Singles' Day, celebrated on November 11, has quickly grown into the largest shopping day in the world, presenting an enormous revenue opportunity for retailers. Originally a Chinese holiday, Singles' Day has expanded globally, generating over $130 billion in sales annually. With millions of shoppers eagerly awaiting deals, 70% of consumers are expected to participate in Singles' Day shopping this year.
As competition for Singles' Day shoppers intensifies, businesses that prioritize a seamless payment experience will be best positioned to convert consumer interest into sales.
Payments are critical for Singles' Day success
Delivering an exceptional payment experience on Singles' Day has become just as important as offering competitive products. Here are three reasons why:
1. Demand for payment method diversity
Consumers are increasingly diversifying their payment preferences, and businesses that fail to meet these expectations risk losing customers. In China, where digital wallets like Alipay dominate, a lack of payment options can cause friction and prevent sales. Similarly, many global shoppers are gravitating towards alternate payment methods like buy now, pay later (BNPL), which is becoming more popular across different regions.
Retailers must ensure that their digital storefronts offer a variety of payment methods to accommodate different preferences. Especially during events like Singles' Day, when consumer demand and transaction volumes are at their peak. This adaptability is key to driving conversion and maximizing sales even during major shopping events.
2. Cart abandonment issues
The global online cart abandonment rate is around 70%, meaning most shoppers who add items to their cart fail to complete the purchase. For Singles' Day, where every sale counts, this represents a significant loss of potential revenue. A slow or complicated checkout process is one of the primary reasons for cart abandonment.
Streamlining payments and ensuring the process is quick and intuitive is key to reducing lost sales during high-volume shopping events like Singles' Day. By simplifying this critical step, retailers can boost conversion rates and capture more revenue from engaged shoppers.
3. False fraud declines
False declines, where legitimate transactions are incorrectly flagged as fraudulent, can frustrate customers and lead to lost sales. For example, during last year’s Singles' Day, many shoppers reported having their purchases incorrectly declined by major credit card providers. While fraud prevention is crucial, businesses must balance security measures with customer experience to avoid turning away legitimate shoppers.
How payment orchestration can solve these challenges
Payment orchestration is an effective solution to many of the payment challenges retailers face during Singles' Day. It allows businesses to integrate a variety of payment options into a single platform, ensuring that consumers can pay using their preferred methods. This creates a smoother checkout process—crucial when shoppers expect speed and efficiency on Singles' Day.
But payment orchestration goes beyond the checkout experience, providing benefits throughout the entire payment lifecycle.
The Dynamic Routing effect
Payment orchestration boosts approval rates by automatically rerouting failed transactions to alternate payment providers. For example, if a credit card transaction fails with one provider, dynamic routing will try another, increasing the chances of a successful payment. This not only improves customer satisfaction but also helps retailers recover sales that would otherwise be lost.
Advanced fraud prevention integration
Payment orchestration platforms can integrate advanced fraud detection systems, such as AI-based tools and 3D Secure (3DS) technology, to reduce false fraud declines. This ensures businesses can maintain high security without sacrificing the customer experience.
Using payment orchestration to capitalize on Singles' Day
By integrating a payment orchestration platform, retailers can maximize their success on Singles' Day in three key ways:
1. Offering the payment method of choice
A payments orchestration platform enables seamless integration of various payment methods, including credit/debit cards, digital wallets, and BNPL solutions. This broad range of payment options allows retailers to cater to a global audience and ensures no customer is left without a way to complete their purchase.
2. Reducing cart abandonment
During high-traffic events like Singles' Day, payment orchestration ensures fast, secure processing of transactions, reducing the friction that leads to cart abandonment. With fewer steps between selecting a product and completing the purchase, customers are more likely to follow through, leading to higher conversion rates.
3. Attracting international shoppers
Singles' Day is a global shopping event, and businesses that leverage payment orchestration have an edge in attracting international shoppers. By supporting alternative payment methods and foreign currencies, retailers can reach new markets and maximize their revenue potential during the event.
Why choose Yuno as your Singles' Day partner
While payments orchestration offers immense benefits to retailers, not all platforms are created equal. For businesses looking to thrive on Singles' Day, it’s essential to choose a payment orchestration platform built for global scale with integrations to leading payment providers.
As a leading global payments orchestrator, Yuno is the ideal solution for retailers looking to capitalize on Singles' Day. With over 300 global payment integrations, Yuno ensures that your customers can pay using their preferred methods with a secure and seamless experience. Yuno’s smart routing and advanced fraud prevention tools also help increase conversion rates and maintain payment security.
Discover why Yuno is the payment infrastructure solution of choice for Singles' Day: book a demo today.
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