In the rapidly evolving world of eCommerce, payment solutions play a pivotal role in ensuring a seamless and secure transaction experience for both businesses and consumers. However, the realm of online payments is not without its challenges. The 7 deadly sins of eCommerce payments, including slow processing times, high fees, and lack of security, have plagued the industry for years. But with the advent of Open Banking, a revolutionary concept that combines secure payment systems with real-time data sharing, businesses can now overcome these sins and offer an unparalleled customer experience.
1. Sloth: slow processing times
One of the biggest frustrations for online shoppers is the sluggishness of payment processing. Traditional payment methods often involve several intermediaries, leading to delays in transaction confirmation. Open Banking, on the other hand, leverages real-time payment solutions that allow for instantaneous transfers between banks. By integrating Open Banking into eCommerce platforms, businesses can eliminate sloth-like processing times and provide customers with a swift and efficient payment experience.
2. Greed: high fees
Exorbitant transaction fees imposed by payment gateways and card networks have long plagued eCommerce businesses. Open Banking offers a solution by bypassing these intermediaries, reducing the associated costs. With direct bank-to-bank transfers, businesses can significantly reduce transaction fees, enabling them to pass on the savings to their customers. This newfound affordability helps foster trust and loyalty, ultimately driving growth and customer retention.
3. Envy: lack of security
The fear of data breaches and fraud has always been a prevalent concern in online transactions. Open Banking addresses this sin by implementing robust security measures. With secure payment protocols and authentication mechanisms, Open Banking ensures that sensitive customer data is protected throughout the payment journey. By leveraging the trust and security provided by Open Banking, businesses can alleviate customer concerns and build a reputation for being a secure and reliable eCommerce platform.
4. Wrath: payment security
A major challenge in the eCommerce landscape is mitigating the risks associated with unauthorised transactions and fraudulent activities. Open Banking’s authentication and verification processes, combined with strong encryption standards, help fortify payment security. By adopting Open Banking-powered payment solutions, businesses can minimise the risk of fraudulent payments and chargebacks, ensuring a safer and more trustworthy environment for both buyers and sellers.
5. Gluttony: card payments
While card payments have been the primary mode of online transactions, they often lead to high processing fees and reliance on multiple intermediaries. Open Banking enables businesses to diversify their payment options beyond card payments. By embracing real-time bank transfers and other Open Banking-enabled payment methods, such as digital wallets and direct debits, businesses can cater to customers’ preferences and reduce reliance on costly card networks.
6. Lust: mobile payments
Mobile commerce has witnessed exponential growth in recent years, and businesses must cater to the rising demand for mobile payment options. Open Banking facilitates seamless integration with mobile banking applications, allowing customers to make payments directly from their smartphones. By offering Open Banking-powered mobile payment solutions, businesses can tap into this thriving market and enhance the convenience and accessibility of their payment processes.
7. Pride: enhancing customer experience
In the fiercely competitive eCommerce landscape, delivering an exceptional customer experience is non-negotiable. Open Banking’s real-time payment capabilities contribute to an enhanced customer experience by eliminating unnecessary steps and streamlining the payment process.
Consequently, customers can make purchases quickly and conveniently by simply clicking a single button after authenticating with their online bank. There’s no need for them to enter their card details or bank account credentials, ensuring a swift transaction without the requirement of storing their personal data, thereby eliminating the risk of fraudulent interception.
The convenience and speed offered by Open Banking-powered payments leave customers feeling satisfied and esteemed. And let’s be crystal clear: with smoother checkouts, businesses can bid farewell to abandoned baskets and trigger skyrocketing conversion rates.
Additionally, the data-sharing capabilities of Open Banking help businesses leverage the insights gained into customer preferences, enabling personalised offers and recommendations that further enhance the overall shopping experience. Embracing payment solutions powered by Open Banking empowers businesses to offer secure, real-time, and cost-effective payment experiences that elevate customer satisfaction and foster loyalty.
This is how Open Banking has emerged as a revolutionary force, enabling businesses to conquer the longstanding challenges of the 7 deadly sins in the realm of eCommerce.
By integrating Open Banking’s cloud-based payment processes, businesses can stay ahead of the curve and provide their customers with a seamless, secure, and delightful shopping experience.
Curious to see how Open Banking’s cloud-based infrastructure can supercharge your payment processes and checkouts? Explore the powerful use cases for your business with Ordo live demo.