Want to create a better checkout experience for tobacco customers?
Here’s the thing…
Payment acceptance is already complicated for tobacco companies. High-risk merchant marks, compliance hoops, and limited processor choice all add friction to payment processing.
The only winners in that game are cart abandonment stats. Research indicates that 70% of carts are abandoned before a completed payment. But for tobacco merchants stuck in choppy tobacco payment processing waters? Abandonment rates soar much higher.
Optimizing user experience in tobacco payment processing platforms is both necessary and very possible. The right approach to building a checkout flow that converts can make all the difference.
In this blog post we’ll cover:
- Why tobacco payment processing has such bad UX
- Common UX pitfalls to avoid
- The dos and don’ts of checkout optimization
- Building trust with user-centric security
Why Tobacco Payment Processing Creates UX Problems
Merchants who sell tobacco products are automatically treated as “high risk” by most payment processors.
Why should you care about that classification when it comes to customer experience?
For starters, high-risk means extra barriers. Verification requirements and anti-fraud compliance mean more steps in the payment journey. Limited payment acceptance options are an unfortunate but common reality, too.
The combination of extra required steps with an already lengthy checkout flow results in a deadly combination.
Most ecommerce checkouts have too many steps as is. The average pre-purchase checkout form contains around 23 elements presented by default to users. That’s almost twice the number of elements recommended for an optimal user checkout flow.
Stack higher-risk merchant compliance on top?
The checkout journey becomes a labyrinth for customers who just want to buy things and go. Hit too many roadblocks when a customer is ready to pay? They click away and that’s that. Research conducted by the Baymard Institute shows that 18% of shoppers abandon purchases because a checkout process is simply too long or complex.
The lesson for tobacco merchants is clear. Carefully consider user experience impacts when incorporating higher-risk business compliance steps into the payment journey. Becoming familiar with Top Challenges in Tobacco Payment Processing also goes a long way toward knowing exactly where payment flow friction points occur and how to optimize for a seamless user experience.
The Biggest User Experience Killers
There are many variables that can sink conversion rates in the payment flow for tobacco products. Awareness is the first step toward improvement.
Cluttered Forms
Customers don’t want to fill out forms. They want to pay and move on with their day. The more fields in checkout, the higher abandonment rates climb.
Limited Payment Methods
Customers won’t complete payment if their preferred payment option isn’t accepted. The inability to pay using the preferred method leads to conversion friction. Offering multiple payment methods can help clear this hurdle.
Slow Payment Pages
Page speed affects conversion in checkout, full stop. Long page load times and slow server response kill completion rates. In the current climate, shoppers expect nearly instantaneous response.
Unacceptable page load performance in the payment processing stage leads to a sudden, severe drop in trust. The faster the payment page, the better for conversions.
Poor Mobile Experience
Cart abandonment rates are higher on mobile devices. The mobile user checkout abandonment rate is about 10% higher than desktop. A payment platform that isn’t designed with mobile optimization as a priority loses significant sales.
Unclear Error Messages
Checkout errors should be anticipated and planned for by the platform. Errors will occur during purchase. Address autocomplete issues, incorrect CAPTCHA fields, and network timeouts before they cause cart abandonment.
Unclear error messaging increases customer frustration and confusion. Clear, concise error messages encourage users to complete their purchase despite an issue in the payment flow.
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How To Optimize Your Checkout Flow
Eliminating these types of problems is all about strategic optimization. Let’s take a closer look at how to approach that…
Simplify Checkout Steps
Lean checkout equals better conversion rates. Evaluate every field presented in checkout and ask, “Is this essential?” Optional fields become unnecessary when they are not truly optional.
Guest checkout functionality also helps to bypass registration requirements during payment. The goal? Achieve the fewest possible clicks in a payment to maximize conversion.
Provide Multiple Payment Options
Customers like to have options. The inability to pay with a preferred payment method can lead to cart abandonment.
Accepting credit and debit cards, along with digital wallets like PayPal and Apple Pay, should be a no-brainer. Every merchant is different, of course. But all payment options accepted should be presented up front in the payment flow to minimize friction.
Speed Up Payment Processing Pages
Checkout needs to be fast, without exception. Image optimization, code minification, and efficient hosting providers can reduce load times significantly.
Efficient payment form processing with minimalistic but functional page design also helps shaving seconds from page speed during checkout. Remember, speed is of the essence in the modern consumer experience.
Mobile-First Design
Mobile users are the target demographic in the ecommerce age. Build the payment experience with mobile in mind first. Then adjust for desktop.
Mobile optimization isn’t an afterthought when it comes to checkout. The fact that mobile cart abandonment is 10% higher than desktop is all the evidence needed on this point.
Progress Indicators Are Important
Checkout anxiety can be alleviated with clear communication. Show progress indicators so users always know where they are in the payment journey. Visual progress indicators may be a simple step, but it’s an important one.
Address Autocomplete
Address entry at the point of sale is another high-friction activity in checkout. Integrating autocomplete powered by address verification APIs can significantly speed up this checkout field.
Reduce the amount of typing required on the payment page. Offer several options for address completion once the first few letters have been entered. It also decreases error in address entry, leading to fewer chargebacks and failed deliveries.
Building Trust With Security Features
Security is a concern for every ecommerce merchant. The uncertainty of handling payments from customers online is real.
Customers need to trust the payment process. For tobacco merchants already identified as high-risk, trust-building is even more important.
Visible Security Badges
Show off security certificates, PCI compliance status, and recognized payment badges throughout checkout. These badges and logos are visual evidence to users that the payment journey is safe.
Familiar Payment Pages
Customers are more likely to feel secure using familiar checkout forms. When pages feel “fishy” because of deviation from traditional layouts, red flags go up.
Use the familiar with a modern twist. It’s the most effective way to encourage customers to put their trust in a payment process.
Contact Information Should Be Obvious
Providing immediate customer support options is a strong way to build trust with the platform. Phone numbers, email addresses, and live chat contact information visible throughout checkout should be an absolute.
Transparent Pricing
No one likes hidden fees. Listing all potential charges upfront, including any additional verification costs, ensures there are no surprises. Price transparency is critical to a smooth checkout experience.
Effective Error Handling
Payment failures should be expected, not an exception. Designing for the expected errors in the payment journey avoids cart abandonment. Error messaging needs to be unambiguous and offer clear next steps for resolution.
The Bottom Line
Improving user experience in tobacco payment processing platforms is not easy. But the returns are well worth the effort for every tobacco company serious about increasing conversions.
Checkout friction creates barriers that all but guarantee lower conversion rates. Focus on removing friction, and the customer experience can become a strength rather than a liability.
- Reduced friction = higher conversion rates
- Reduced friction = lower cart abandonment
- Reduced friction = increased trust and revenue
The challenges of tobacco payment processing for high-risk merchants shouldn’t spell the end for the customer experience. Checkout optimization strategies and tactics help turn what might otherwise be conversion obstacles into non-issues.
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