Ten years ago, no one would have believed that it would be possible to transfer money from peers to peers (P2P). Today, it is not just possible, but it is the trend in e-commerce.
With social payments, users can transfer money to each other without using their bank apps or go about with their credit cards. Some major platforms have started to engross this feature for their users. This process has made shopping seamless.
As companies like Google Wallet, Apple pay, Facebook payments, Twitter buy, and many more have embraced social payment as an additional feature for their users, there has been an increase in revenue for e-commerce.
For any ecommerce company in Dubai or anywhere around the world, it is necessary to add a secure and convenient payment method for their customers to safely do their transaction.
Many are still wondering how social payment works? What’s the implication on businesses?
Here’s a summary of how it works and why you must key into the new trend for your business’s profitability.
Social payment services are like transactions done from bank to bank. That is, you link your bank account or credit card to your social media page. Anytime you make a transaction, the platform draws money from your linked bank account and deposits it to the receiver’s linked bank account too.
What should e-commerce expect from this feature in 2021?
- Unending business transactions. That is, you don’t need to worry about carrying your credit card. And in a situation where you misplace or forget to go out with your wallet, you can shop on your social media page easily. Businesses have started to create their version of social payment on their apps. This is a golden opportunity for e-commerce as shopping becomes limitless.
- It fosters business relationships. Yes, the business has always been about relationships. Peers can easily refer business to and also pay on behalf of each other. What matters to you is getting paid for satisfying your customers. Social media users can either buy products on the platforms or from online retailers without having to use their credit cards. They can also buy for their friends and family, thereby boosting sales and revenue.
- It makes it easier to make payments without rigorous transaction activities. Customers are always looking for a way to do transactions without stress. Social payment offers this type of service. The fact that customers don’t need to leave their page and be redirected makes it easier to pay for goods and services without stress or fear of being hacked.
- There is an increase in the overall e-commerce revenue. There are over 2 billion active users on Facebook. Over 500 million active users on LinkedIn. People tend to spend more time on social media these days, especially with the current nationwide lockdown. These statistics will help to boost e-commerce revenue.
There’s a lot to be hopeful for with the advent of social payment. If you are running an e-commerce business, it is advisable to develop an app that incorporates social payment on your website. It allows your visitors to make transactions without having to leave your page.
Also, you tend to keep them on your page and attract them to other products on your platform.
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