Payment – the Human Behind the Exchange
By Zoe Cuthbertson (@zoe_c83)
By definition ‘payment’ is: The action or process of paying someone or something or of being paid. Or something given as a reward or in recompense for something done. It is a transaction, an exchange. But in the world of shopping, where there are humans, it is also a fear, a barrier. For many the simple question over their ability to complete that exchange adds a frightening challenge and at the extreme puts completion of the transaction completely out of reach. It is here, where businesses that are able to give consumers the power to overcome this barrier and make the process as frictionless as possible, where we start to see a shift between those that succeed and those left behind. The key to success is not in the tech itself, it is in the ability to make it easier for the human.
Study on Consumer:
Expectation, motivations and purchase behaviour. ‘Have it now’ Exploration of the Very Account and commercial advantage, Desire v Accessibility: Very born out of requirement to deliver on desire for immediate gratification. Strong position as Very not only had the ability to promote a wide range of products that the masses desired, combining the ability to offer flexibility in payment, without a delay in accessing, provided a key advantage against competitors.
The explosion of Klarna and emergence of retail and finance partnerships like George with JaJa: Frictionless alignment and immediate access on mass scale. When consumers’ source goods elsewhere, maybe cheaper, internal payment options aren’t available so consumers are forced to look elsewhere for funding, creating friction in the journey and complexity that could cause consumers to abort. Plus, if a sizeable investment, potentially there is an increase in the level of trepidation as to if funding can be successfully achieved through a reputable source. Partnerships with connected APIs and journeys can provide a customer experience advantage, leading to increased commercial return and value.