Checkouts Worth Checking Out: Insights from Advertising Week 2024
Global consumers spend a staggering 57% of their money online. As ecommerce continues to grow, shoppers are developing unique preferences and behaviors. This evolving landscape demands that ecommerce businesses continuously adapt to maximize the buying experience and anticipate shopper needs.
One critical yet often overlooked area in ecommerce is the checkout process. The checkout has become a crucial touchpoint for engaging consumers, driving loyalty and boosting conversions. It’s the final hurdle between a potential sale and a completed transaction, making it a pivotal moment in the customer journey.
At Advertising Week New York 2024, industry leaders gathered to discuss the transformation of the checkout process and its impact on next-gen shoppers. Mark Wagman, Managing Director at MediaLink, moderated the session, which featured Marni Schapiro, Global Head of Advertising for Cash App and Afterpay, and Elizabeth Buchanan, Chief Commercial Officer at Rokt. Here are 5 pieces of advice they shared.
Key Takeaways
- Personalization has evolved into relevance, using data to show customers exactly what they need at checkout.
- Multiple payment options, such as Buy Now Pay Later (BNPL), can drive conversion and foster loyalty.
- Leveraging consumer data and AI allows for seamless, intuitive checkout experiences.
- Speed and convenience remain top priorities for today’s shoppers.
- The future of commerce lies in distributed commerce and seamless shopping integration across platforms.
1. Prioritize relevance: the evolution of personalization.
The world of marketing changed when personalization was introduced. Shoppers began getting emails from their favorite retailers addressed to them by name. Today, shoppers expect this personalization to go even further. Relevance tailors the checkout experience to their preferences and needs at that moment. As Elizabeth Buchanan, Chief Commercial Officer at Rokt pointed out, relevance has surpassed personalization in importance.
“It’s not just what you show, but how you show it and ensure it’s relevant at that exact moment.” – Elizabeth Buchanan.
By leveraging first-party data, ecommerce businesses can provide a message, offer or product suggestion that resonates with each shopper during moments of peak engagement. This shift from simple personalization to real-time relevance helps create a frictionless, delightful checkout process.
2. Provide flexible payment options to drive loyalty.
In an age where consumer choice is paramount, offering multiple payment options, including Buy Now, Pay Later (BNPL) services, has become essential. Marni Schapiro, Global Head of Advertising at Cash App and Afterpay, stressed the importance of flexibility at checkout.
“Having multiple payment options increases conversion, loyalty, and purchase frequency.” – Marni Schapiro.
Next-gen shoppers, particularly millennials and Gen Z, are increasingly wary of credit cards. Providing alternative payment methods, such as BNPL, gives them more control over their spending and fosters brand loyalty by meeting them where they are financially.
3. Focus on speed and convenience.
Shoppers expect a quick and efficient checkout process, and as Marni Schapiro noted,
“Users want one-click checkout—they are so used to it now.”
Retailers who focus on making the checkout process as simple and fast as possible—while still providing relevant choices—will see the benefits in higher conversion rates and customer satisfaction.
4. Stay consistent across channels.
Consumers now expect a seamless experience across all shopping channels. Marni Schapiro emphasized the importance of consistency:
“I want consistency in my checkout experience. If I’m checking out at a merchant site, if I’m checking out within a social feed, if I’m checking out through the Afterpay app, if I’m checking out anywhere. It should feel and look the same.”
Cost transparency, flexible fulfillment options like buying online and picking up in-store and easy returns across channels are essential. A consistent omnichannel experience builds trust and encourages repeat purchases.
5. Embrace distributed commerce and leverage smart data to shape the future of checkout.
The next wave of innovation in checkout will come from distributed commerce and even more intelligent use of consumer data. An example is shopping for concert tickets while watching a live performance and completing the purchase without ever leaving the app. According to the panelists, this seamless integration across platforms is where ecommerce is heading.
“Commerce will come to you, whether you’re watching a concert or scrolling your favorite app.” – Elizabeth Buchanan.
With the rise of distributed commerce, the checkout experience is becoming more ubiquitous and embedded in everyday activities. As this trend grows, ecommerce businesses that can master relevance, speed and flexibility will be the ones that thrive in the future of retail.
Learn how Rokt’s product suite supports ecommerce businesses from cart to confirmation page.