Pay with Amazon. Are these words now going to rival Pay with Paypal or Pay with Apple? I think so – for Amazon and their 285m users to enter payments is a significant event. Amazon has shown through their growth that making the experience as simple and user-friendly as possible is critical to driving sales and basket-value.
Literally one-click, in many cases, and you are done.
That plays very much towards the time-poor but digital-savvy age we live in today. This news is not good news for other payment providers in my view. Amazon has ticked the box for user-experience and has developed a position of trust that your card details are stored securely in their systems. Being able to utilise the same system to pay for items at other merchant sites could see a rapid increase in Amazon-checkout related sales – to the detriment of other providers.
I remember years ago when Paypal was little known and simply the obvious payment option you used if you were an eBay member. Then they made it easier to integrate Paypal into non-ebay merchant sites. All of a sudden you did not have re-enter your Paypal details on a non-eBay site – and global research has shown that customers find it tiresome and off putting if forced to re-enter card details – particularly when in a rush. If customers can take their Amazon experience with them, I foresee many merchants considering or eventually being forced to consider offering this payment option.
It sounds dramatic, but customers just want things to work simply and efficiently. If you give them a choice to choose a payment option they are already used to and that saves time, then why wouldn’t you?
Time will tell, but I suspect the Amazon payment effect could well be another positive disruption for the ecommerce space.
What do you think about Amazon entering the payments market? Leave a comment here or get in touch via my LinkedIn.
Photo by Sindy licensed under Creative Commons.