Best minds in fintech, minus the buzzwords   

Best minds in fintech, minus the buzzwords

Cart abandonment is an issue that plagues all online businesses. The travel and hospitality sector is no stranger to this problem. Research indicates that more than 95% traffic to a hotel, airline, or a tour packages website drops off without completing the transaction. Though travel is a very high intent purchase, the lengthy marketing funnel, complex search parameters, payment processes, and the massive amount of personalization that is required to complete even one itinerary make it one of the trickiest online businesses.

According to this report by Skift published in 2015, Online Travel Agencies (OTAs) see the worse abandoned cart rates at 89%, followed by the airlines' industry at 79%. Hotels, cruises, and car rental websites see just under 70% abandonment rates.

Now, UI and UX improvements can really up traffic and conversion rates for travel. One of the other ways travel companies can increase conversions is by making the payments process easier for their customers. Goomo - an omnichannel, travel-tech company - was looking for answers to this very question when they found Razorpay Payment Links, and completely overhauled their payment experience.

A better payment interaction for users...

Goomo, which was launched in 2016, had been looking for a scalable payment solution that required low effort and allowed the company to focus on their core products. The product and payment integration, and the issue of pricing were their top-most worries. As a startup, all they wanted was to be able to focus on their core product and rely on the expertise of a tried and trusted partner to help process customer payments.

Word-of-mouth led them to Razorpay. Goomo wanted a low cost, easily accessible payment method, with an easy-to-use, plug-and-play module so they could customize it according to their needs. Razorpay Payment Links suited their needs to a T. Moreover, the Razorpay team worked closely with their team to ensure that making necessary changes (such as adding a time limit for payment, or the name of the executive sending the payment link) was not a task for the folks at Goomo.

The biggest differentiator of the Payment Links product was the integration process. Razorpay Payment Links can be created via the user’s dashboard - all that was needed was for the Goomo team to create login credentials for their telesales executives so that they could start sending the payment links to customers who had dropped off.

...and an incremental 20-22% increase in revenue for Goomo

With Razorpay Payment Links, Goomo’s customer conversions started increasing immediately. It was also easy for their telesales team to connect to customers who had not completed their purchase, share payment links and guide them to complete the booking.

Goomo has been using Razorpay Payment Links since November of 2017, and this single payment method has contributed to about 15% of their total revenue volume month-on-month in that period. Not only that, there has been a 20-22% incremental growth in revenue for Goomo since converting to Payment Links. Besides, Payment link has been predominantly used for holiday bookings, where most of the interaction is offline.

The Goomo team also found it easy to access all reports and statistics from the dashboard; reducing dependencies on other channels.

"Teams across the organization found sending payment links through Razorpay an easy task. Finance could tag every payment made to the sales user, making reconciliations very smooth. Our overall experience using Razorpay Payment Links has been very good."
Dhivya Ravi
AGM Goomo
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