How Do International Payment Gateways Improve Customer Retention Through One-Click Payment?
One-click payments are popular nowadays because they offer convenience and facilitate speedy payments for buyers. Also, they are handy for consumers as well as merchants. Specifically, for the high-risk merchants that have to process a massive amount of money in millions and billions every day, one-click payment is a savior. It makes payments happen in a predictable atmosphere without many formalities required. Multinational businesses always want their international payment gateways to install a one-click payment system to support faster business growth. Here in this blog, we will know the nook and cranny of this payment system to understand why it is so significant for merchants today.
What Is a One-Click Payment?
A payment system that allows customers to pay for a product or service through just one button or click is known as a one-click payment.
How Does One-Click Payment Work?
When a customer makes a payment, he has the option to save his card details on the merchant’s website or app. Next time he makes a purchase, he does not need to enter his card details again, and he needs to click on the ‘pay’ option; Through the recorded card details, money is automatically deducted from the buyer’s account. One-click payment is also termed as the card-on-file transaction that the customer initiates. The information saved on the website is tokenized, and every time the buyer makes a payment, money can be deducted without additional authentication. The card information is protected by the acquiring bank and not the merchant. The bank processes the transaction through a valid token when the merchant requests.
What Does a Merchant Need To Accept One-Click Payments?
A merchant has three basic requirements to start accepting one-click payments through an international payment gateway. It should not be difficult for a merchant to arrange these three things because most high-risk merchants already know the necessary factors to accept one-click payments.
- PCI-DSS Level 1 certified payment gateway
- Strong fraud prevention system
- Powerful and flexible API to install the payment system
How Is The Security of Customers’ Financial Details Assured In One-Click Payments?
Tokenization is the essential technique used to secure a customer’s saved card details. A complete infrastructure works behind it because tokenization, acquiring banks, and payment solution provider have significant roles in the process. Whether a merchant gets the services of a payment gateway provider in the U.K., the U.S., Australia, or anywhere else, the included formalities are similar.
You should know that only the acquiring bank and the payment gateway can access the card details. The merchant does not have any reach to the financial detail of the customers. The card details are tokenized; after that, when a customer makes a payment, the security check happens in two ways. 1) The tokenized information is sent to the acquirer through the payment gateway. The bank matches the details with the secured card information. When the information matches, acquiring bank initiates the payment. 2) The tokenized information is verified by the payment gateway only, and it directly informs the acquiring bank to make the payment.
How Does One-Click Payment Help Merchants Retain Customers?
As you must have understood that one-click payments are pretty speedy, effective, and convenient, it is best to know more benefits it offers for high-risk merchants. Retaining customers is extremely important for business owners. As you know, the one-click payment depends on acquiring a bank and payment gateway. It is the reason that people keep looking for an efficient high-risk payment gateway with a PCI-DSS level 1 certificate.
Customers pay conveniently in a predictable atmosphere because they know that once they have filled in their card details, it is unnecessary to repeat the process. Every time they make a purchase, they have to make one click, and the payment will happen in a few seconds. Speed is the strength of one-click payments because buyers need not waste one second on tedious formality. The checkout is so smooth.
Boost sales and attract prospective customers because you know that you have settled the proper payment process as a merchant. Buyers today who keep complaining about busy life and has less time to waste on payment procedures are sure to love this payment system. The existing customers will remain with you, and the new ones will indeed get attracted to your products. Remember that word-of-mouth publicity by the current customers is the best marketing tool.
Tokenization protects sensitive data, which seems like a great deal. High-risk merchants always worry about the security of their customer’s precious credit card data. If the information gets into the hands of a hacker, the merchant may get into legal complications for not protecting the buyers. Tokenization turns the data into codes, and only the payment gateway and the acquirer can access the information. It’s an intelligent technology that all the payment gateway in the UK, Ireland, U.S., etc., confuse the hackers and tricky minds who try to infringe the data.
Reduce cart abandonment because when the buyers do not have to bring out their credit card every time while making a payment, they will love to complete the purchase. It is annoying for the customers to get up from their place and bring their credit cards to fill in the details. This annoyance makes many people leave the purchase incomplete. People add products to the cart but leave them without buying them. But this rarely happens with one-click payments, and the buyers buy the things. It is the reason that e-commerce merchants find card-on-file payments a dependable option.
Merchants can offer discounts and deals during the festive season, and with a convenient payment system, most customers will buy products. As a result, merchants can earn a lot during the festive season. Imagine an IPTV merchant offering a 30% discount five days before Christmas on subscription packages. Will he be able to get ample customers if the checkout process is lengthy and tedious? No, but the prospective buyers more than double in number may rush to get the deal.
Robust chargeback management is another benefit that comes naturally with card-on-file payments. When customers happen and assured about safe transactions, they will ask less for money back. Besides, robust fraud detection tools can detect those who commit friendly fraud. Chargeback is one of the most significant issues for high-risk merchants. But the global payment gateway, along with the acquiring bank, facilitates one-click payments and improves customer retainment.
Conclusion
Merchants get so much power to control the business efficiently with one-click payments. They are sure about the most complicated thing, which is the payment system. With less or no worry about the issues like customer retainment, card abandonment, chargeback, etc., it becomes so smooth to run a business. All miracle happens due to one thing, card-on-file payments. Are you also looking forward to working on this payment system? First of all, find a suitable payment gateway. Eskaypay international payment gateway will first connect you to the right acquiring bank. Then both will set the right one-click payment gateway.
