Payment Methods Significantly Impact Mobile Shopping Decisions
When it comes to mobile commerce, consumers know what they want. According to a new study from PayPal and Ipsos, the number one reason why consumer’s abandon mobile purchases is because a store does not offer their preferred payment method.
One in five respondents said they would stop a transaction altogether if they did not see their preferred payment method available. PayPal was the most sought after mobile payment option (53%), followed closely by credit cards (44%).
Over 78% of global consumers said they had shopped on a smartphone, but only 63% of merchants have services optimized for mobile payments. India reported the strongest amount of mobile optimization, while the United States had the second lowest figure. Only 57% of U.S. business have apps or websites optimized for mobile payments. PayPal says, “If these businesses were to prioritize mobile, it could lead to fewer abandoned carts and sales from 15% more potential customers.”
Cart abandonment is a growing concern for mobile and online sales. This occurs when a customer proceeds to checkout but does not complete a purchase. American Express, Visa, Mastercard and Discover have created a streamlined checkout service called click to pay to reduce cart abandonment in America. Shoppers can experience a uniform, predictable checkout service, regardless of where they make their purchases. Click to pay is rolling out at select retailers later this year, with the hopes of strong expansion in the future.
This entry was posted in Credit Card News and tagged PayPal , online shopping , online purchases , Ipsos , mobile shopping , mobile payment , payment method , online payment , digital payment , mobile purchases , digital purchases , online checkout , cart abandonment , digital shopping , checkout service , click to pay
The information contained within this article was accurate as of November 12, 2019. For up-to-date
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