Mobile Payments: Why Every B2C Business Must Pay Attention Now
Our online transactions are now predominantly fueled by mobile payments, and many B2C companies find themselves at a pivotal juncture. As an ever-growing number of consumers readily adopt and depend on this new mode of transaction, the need for efficient payment orchestration becomes undeniable. While the vast majority of B2C companies already have mobile payment solutions, optimizing and streamlining these transactions through effective orchestration ensures that businesses not only keep pace but lead in an increasingly digital marketplace.
A recent internal study at Praxis Tech has shown that 75% of visitors to our cashier access via mobile devices. This isn’t just a telling statistic about our platform; it mirrors a global momentum. Over 2.8 billion consumers had incorporated mobile wallets into their daily transactions by the close of 2020. If that isn’t indicative enough of the scope and potential, projections also suggest that the mobile payment market is set to generate an astronomical $15.69 trillion globally by 2028. Dive deeper, and the generational data provides even more clarity. A significant 80% of millennials regularly resort to mobile payments, underlining a clear preference for mobile digital transaction methods among this demographic.
But what does this mean for B2C companies? It’s more than just acknowledging the shift. It’s about understanding the underlying forces driving it and leveraging those insights for business growth.
Consumer Expectations in a Mobile World
Today’s consumers aren’t just tethered to their mobile devices; they’re entwined with them. From seeking product recommendations to making on-the-spot purchases, the consumer journey has become increasingly condensed and instantaneous. A potential buyer spots a product and, within moments, through the magic of Face ID or a simple fingerprint scan, they complete their purchase. This is where B2C companies must introspect about what, in fact, pushes the modern consumer towards mobile:
- Intimacy & Immediacy: Mobile devices are personal. They’re with us every step of the way, from the morning alarm to late-night browsing. This intimacy translates to a readiness to act. See a product ad on social media? A couple of taps, and it’s yours. No need to switch devices or find a convenient time.
- Integrated Ecosystem: Mobiles aren’t just communication devices. They’re integrated lifestyle tools — cameras, social platforms, banks, shopping malls — all in our pocket or handbag. This integration streamlines the transition from intent to purchase.
- Evolved User Experience: With mobile screens, there’s a focus on simplicity. Payment forms and iFrames designed for mobiles tend to be more presentable, minimizing distractions and maximizing ease.
If your mobile payment process isn’t streamlined to meet these heightened expectations, you’re inadvertently putting roadblocks in the consumer’s path. And, in today’s competitive market, even a minor hiccup can lead a potential customer to a rival brand.
Trust, Security, and Payment Orchestration
The online payments landscape is ever-evolving, and B2C companies, many of which already possess mobile payment avenues, find themselves amidst changing consumer demands and expectations. While standalone mobile payment options have paved the way, the spotlight now is on optimizing, streamlining, and securing these processes. Enter: Payment Orchestration.
Incorporating payment orchestration isn’t just about adding another tool to the kit—it’s about refining the transactional experience for both you and your customers. The merit of payment orchestration doesn’t lie solely in being a connector of dots in the transaction’s journey but in its capability to be an orchestrator, knitting together myriad payment avenues into one coherent, efficient, and secure system. Here’s the value it brings:
- Unified Management: Handling multiple gateways and PSPs can be time-consuming, expensive, and error-prone. Payment orchestration harmonizes these under a singular integration, making management and adjustments a breeze.
- PCI DSS Managed by Experts: While basic mobile payments already offer inherent security, payment orchestration elevates this assurance. Technologies such as tokenization safeguard customer details, and vitally, payment orchestration providers undertake the rigors of PCI DSS compliance, sparing merchants from navigating this complex terrain and guaranteeing optimal data protection.
- Enhanced Transactional Features: Incorporating features like merchant-initiated transactions and Smart Routing not only facilitates seamless subscription services and one-click purchases but also optimizes the end-user’s journey.
- Seamlessly Global: Incorporating background dynamic currency conversion and local payment methods, customers worldwide can shop with both convenience and confidence, viewing prices in their own currency and leveraging familiar payment options, thereby boosting their trust and purchase intent.
Notably, the inconvenience of declined transactions—accounting for as much as 1 in 13 transactions —looms large. Payment orchestration directly addresses this, aiming to recover any declined transactions.
For B2C entities that genuinely want to be global, merely having mobile payment isn’t enough. It’s about optimizing, securing, and broadening horizons, and that’s precisely where payment orchestration becomes invaluable. In the world of transactions, it’s not just about processing; it’s about perfecting the art.
Key Takeaways for B2C Businesses
Navigating the mobile payments landscape demands more than just acknowledging prevalent trends; it requires active adaptation and forward-thinking. As mobile technology takes center stage in shaping consumer behavior, businesses should refine their transactional experiences. Payment orchestration emerges as a pivotal tool, offering a consolidated, streamlined, and secure payment process. Rather than juggling multiple payment gateways, businesses can centralize their approach, reaping benefits in efficiency.
Additionally, the global market beckons. The ability to cater to an international audience seamlessly, without getting bogged down by currency conversions or transactional declines, becomes a game-changer. In essence, for businesses eyeing growth and global reach, utilizing the added value of payment orchestration is not just beneficial, but essential. In this evolving landscape, Praxis Tech has delivered reliable payment solutions to businesses worldwide. Drawing on nearly a decade of experience in payment orchestration, our team offers deep insights and expertise in this intricate ecosystem.