PayPal checkout helps fashion retailers to fulfill their customers’ desire for flexibility when shopping online and to be one step ahead in terms of payment options for shopping trends such as mobile and social commerce. In addition, fashion retailers can use the complete solution from PayPal to optimize the checkout for their customers, expand their customer base and increase their sales.
Retail is currently facing a variety of challenges: the consequences of the pandemic, disrupted supply chains and the war in Ukraine are creating uncertainty in global markets. Add to that the rapidly rising inflation and a worsening energy and cost of living crisis – fashion retailers are currently confronted with the most difficult business environment in decades.
Consumers are therefore much more careful and selective when it comes to where and how they shop. In this environment, it is particularly difficult for small and medium-sized fashion retail companies to assert themselves in a highly competitive and crowded retail landscape in which every shop is fighting for customers whose demands must be met. Great products, a good online presence and ideal customer service that responds to the needs of customers and makes the shopping experience pleasant, easy and above all safe are often difficult to reconcile.
Mobile and social commerce on the rise
With the financial burdens on consumers, it is important right now to know and meet their needs. Younger consumers in particular value flexibility above all else; This applies to the way they shop, the place where they shop and the payment options. They expect convenience and easy transactions no matter where or how they shop. Not surprisingly, mobile and social commerce is on the rise among Millennials and Gen Z. According to the 2022 Borderless Commerce Report commissioned by PayPal, international mobile commerce will grow at an average annual rate of 14.9% through 2024, even overtaking overall e-commerce growth. In Germany, a whopping 42% of those surveyed state that they already prefer to shop via their mobile phone, and a quarter of all shoppers buy directly via their social media platforms.
In the age of instant gratification, where decisions are influenced by influencer marketing, online communities, and peer reviews, platforms like Instagram, TikTok, Pinterest, and Facebook are powerful channels where the transition from casual browsing to purchasing is almost seamless is. This makes social media channels an important contact option for fashion retailers, with which they can draw customers’ attention to their shop.
It is therefore extremely important that small and medium-sized fashion companies are present on exactly the platforms that their customers visit. However, it is not easy to keep up with fast-moving trends and the ever-changing shopping behavior of customers. Small and medium-sized fashion retailers have to keep up with the smooth and polished online presence of the big fashion chains, although they don’t have the same resources to streamline their e-commerce operations. This applies in particular to the flexibility in terms of payment options.
Customers expect flexibility when paying
This is where PayPal helps to level the playing field. As a new all-in-one solution for online trading, PayPal Checkout offers small and medium-sized fashion retailers everything they need to successfully process their sales across multiple channels. PayPal Checkout supports fashion retailers in increasing the conversion rates of their online shop and making their business safe for the future thanks to the latest technology.
PayPal Checkout offers customers multiple payment options to meet their need for flexibility in the checkout process – including the increasingly popular installment and pay in 30 days options. Retailers can use the “Pay later” button to refer to these flexible payment options and thus increase the attractiveness of their shop. PayPal Checkout also offers a solution for purchasing on account. Advantage: Buyers can check the items at their leisure before they pay the amount or, if they “pay after 30 days”, it can be conveniently debited from their account by direct debit – retailers will always receive their money immediately. A win-win situation for both.
The flexible payment options are supplemented by a number of common payment options such as direct debit, credit or debit cards. In addition, PayPal Checkout also allows payments with regionally popular payment solutions and in more than ten national currencies, so that customers can pay in the way they are used to in their region. For small and medium-sized fashion companies in this country, this is the chance to expand their reach beyond their home market and scale their business accordingly. More than 429 million customers worldwide already trust PayPal with their sales and purchases, fashion retailers should not ignore this enormous potential.
Security for retailers and customers
Another crucial factor in online trading is security, both for merchants and customers who do not want to be left hanging when an online payment does not go as expected. Security concerns and a cumbersome checkout process are the most common reasons for checkout abandonment. Frustrated customers who migrate to another website are difficult to win back. Here, too, the PayPal checkout protects, sellers are protected against missing payments thanks to PayPal seller protection. Customers can in turn make use of PayPal buyer protection if something is wrong with the ordered goods. This is one of the decisive advantages of transactions via PayPal – especially in the current economic crisis, in which secure payment processes are more important than ever for sellers and customers alike.
PayPal Checkout makes online trading convenient, fast and secure, on all channels! Fashion companies and their customers both benefit from the all-in-one solution for online trading. In the current uncertain times, PayPal Checkout can help fashion retailers to expand their business potential.