Unique Selling Point in Online Retail

Every online shop has one or more USPs. Whether it's the special expert knowledge about the products offered, diverse payment options, or free shipping and returns - the Unique Selling Points should be prominently displayed in the shop.

PayPal Offers Installment Payment in Online Retail

Especially for price-intensive purchases such as furniture, luxury jewelry and watches, or simply higher shopping carts, many customers hesitate to click the buy button. Through staggered payment over several months, buyers now achieve additional financial flexibility. Installment payment is making its way into the world of e-commerce through PayPal. The entire payment process works online. The customer submits the installment payment application directly in the online shop, without needing a PayPal account. For a real-time credit check, the customer's data such as name, address, bank details, and date of birth are required. Once the installment payment is approved, the amounts are automatically debited from the account monthly. Special repayments or early full repayment are also possible at any time.

Full Shopping Carts, Higher Revenue, Satisfied Customers

For online retailers, payment by installments is a blessing, as the hurdle of immediate payment is removed for the customer. This way, they opt for a higher order volume and thus generate full shopping carts and more completed purchases. Nevertheless, retailers do not have to forgo security in payment and liquidity. For this, they receive the full purchase amount (minus PayPal fees) all at once and can initiate the shipment of goods immediately. The payment service provider handles the payment collection and risk management.

In addition, the integration of installment payment into the online shop should succeed without further problems, as it builds on the already existing PayPal integration.

Why USPs in Online Shops Are So Important

published on 20.11.2015

As an online retailer, it's not easy to differentiate yourself from your competition and thereby win customers. The range of shops with the same assortment and even cheaper prices seems too large. So how can I distinguish myself from my competitors? In previous blog posts, we have already given some tips on this. There are, for example, the detailed product descriptions, outstanding customer service, versatile payment options, a legally secure and simple checkout, or the informative product detail pages.

Further factors for optimizing an online shop are the so-called USPs (Unique Selling Point or Unique Selling Proposition), i.e. the unique features and "unique selling promises" that distinguish the shop from others. The USPs make the online shop competitive, increase the recognition value of the brand and the shop, boost the customer's trust in the shop, and last but not least, they occasionally provide a good basis for storytelling.

How Do I Identify My USPs?

But what exactly are USPs? First and foremost, they are clearly, concretely, and concisely formulated; they should always be relevant and convincing. And one thing should also be absolutely clear: USPs must always be verifiable and truthful. If they are also individual, you achieve the greatest benefit. Of course, it is difficult to be unique with shipping costs and the right of withdrawal. But surely every online shop operator can find a feature of their shop that distinguishes it from others.

Finding these is not difficult if you ask yourself some questions about your shop. What advantages does the customer have if they order from me? Do I perhaps have a particularly current and large assortment? Do I offer free shipping or returns? Am I an expert in my field? What do customers only find in this shop? Do I offer a free service hotline, a live chat, or WhatsApp consultation? Surely some catchy USPs can be created from the answers to these questions.

The Best Place for USPs

Now the best USPs are useless if the customer can't see them anywhere. Therefore, it is of particular importance to also place them prominently. The best place is in the header area, so that the advantages are visible in the upper part of every shop page. They are also useful on landing pages and product pages. Likewise, they should always be present, so the customer is always aware of the advantages they have, but they should never appear intrusive.

Checklist for Shop Operators

• Analyze your own shop and the competition
• derive USPs from this
• formulate USPs concisely
• place USPs prominently
• showcase USPs aesthetically

Checkout Please – Why Versatile Payment Options Are So Important in Online Retail

published on 16.10.2015

Already in past blog posts, we have pointed out that abandonments very often occur during the purchase process in the online shop. This can have many reasons. Perhaps the check-out process is too complicated, or the customer decides against the purchase due to an excessively high final sum. Another reason for order abandonment can also be the payment methods issue.

Shopping on the internet is subject to constant change. Many consumers no longer sit at the desk in front of the computer, but comfortably on the sofa with a tablet or with a smartphone in their favorite café.

Shopping and paying in the online shop should be designed to be as comfortable as the ambiance. For the user, the shopping experience is rounded off with a fast ordering process tailored to their needs.

The Mix Makes the Difference – Many Payment Methods Increase Willingness to Buy

Particularly important here are the payment methods offered, which are made available to the buyer. Users decide to make a purchase more often when they are offered the payment option that appeals to them most. Not only is ease of use and familiarity with the payment method decisive, but also the situation and the product.

If the customer orders clothing, for example, which they naturally want to try on first, they tend more toward the "invoice" payment method. In almost half of these purchases, the return is already planned. For high-priced items, which generally must be paid for in advance, buyers often opt for payment by credit card.

If the user shops on mobile via smartphone or tablet, PayPal is the most common payment method. Payment via PayPal is the second most popular payment option after invoice.

What Is Common and Reasonable?

A combination of the most popular payment methods represents the best opportunity for the online retailer to win customers. 89% of those surveyed in the current study by ECC Cologne state that it is important to them to find their preferred payment method available.

According to case law, at least one of the offered payment methods must be free of charge. This must also be assessed as common and reasonable. If the direct bank transfer is designated as the only free payment method, this is not permissible, as it is not considered common and reasonable.

Cash payment and EC card (certainly more difficult to implement in online business), bank transfer, direct debit, and credit cards (only under certain conditions) are such approved payment methods.

By the way, in the ruling of the Frankfurt Regional Court, which forms the basis for these restrictions, the PayPal payment method was, for inexplicable reasons, not taken into account.