5 ways Amazon Pay helps small businesses
Make it easier for hundreds of millions of customers around the globe to quickly check-in and check out on your site.
Originally posted on 5/20/20
The way your customers purchase items online is evolving. They expect a simple, convenient, trusted buying experience on your site. Amazon Pay makes it easier for hundreds of millions of customers around the globe to quickly check-in and check through your digital store using the information already stored in their Amazon accounts.
As your small business looks for ways to keep shoppers coming back, offering a fast, familiar payment solution is an easy way to improve your customer experience. Here are five reasons to integrate Amazon Pay now:
1. Activate the Amazon customer
Amazon Pay extends the trusted experience Amazon customers have come to enjoy, through thousands of websites around the world. Amazon Pay offers merchants an easier way to connect to hundreds of millions of active Amazon customer globally, including over 150 million prime customers1 transacting in +170 countries2. The Amazon brand is a proven winner of customer trust3, and that trust halo extends to Amazon Pay. With 91% of Amazon Pay customers saying they would use Amazon Pay again4, this is your opportunity to leverage Amazon’s expanded network to help build customer engagement and loyalty.
As we considered ways to improve our cart and checkout experiences, adding Amazon Pay was an easy decision because it’s very mobile-friendly, seemingly everyone who shops online has an Amazon account
- Matthew Rehm, E-Commerce Manager, Volt Lightning
2. Offer a fast & easy checkout
Shoppers don’t want to create another site account. According to Baymard Institute, cart abandonment rates average 67.57%5, with 34% of customers citing forced account creation as a key reason for site abandonment6. Amazon Pay enables customers to make purchases using the information stored in their Amazon account, avoiding account creation, reentering credit card information, and typing their billing and shipping addresses. Reduce friction with a seamless payment process that can be completed in minimal clicks.
3. Lead the way in connected commerce
With the adoption of voice across all stages of the customer journey, Amazon Pay is helping businesses adapt to the expectations of today’s connected shoppers through Alexa – available on hundreds of millions of Alexa-enabled devices. Our 2019 Connected Commerce study shows that only slightly more than half of respondents (52%) were satisfied with the ability of brands today to offer a seamless and continuous shopping experience across channels7. By embracing voice commerce, today’s merchants can take convenience to the next level, exceeding customer’s expectations in an age where personalized, seamless experiences are what make the difference. With Amazon Pay’s new BuyerID functionality helps businesses assign a unique, persistent identifier for each Amazon Pay customer so that individual channel activities can be clearly connected and customers can seamlessly move from one channel to another.
4. Help improve sales
Amazon Pay helps enable merchants to boost revenue by converting valuable Amazon customers. Providing your customers with trusted, convenient experience, and one familiar login to identify themselves can help increase conversions & lower cart abandonments8. For example, AllSaints reported experiencing a 34% higher conversion rate, 15% higher order values, and a 70 second reduction in checkout time after implementing Amazon Pay.
“Customers recognize the Amazon name, which makes them feel more comfortable making purchases on our site,” says Osher Karnowski, General Manager, Jomashop
Amazon Pay reduces the number of clicks and customer inputs during the checkout by at least 75%. In the end, the less friction we have, the less chance of cart abandonment.
- Bryant Garvin, Marketing Director, Purple
5. Minimize costs
Amazon Pay can reduce the costs for merchants and their customers. Merchants avoid setup costs, monthly fees and Amazon’s fraud detection and prevention technology helps reduce the risk of bad debt. Meanwhile, customers feel more confident knowing their purchases are protected by Amazon A-to-z Guarantee at no additional cost. For example, Toner Buzz, an online merchant in the office equipment space, saved 744 person-hours in time spent on detecting fraudulent transactions in the 7 months post Amazon Pay adoption.
Every day, we get questions like ‘How can I trust you?’ and ‘How can I trust the watches you sell?’ Working with a company like Amazon really helps us build trust with our customers.
- Berj Kacherian, President, AuthenticWatches.com
Learn more about how Amazon Pay works.
1 Amazon data, 2020.
2 Amazon Pay data, Q4 2017. Tens of millions of customers in more than 170 countries have used Amazon Pay to transact.
3 For two years in a row, The Values Institute ranked Amazon as the top most-trusted brand in retail in 2018. Also, in brand rankings from BrandZ by Kantar Millward Brown and Best Global Brand 2019 by Interbrand, Amazon is rated as the top most-valuable brand.
4 Consumer Net Promoter Score (NPS) Surveys: Conducted by Amazon Pay in 2019 among US, UK, DE, FR, IT, and ES consumers who had used Amazon Pay in the first 12 months preceding to the survey launch date.
5 Average online shopping cart abandonment rate worldwide from 2006 to 2019, Baymard Institute, Sept. 2019
6 Mobile Checkout Optimization: 10 Ways to Retain Mobile Shoppers in the Checkout Process, Baymard Institute, June 2019
7 Amazon Pay Global Connected Commerce Survey, 2019, N=10,297 (US, UK, FR, DE, ES, IT, IN, JP)
8 Purple reported increased conversions of 76%. Soak&Sleep reported reduced cart abandonments of 67%.