that potential customers are abandoning your clunky shopping cart in favor of your competitor’s easier, more accessible checkout experience.
It’s important to note that pretty much every online retailer is competing with Amazon in one way or another. There’s a reason that Amazon is the world’s largest internet company by revenue: They invented the one-click checkout and are constantly coming up with new, more convenient ways to pay.
Amazon users — that’s more than 100 million Amazon Prime users worldwide — have come to expect this frictionless, “buy-now” payment experience every time they shop online. Even if customers don’t think of themselves as eWallet users, they’re accustomed to the ease of checkout from stores like Amazon. By adopting an eWallet that provides a similar experience, you can more easily satisfy these customers even if they’re not asking for it.
5. It’s 2019 — duh!
Plain and simple, it’s 2019, and people just want an easier way to make online purchases. Why wouldn’t you offer it to them?
It’s time to catch up with the rest of the world. The new mobile generation is taking over, and with it, eWallets as an increasingly popular payments channel. By offering this new, alternative payment method to your customers, you can increase customer retention and engagement rates, reduce fraud and payment declines and grow your business globally.