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Integrating a "Buy Now Pay Later" solution into your supply chain: 5 keys to success

Integrating a "Buy Now Pay Later" solution into your supply chain: 5 keys to success

Temps de lecture : 5 minutes

BNPL ("Buy Now Pay Later") is a growing trend in e-commerce. As the name suggests, it's a financing model that allows customers to pay later, or in instalments (split payment). A much-appreciated flexibility! Of course, to ensure that this is risk-free for the merchant, any outstanding payments are covered by the solution provider, whether a bank or a platform like Hero. Would you like to integrate a BNPL solution into your purchasing process? Here are 5 key elements to implement to guarantee the success of this advantage.

1. Integrate the offer visibly into your website buyflow

More than just a payment facility, BNPL is a real selling point, which can convince a number of hesitant customers. So, to boost your conversion rate, it's important to integrate it visibly into your purchase tunnel.

For example, right from the product page, it might be a good idea to clearly display the option of deferred payment. Of course, with this type of offer, transparency is essential, and the principle of deferred payment must be clearly explained. In particular, be sure to mention that deferred payment is a form of financing, and that it involves the customer's responsibility.

2. Set up a clear, transparent path to guide the user

The BNPL is a slightly different process from a traditional purchase. To maximize your conversion rate, you need to make it as simple and ergonomic as possible. For example, to guide the buyer, you can inform them of the various elements they need to bring to complete the process: identification, bank details...

This is particularly true for courses that include a Open Banking a technology that allows access to customers' banking data (with their consent, of course). L' Open Banking which helps to anticipate the risk of fraud and overindebtedness, still elicits reservations on the part of customers; it must therefore be explained in detail, particularly with regard to the processing of personal data, which is still in compliance with the RGPD(General Data Protection Regulation).

3. Partner with experts in payment solutions

To offer the end customer an optimal experience that is both reassuring and attractive, the best thing to do is to partner with e-commerce and deferred payment experts.

In fact, setting up an effective purchasing path often requires a great deal of preparation and fine-tuning. A/B testing . Another important point, which requires a high level of expertise, is the collection and analysis of purchase tunnel data.

4. Propose an instant award decision

Fluidity and speed are key issues in e-commerce. Anything that delays or complicates the buying process can potentially cost you customers. In the case of BNPL, it's especially at the level of the granting decision that the problem can arise, for long credits (i.e. over 90 days).

In order to get around this obstacle, and offer an instantaneous grant decision, the solution still lies in the Open Banking . Thanks to the sharing of banking data, the customer's creditworthiness is instantly assessed, enabling the transaction to be closed quickly, with no risk of fraud or non-payment.

Open Banking _solves a number of issues raised by BNPL, both for the merchant and the customer. By finely analyzing buyers' repayment capacity, this technology reinforces financial inclusion and prevents over-indebtedness, while providing security for sellers.

5. Choose the right financial partner

Finally, the key to success for new BNPL merchants is to integrate the right financial partner. The way in which the solution is integrated into the purchasing process needs to be well thought out upstream, to ensure that the process is as smooth and straightforward as possible.

Whether the chosen partner is a banking institution or a deferred payment solution like Hero, the aim is to make the customer understand that this is indeed a financing application, and to be transparent about the use of their data by third parties.

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Écrit par

Valentin Orru

Head of growth