The Fresnel Companies portfolio companies Tring Live Media and Digital Latitude Solutions analyze the data of consumer behavior, while fintech payment and transaction startups Emergent International Payments Systems and Torus Global are approaching the consumer-behavior model from a different angle—taking the pinch points out of the payment process. A Swedish online payments firm recently surveyed 2,000 shoppers in the UK to track their behaviors. On average these customers abandoned an online purchase 1.27 times per week. What they found were three “pinch points” where the customers abandoned the sale. Here are the problem spots, according to the survey:
- Delivery options are too slow or too expensive for most shoppers. It seems that shipping costs act as sort of an anti-bargain feature in the minds of many.
- The bother of dealing with account details. Yes, even pulling a card out of a wallet is too much work for some shoppers. 23 percent of shoppers said checkout speed is a factor. 27 percent left a purchase because their login username and password were forgotten. And 26 percent bagged on their shopping bag because keying in card details was too much of a hassle.
- Safety of purchasing. Key to the transaction are the retailer’s reputation, both as a secure transaction partner, and also, in the age of COVID-19, the promise of contactless delivery (keep in mind the survey was conducted in March 2020).
The Fresnel Companies portfolio companies address these factors in their own unique and creative ways:
- Tring Live Media creates an environment where customers feel special and empowered, with deals and savings tailored to their needs. Also brick-and-mortar has the advantage of in-person shopping, without shipping costs and login challenges.
- Digital Latitude Solutions helps companies and retailers tailor and streamline their operations to encounter real customers and keep them. Real customers don’t abandon purchases at the smallest hurdle, even during the pandemic.
- Emergent International Payment Systems is opening a whole new world of payments to whole populations, and doing it in a way that the trust and safety of the transaction is secure, not only in reality, but in the mind of the customer.
- Torus Global, with its Torus Rails universal transaction infrastructure, allows fintech companies to circumvent age-old and incompatible transaction systems to ensure payment happens quickly and easily.
Stay tuned for additional news and read more about the survey report in FinTech Magazine here.