Using cryptocurrencies in e-commerce payments is a strategy that several retailers are adopting as a means of encouraging consumers to complete their purchases, since the payment method can be an impediment during this process and even synonymous with abandoned carts.
Although retailers offer options such as credit card, boleto, and recently even Pix, the cryptocurrency payment alternative has shown greater efficiency, security, and simplicity to customers. Especially with the rapid increase in the e-commerce market.
It is estimated that by 2021 the virtual currency market will reach the R$3 trillion mark in capitalization. This has led more and more people and institutions to embrace cryptocurrencies to facilitate transactions in their online stores and thereby reduce costs and the waiting time to receive payment for their sales.
Paypal, for example, last year launched "Checkout with Cryptowhich allows its customers in the United States to use cryptocurrencies to pay millions of retailers at home and abroad by converting them into fiat currencies (whose value comes from trust rather than intrinsic value) such as euros and dollars without additional transaction fees. For retail businesses, there are no integrations or additional fees required.
Initiatives like this signal a significant acceleration in the mainstream adoption of cryptocurrencies in order to captivate consumers and consequently increase sales.
Also read: 7 tips to turbocharge your e-commerce checkout
Advantages of accepting cryptocurrencies as a payment method
Although the use of cryptocurrencies in e-commerce payments causes some doubts, this is a trend that large retail companies in the world are already investing in.
But, after all, what are the advantages of accepting virtual currencies as a form of payment?
See below:
1 - Fast transactions
A Blockchain technology technology allows faster and direct transactions, optimizing the cash flow of your e-commerce. The immediate processing of cryptocurrencies speeds up the shipping of products, which satisfies the growing consumer demand for fast delivery.
2 - Market Expansion
Adopting cryptocurrency payment can expand your target market and lead to a growth in new customer traffic. In addition to the benefit of making international transactions simpler, cheaper, and faster for those looking to expand the boundaries of their online business.
3 - Increased security
Thanks to their complex cryptography, virtual currencies are more difficult to steal and counterfeit, which greatly decreases the risk of fraud in digital transactions.
4 - Lower fees
Third-party service fees are significantly reduced for some cryptocurrencies, as are additional transaction fees, making it quite advantageous for retailers. The lower transaction costs help to make your business more profitable.
5 - Cleaner data
With cleaner transactional and consumer data thanks to Blockchain technology, retailers have greater precision in their marketing strategies to do more effective targeting and thus avoid wasted spending.
6 - Better UX
Using cryptocurrencies as a payment method in your e-commerce offers consumers more alternatives in the purchase completion process. This flexibility allows them to pay in the way they want, ensuring a better shopping experience, collaborating to increase conversion rates and decrease cart abandonment.
Read also: How to improve the shopping experience in online retail
After all, is it worth including cryptocurrencies in e-commerce?
First of all, retailers need to understand that cryptocurrencies have daily volatility. That is, one day it can be worth a high price and the next day a very low price. For this reason, it is necessary to study in depth how they work before starting to accept them as payment.
However, despite this detail, including virtual currencies in your e-commerce can be profitable on days when the exchange is favorable. So, yes, it is worth including this payment alternative for customers. Since the advantages are numerous for both sides.
Moreover, considering that the transaction fees are lower than those of debit or credit cards, it is possible to create strategies to attract customers. And also take advantage of the cost difference to invest in relevant content that extends and strengthens the value of your brand.
So, did you like to know how cryptocurrencies influence e-commerce sales?
To evolve your e-commerce, you can count on Codeby's team. We are a company specialized in technology, focused on performance and usability that helps companies sell more on their online channels!
