There is no doubt that the quality of ecommerce service retailers provide has a huge influence on purchase decisions, which is why Sage Pay’s Token System is so interesting. Whilst this isn’t a new service – it’s actually been possible for a number of years – Sage Pay’s Token System can help to make the online checkout process easier than ever.
The Token system is essentially a ‘single click’ checkout. It makes it quicker for customers to check out, and makes it safer too. Token payments work by giving the customer the option to store their credit card details and recall them at a later date. If a customer chooses to do this, Sage Pay encrypts the card data as a secure ‘Token’. When the customer returns to that retailer’s website, Sage Pay simply recalls the data and the customer can make a purchase with a single click.
The Token system improves payment security as card details can be retained without ever being physically stored, which reduces the retailer’s PCI compliance requirements. The system can be easily integrated with an existing checkout system and customer details can be held in ‘Token’ form for as little as 2p a month.
Advancements in payments technology (like the Token system) can open a world of possibilities to retailers. This technology can allow express payments, one-click-purchases and subscription buys so that consumers can order from you without ever having to re-enter credit card details. There are many items that could benefit from subscription payments… If your customers are pet owners in charge of buying pet food then why not facilitate subscriptions for them to automatically reorder weekly? Selling to musicians? A subscription order for guitar strings or mouthpiece reeds would be a very popular feature. Similarly, businesses would benefit from subscribed stationery orders for printer paper and ink.
Anything a retailer can do to improve the shopping experience for their customers will be well received. Natalia Radcliffe-Brine, Channel Marketing Manager for Sage Pay, told Red Hot Penny ‘From recent research we have found that not only does the Sage Pay Token System encourage a higher conversion rate but, as a secure payment service, the system also helps businesses to cut down on PCI DSS costs. We found that 50% of survey respondents saved up to £500 a year on compliance and a further 25% had saved between £5,000 and £10,000.’
As well as reducing compliance costs, refining the checkout process can have a big impact on sales, so it really is worth considering whether your business would benefit from these payment improvements.