Shopify Pay moved from Beta to full implementation last week and is a new checkout service from Shopify for its online retailer clients.
The service aims to cut time and increase conversion on Shopify hosted eCommerce stores. With Shopify Pay, a customer can check out in seconds using a 6 digit code sent to their phone that identifies them from a previous purchase.
Best of all, this works across all websites hosted on Shopify. If a customer purchased from another Shopify hosted site, their information will be available on your Shopify hosted site.
In tests, Shopify stores using Shopify Pay experienced an 18% increase in conversion and a 40% increase in checkout speed.
Shopify Pay is completely secure as your customer’s details reside on Shopify’s PCI compliant servers.
HOW DOES SHOPIFY PAY WORK?
When a customer visits your site and enters the checkout process, they receive the opportunity to opt-in to have their address and payment information saved.
Next time your customer visits your or another Shopify hosted store, they simply enter their email address. This will trigger a verification code sent by SMS.
Once your customer confirms their identity with the verification code, the shipping and payment information will be pre-filled. Now the customers can complete the transaction with a single tap or click.
The service is available globally to all consumers on any device or browser.
EXPRESS CHECKOUTS GAINING MOMENTUM
Express Checkout is another one of those ideas that we can thank Amazon for introducing. Back in 1999, the company patented and rolled out 1-Click Checkout.
While there have been some legal fights regarding the patent, the fact remains, Amazon is the biggest known eCommerce company to use this type of checkout.
With mobile becoming more important to eCommerce, other payment processors have worked to streamline the entire checkout process. Let’s face it, not many people want to type in long credit card numbers on a small mobile screen.
PayPal is another express checkout method, mostly when paying from a PayPal balance. And Apple Pay and Android Pay represent fast checkout methods on mobile devices.
The big question with all these competing services attacking mobile, how many customers will consumers actually use them. At what point will there be too many before consumer confusion sets in?
What is your take, we love to hear your thoughts on express checkout and how it could impact your business. Would you switch eCommerce platforms to use a cross-stores system like Shopify Pay?
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