Establishing simple payment methods for customers in online retail that also relieve store operators? With this trick, that's no longer a problem.
What matters in e-commerce
Online shopping has become an important part of our lives. The latest pair of shoes, the newest smartphone or a little something for your loved ones - more and more people are shifting their shopping from bricks-and-mortar to digital retail. Especially now in times of corona. According to a recent study, almost 30% of respondents store online at least once a month. Just as many even once a week.
A blessing for all online retailers? Yes and no. Because the really big fish are calling the shots online. Their technologies have a lasting impact on user purchasing behavior and they dominate the market. In order to keep up, smaller stores must always be vigilant. One of the most important aspects of shopping for both sides is the financial transaction. Why it is particularly important and how online retailers can score points here.
Everything revolves around finance
What is important for a successful customer journey in e-commerce? Speed! Customers who buy online do so primarily because it is faster and more convenient. Of course, online stores should also fulfill these attributes in their entirety. The site must load smoothly, registration must be completed in just a few clicks and the checkout process must not end in a jumble of forms. If all this is successful, payment is the final factor in every shopping experience.
Regardless of the amounts involved, users must feel safe and be able to choose the right payment method easily. If there are too many hurdles, many buyers are not afraid to simply switch to another platform that sells similar or even identical products.
Simple payment - for both sides
Payment processing should be closely monitored by online retailers. And in the best case scenario, the process is not only uncomplicated for customers, but also does not create unnecessary work in the background.
What needs to be considered:
- Accounts receivable management: All payment transactions must be monitored and recorded in accounts receivable accounting.
- Claims management: It must be clear which claims are still outstanding and when which claims must be asserted.
- Security: The collection and processing of customer data must always meet the highest security standards.
- Internationality if required: If the store operates internationally, different tax rates and exchange rates must be taken into account. Sounds complicated? It is. That's why many online retailers don't collect this data on their own, but instead bring in experts who can easily keep an eye on everything.
The magic word: payment clearing
As the term suggests, payment clearing is primarily about untangling the maze of transactions. Online merchants who use the service provided by outsourcing service provider nexnet can clearly see which payments are received when and whether all details are correct. All transactions from the most common payment service providers - whether fintech or conventional bank - are recorded down to the individual transaction level.
If retailers are looking across the pond with their stores, all exchange rates are processed for them on a daily basis and debited with the appropriate tax rates.
The month-end closing is also created by nexnet thanks to Payment Clearing and transferred to the general ledger - the data is therefore not only error-free, but also transferred automatically.
All the advantages at a glance:
- Payment monitoring at individual transaction level
- Certified accounting for the entire end customer business for all PSPs used
- Audited monthly financial statements (SOX compliance)
- Voucher management for value and merchandise vouchers
- Can be used internationally
- Integrated receivables management and debt collection
- Experience from 20 years in the mass transaction business
- Industry-independent (e-commerce, digital goods, mobility, retail)
The hack for secure accounting
Few online retailers think directly about finances when fulfilling their business dream. Yet they are the pillars of any successful business. If the operators of online stores manage to satisfy their customers with simple and secure processes, there is usually an equally advantageous system behind it for themselves.
To avoid falling into a trap in the jungle of options, nexnet provides support with payment clearing. This gives merchants more time to concentrate on the core of their business.
Article from Business Insider
