High upfront costs continue to be a big reason why many customers, when shopping online, don’t go ahead with their planned purchase. They are deterred by the lack of credit accessibility and flexible payment options like EMI, Paylater, etc. which, in turn, stops them from making the purchase.
In our bid to address this gap and empower businesses to offer more flexible payment options, we are proud to announce that Razorpay is the first payment gateway to launch the Affordability Widget making high value orders a lot more affordable for customers and helps businesses boost revenue by 40% with higher customer conversion. By increasing the discoverability of the offers that apply to them, EMIs and PayLater payment options on the product page early on in the shopping journey, business now can reduce the number of customer drop offs.
Having access to credit makes high value purchases a lot easier for most customers and helps businesses sell more. Industry data highlights how 70% of the shoppers in between 25-44 years prefer Buy Now Pay Later (BNPL) payment options when shopping online.
Having such options reduces the number of customers who drop off from the product page, abandon their carts, and helps boost overall sales and customer satisfaction for businesses.
The Affordability Widget, an innovative product offering exclusive to Razorpay, makes it extremely easy for businesses to showcase affordable payment options and offers on pre-checkout stages. This is a benefit for businesses and customers alike, enabling businesses to sell more and customers to make purchases with ease.
How does the Affordability Widget help businesses boost revenue?
Razorpay’s Affordability Widget is powered by India’s most powerful Affordability Suite which helps businesses to grow their revenue by offering industry leading coverage with 40+ banks and providers for EMIs & PayLater to encourage more purchases from their customers. The widget helps businesses optimise customer conversions at every stage of their buyer’s journey and has helped businesses to grow revenue by 40%.
For businesses Razorpay’s Affordability Widget lets them:
- Provide upfront visibility of EMIs, PayLater and offers: Customers shy away from completing the purchase when the upfront costs are high. Razorpay’s Affordability widget lets you showcase all the payment options such as EMIs, BNPL, offers on the product page, so that customers can make informed decisions on what payment methods work best for them
- Boost average order value : Inform customers right at the start of the shopper’s journey regarding cardless EMI & PayLater options to make credit a seamless experience. This helps customers buy what they really desire and in turn helps businesses boost revenue.
- Showcase offers to boost customer retention: Highlight the best offers, discounts and cashbacks. With Razorpay’s exclusive partnerships, businesses can enable sponsored and co-financed offers on product and checkout pages and boost customer retention and make customers shop again on their website.
- Offer superior browsing experience to your customers : Razorpay’s affordability widget is highly customizable as it highlights the preferred payment options and offers, changing the colour and font size to match the look and feel of brands. The widget automatically calculates and displays EMI plans and No-cost EMI based on the product price. With the soon to be launched, improved functionality of Pre-eligibility Checks your customers will only be shown eligible EMI and PayLater payment options at checkout.
What impact has the business observed with Affordable payment options?
Enabling discovery of affordable payment options (EMIs, paylater, offers) before checkout with a simple, unified and seamless integration and highlighting affordable payment options, lucrative offers before checkout has helped businesses increase sales.
These industry-first features have had a significant impact on the way customers shop and with brands like Chumbak, Livpure, Borosil, Duroflex, Zebrs etc. seeing a significant boost in revenue and average order value.
In general, Razorpay’s Affordability widget has helped businesses substantially increase their sales by highlighting affordable payment options to their customers. We’ve seen:
- 40% boost in business revenue
- 45% increase in the average order size
- 38% higher customer retention
Ready to get started with Razorpay’s Affordability Widget?
Signing up for Razorpay’s Affordability Suite and getting the widget and affordable payment options up and running on your website is an extremely quick and easy process. You can embed the widget on product display pages
In addition, we have also launched quick and easy integrations for your store on platforms like Woocommerce and Shopify, further simplifying the integration process and making it even easier to be a part of this game changer.
How does the Affordability Suite change the e-commerce landscape?
Razorpay’s Affordability Suite and innovations like the Affordability Widget are making great strides in the way customers shop and businesses do business.
Today e-commerce websites have an overall conversion rate of 2-3%, where more than 79% of customers drop off from the product details page, because of high upfront costs. Game changing solutions like the Affordability Widget helps businesses prevent these revenue leakages and boost revenue with higher conversion.
Commenting on the launch, Khilan Haria, SVP & Head of Payments Product – Razorpay, said,
“Given that only 5% of individuals have access to credit cards in India, there is a very substantial need to empower customers with more flexible and affordable payment options so they can buy what they need when they want. While affordable payment options already exist, cart abandonment problem still persists causing businesses to lose over 30% in sales revenue annually, we want to solve that and help end-consumers discover payment options early on in their shopping journey and help aid in decision-making. And the launch of the Affordability Widget is yet another step by Razorpay towards building a customer-first solution that will attract high-volume sales for businesses effortlessly. Now, online businesses can significantly influence and enable affordability for their customers in more ways than one.”
The Affordability Widget powered by the Affordability Suite has been extremely successful, with customer conversions and in increasing the average order value. With the e-commerce space expected to grow twice its size in the coming few years there is a lot of potential for businesses to grow while continuing to be customer-centric and offering the most suited payment options for their customers. As India gears up for a plethora of sales and festivals in 2023, the Affordability Widget will be a substantial benefit for both businesses and customers alike.