Top 5 reasons online payments fail
Online and mobile payments are driving commerce without borders, and consumers expect a frictionless buying experience. But 15 percent of online payment authorization attempts are declined,1 leaving eCommerce merchants like you with a perplexing problem: how do you capture online sales without losing money on payments that fail to process?
To help ensure your eCommerce business is poised for success, take the time to review your current payment strategy and make necessary adjustments to reduce declined transactions. Following are the top five reasons online payments fail, and suggestions for addressing those challenges.
- Recurring transactions lose continuity.
- Valid payments are declined for reasons that are difficult to discern.
- An overly aggressive fraud filter negates legitimate transactions.
- Consumers abandon their cart because they don’t trust the checkout page.
- Mass card reissuance due to disruptive industry events damage continuity.
What to do: Update your payment processing system with a solution that will work overtime to ensure recurring transactions are using the most up-to-date card information and your services aren’t interrupted.
What to do: Use your payments data to view issuer performance, and find opportunities to increase efficiency, boost approval rates, and optimize customer lifetime value.
What to do: Consider revisiting your fraud detection strategies while working in tandem with your payments processor to strike the right balance.
What to do: Update your online user experience to make it a smooth process for your customer. And, ask your payments processor if they have solutions, such as digital wallets, that convey a higher degree of security.
What to do: Turn to your payments provider to help detect when a large number of accounts are reissued, and ask for assistance in a smooth transition during this unexpected change.
Payments are the common thread that ties together the success of your eCommerce business, and now’s the time to tailor your payments solutions to meet the demands of your customers.
1 15% of the 2017 eCommerce sales: $394B (U.S. Dept. of Commerce)