65% of Retailers Cite Conversion Optimization because the # 1 Ecommerce Problem
Mollie reveals state of funds in retail in Europe
Amsterdam and London, March 11, 2021 – Mollie, one of many quickest rising fee service suppliers in Europe, launched a examine uncovering the state of funds in retail immediately in addition to the challenges and alternatives within the retail market after an eventful 12 months.
The outcomes, based mostly on responses from 2,500 European retailers, could be considered in full on this report: https://www.mollie.com/en/papers/growth-trends-whitepaper-mindset and in addition spotlight the challenges retailers face in e-commerce environments.
For instance, when requested concerning the largest challenges in on-line retailing, 65% of shops cited changing patrons to purchasing, 43% famous excessive prices for delivery suppliers or fee and 41% selected low margins. And for a 3rd of on-line retailers (34%), cart abandonment is the largest problem with 30% reporting that 6-10% of carts have been deserted.
Main extra findings embrace:
- Merchants within the EU and UK depend on a mess of channels to promote: As brick-and-mortar shops closed, the online grew to become rather more vital. Particularly, 46% of all income now comes from a web-based retailer. And on common, 37% of gross sales are made by means of third-party markets resembling Amazon. Lastly, as much as 16% of annual revenue now comes from social media platforms like Instagram.
- Two-thirds of shops had revenues affected by the pandemic: The pandemic has had each a constructive and a damaging impact on retail gross sales. 23% of retailers noticed their gross sales improve final 12 months. Conversely, 29% noticed no change or noticed their gross sales decline considerably. And 17% noticed their gross sales lower considerably. Amongst those that reported a rise, incomes elevated by a mean of 29%. The typical drop in revenue was 27%.
- Issues with the checkout course of can damage gross sales and development: 31% stated a difficulty with the fee service provided or the vary of fee service choices offered was the explanation for cart abandonment. 41% cited the dearth of innovation in fee techniques as a brake on development.
- ‘Purchase now, pay later ‘now provided by over a fifth of shops: Whereas many shoppers are on the lookout for extra versatile fee strategies throughout the pandemic, 22% of shops at the moment are providing “purchase now, pay later” or Apple Pay fee strategies. And 20% supply Google Pay. That determine is anticipated to develop, with 31% trying to enhance their fee techniques to extend their on-line revenue over the subsequent 12 months.
“The retail sector has had a troublesome 12 months and that is mirrored within the outcomes which reveal a mess of challenges and areas for improvement,” stated Josh Guthrie, UK Nation Director at Mollie. “Whereas the market additionally accepts the Brexit deal, the flexibility to adapt and develop underneath stress is paramount. To climate the storm, retailers are neatly trying to supply shoppers a wider vary of fee choices to enhance the checkout expertise and scale back cart abandonment. By embracing this digital innovation, retailers may help drive development and make 2021 a greater 12 months for gross sales and income than the final. ”
The survey was commissioned by Mollie and undertaken by Coleman Parkes. Fieldwork was accomplished in October 2020. The pattern was 2,500 merchants in 5 European nations – 500 from Belgium, France, Germany, the Netherlands and the UK. In every of those nations, 100 have been from every of the next industries: Grocery / FMCG, Hospitality / Meals Supply, Dwelling / Leisure / Way of life, Clothes & Attire, and Client Electronics. Throughout Europe, 500 merchants have been surveyed in every sector.
Mollie is a pioneer within the fee business. The corporate can also be one of many quickest rising fee processors in Europe. Mollie helps companies of all sizes scale and develop utilizing completely different fee strategies. With the assistance of a easy and clear fee API, Mollie can supply a number of fee strategies uniformly. Mollie is right here to simplify complicated monetary companies. At this level, Mollie has over 110,000 prospects in Europe and her mission is to turn into Europe’s most beloved PSP. Mollie includes a global workforce of greater than 350 professionals, is headquartered in Amsterdam and places of work in 4 different areas throughout Europe.
For extra info: www.mollie.com
Richard Fogg / Elvina Soogun
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