How Does Buy Now Pay Later Help To Increase eCommerce Sales?
Buy now pay later is shaking up the world of e-commerce and for a good reason. It’s exactly as the name applies, but it’s also known as consumer financing. Buy now, pay later has been around for a very long time, but as the world of eCommerce changes and consumer behavior shifts, buy now, pay later, is becoming more and more popular. Plus, the effect of COVID-19 has made every customer and sale count.
So, how can BNPL help you increase your sales? Well, here is everything that you need to know.
COVID-19 And Retail
The global pandemic affected us all in one way or another. Continuous lockdowns meant many people lost their jobs or had to shut down their businesses. The reality is that people still need to buy their goods and shop online. They just have tighter budgets. As for businesses, they need new ways to keep their customers and sales growth. This is where BNPL comes in. It’s a win-win for both sides.
Here’s why.
Higher Conversions
Buy now, pay later is simple but effective. It’s actually so effective that it has resulted in higher conversion each time. There’s nothing quite as exciting as adding new items to your shopping cart. But you can quickly get a shock of your life when you see the total sum. This is often a huge reason why people abandon their shopping carts. You miss out on the sale and the customer misses out on their products. It’s a bad day for everyone. But, buy now, pay later can save the day. Allowing your customers to spread out their payments give them peace of mind. And it gets you the sale. It’s a total win-win. In fact, businesses that offer installment plans have seen high conversion rates over and over again. Not only that, but consumers actually end up buying even more.
This leads us nicely to the next point.
Customers Will Spend More
The convenience of having a payment plan allows people to spend more money. Customers get to enjoy their product without having to worry about the financial aspects. Buy now, pay later is clever because it takes away the negative emotion often associated with losing money. There’s nothing quite like having loyal customers however, in these uncertain times, affordability is their top priority. If customers can get the same product or service elsewhere cheaper, they won’t hesitate. But when you implement buy now pay later, you are solving that very problem. On average, around two-thirds of shopping carts are abandoned across various industries. It happens. Although there is no one way of telling why people abandon their shopping carts, one thing is for sure. Affordability is one major factor.
If you want to reduce the shopping abandonment rates and increased spending, you need to offer consumer financing from reputable platforms like ChargeAfter.com. You see, the trick is to try and eliminate all the possibilities that may stop them from making that purchase. The bottom line is that customers appreciate choices. Imagine how thrilled they would be if they could buy the products they need without the feeling of it costing an arm and a leg.
It takes away the bad taste of spending and focuses solely on the items they are buying. Buy now pay later actually has a massive influence on a customer’s purchasing decision. This means that any potential customers will be swayed by whether you offer buy now, pay later, or not.
Better Customer Experience
Customers who have a good shopping experience with you will come back time and time and get. Creating and good customer experience comes with many benefits.
Put it this way. The more ways to shop, the more ways to pay, the happy they are, and the more they’ll spend. Plus, if they are happy with your service, be sure that they will tell any within earshot. Family, friends, colleagues will all hear about your amazing products and services. The best part? Nothing beats the power of good word of mouth marketing that’s totally free!
Final Thoughts
Buy now pay later is nothing new, but it’s shaping e-commerce and online retail, and it’s likely to stay that way. If you want to attract buyers of all ages, increase your conversions, and your sales having a buy now pay later method is a must.
