A highly big world is there which experiences the rise of cross border eCommerce. It presents unprecedented opportunities for businesses to grow their customer base and expand their online markets. However, the outdated or insufficient online payments and checkout capability are presenting checkout friction. It is keeping many eTailers stay away from the opportunities.
New data further reveals that the global shoppers have come up to expect the equivalent and better features. These features will make it easy to navigate websites. Also, it will complete the purchases when they are browsing abroad.
According to The Cross-Border Merchant Optimization Index, an estimation of 137 eCommerce sites of retail merchants from 6 countries are facing checkout friction.
Companies from 6 various verticals are facing more than 11% more friction than the domestic checkouts.
The study further reveals that the eTailers have managed to keep up their efforts to improve their cross experiences. They have offered better interface personalization and checkout features to address checkout friction to their sites.
In Spite of these improvements, the businesses are still offering a few features for cross-border transactions. Compared to domestic ones these are less in number.
According to this data, the average cross-border index score for eCommerce merchants is much lower than the domestic index score. It marks the drawback of the checkout friction.
This data is also showing that the cost of cross-border e-Commerce purchases is higher than the domestic purchases.
On the other hand, global merchants are charging for an average of 175 or more of these international transactions. This premium is much stronger in the US, where domestic merchants have charged 43% more for cross-border transactions than domestic ones. Hence it is further ramping up the impacts of checkout friction.
The result, on the other hand, is highly different in the shopping experiences for the international and domestic consumers of eCommerce.
During the time of the shopping on the same website, the eTailers tend to charge various prices and checkout features for the transactions of cross-border and domestic ones. It is further intensifying the issue of checkout friction.