Part of my job at Something Digital is to play the role of a “trend spotter” – and in ecommerce we have no shortage of trends! From on-site search providers like Instant Search Plus who are breaking new ground in speed and self-service, to Narvar, a post-transactional customer service portal; there are as many new tools and providers as there are stars in the sky.
So I sat up and took notice when Shopify reported recently that their system-wide rollout of Apple Pay was a huge success. In a November article on Internet Retailer’s website the ecommerce platform Shopify reported explosive growth for merchants utilizing Apple Pay:
Additionally, “tens of thousands” of Shopify’s merchants now offer Apple Pay for checkout. Web stores supporting Apple Pay have experienced an increase of up to 200% in their checkout conversion rate on mobile.
Also mentioned was that checkout times decreased by 60% when utilizing Apple Pay as the payment method for an order. Shopify can recognize success too, as it hosts over 325,000 sites across 120 countries worldwide.
There are very few things in the world of ecommerce that you can call a “silver bullet”. But if there ever was just one weird trick to improving the performance of your online store it would be removing obstacles to conversion – and there are no larger obstacles to conversion than getting people to follow a multi-step checkout process: typing card details, creating an account and remembering passwords. Checkout is the biggest hurdle to converting a shopper into a customer.
Apple Pay helps overcome those hurdles for a customer and allows us to tap into the sense of urgency they may feel when desiring to purchase a product. Apple Pay securely stores your billing and shipping information and various payment methods. It bypasses the shopping cart of your store to allow a one-tap checkout. For Apple devices with TouchID a purchase is as easy as touching your thumb to the home button, and the order is on its way. No passwords, no accounts. Quick, easy, and painless for the consumer.
The rollout of Apple Pay on the web is happening faster than its brick-and-mortar counterpart. Apple announced the release in October and already is boasting volume growth of nearly 500% year-over-year. Part of that success can be attributed to the ability to mimic impulse purchases across the web – no need for an account, and no need to enter checkout details. Impulse purchases are the last frontier for retailers mimicking real-world retail experiences in the digital space.
My prediction is that Apple’s market share will continue to grow in 2017. Apple already owns 75% of all contactless payments in the U.S. and that number is expected to grow with Q1 2017 earnings call. After all, Apple has nearly a 2-year lead on its next-closest competitors, Android and Samsung.
A smart retailer positions themselves to be ready for a trend when it hits, and Apple Pay for the web is about to hit BIG. If you’re on Shopify or Shopify PLUS today you already have access to enable Apple Pay. If you’re on Magento 1 or Magento 2 there are a couple of modules that Something Digital can install to help you get up and running in no time. SD can also help you with a digital marketing strategy around payments to alleviate other customer concerns like security and trust.
Contact SD today for a free strategy session about your 2017 ecommerce roadmap and how Apple Pay can work for you!