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IT Outsourcing: Advantages and Disadvantages

Nataly Komonova — Fri, 24 Nov 2023 08:52:38 +0000

Outsourcing involves bringing in external professionals to address your needs, either in part or fully. The outsourcing services sector is expanding and gaining popularity. A key factor behind this trend is the cost efficiency it offers compared to recruiting and employing in-house specialists.

Several driving factors for the growth of IT outsourcing include:

Shortage of qualified specialists within the company.
Enhanced security and accessibility in the outsourcing process.
Cost-effectiveness of hiring experienced specialists to streamline business processes.
Ability to concentrate on strategic business objectives by outsourcing specific tasks.

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Previously, IT outsourcing was mostly associated with technical support, but its scope has now expanded. The rise of e-commerce, new services, and cloud technologies necessitates greater automation of business operations.

What Services Can Be Outsourced?

Software development: platforms and systems for business processes.
Web development: ecommerce platforms, websites, marketplaces, their server and client parts.
Database management: automation of exchange processes between accounting systems and the website.
Website promotion: search engine optimization and marketing services.
Development and support of infrastructure: provision of hosting services.
Creation and maintenance of virtual assistants: chat bots, online consultants.

How Does Outsourcing Work?

Based on the level of collaboration with the company, there are different outsourcing options:

Project model. Engage with a project manager to connect specialized experts for specific tasks. For example, introducing non-standard payment methods may require a UX designer for a clear checkout, and backend/frontend developers for implementation on the site.

Dedicated team or specialist. Hire a specific developer or an entire team exclusively for your project. This option suits larger projects or startups.

Both the project model and the dedicated team can, depending on the payment method, be based on the principle:

Fixed Price. The price for services is clearly stated in the contract, so you know what to expect in this and subsequent months. But for this it is necessary to clearly understand the scope of services and formulate technical specifications. So, for example, SEO promotion services can be scheduled monthly for the whole year and the amount indicated. But for the task of transferring an online store from one CMS to another, it is not advisable to use Fixed Price; Time and Material is better suited for this.

Time and Material. The price will depend on how many hours the specialists spent on the task. At the same time, tasks from month to month may vary in complexity and volume. From the example above, transferring a store to another CMS may be accompanied by difficulties with non-standard export/import of data from orders or with rendering the store design, because the current template is not suitable.

Where is Outsourcing of IT Services Used?

In 2022, the global IT services market, including in-house and third-party services, was estimated to be valued at approximately $1250 billion, as reported by GrandViewResearch.
The pandemic led to a surge in demand for virtual workplaces, collaborative document services, and data exchange, especially with geographically dispersed employees. Across various industries, nearly 60% of organizations engage in outsourcing app development. In the financial services sector, this figure increases to 72%, with retail and wholesale companies following closely at 60%. Companies in the healthcare sector, on the other hand, exhibit a comparatively modest engagement at 31%.

In Eastern Europe, there is a growing preference for outsourcing, primarily due to the availability of highly skilled IT professionals at more affordable rates. On average, the hourly rate for a developer in Eastern Europe falls in the range of $35 to $60.

Benefits of Outsourcing for Ecommerce

Cost savings play a key role in outsourcing, with 59% of companies citing it as the primary reason according to a Deloitte study. Outsourcing enables 57% of companies to focus more on core business processes. It eliminates the need to retain full-time employees and consider workload post-project completion. Hiring external specialists for short periods suffices for product development and implementation.

The global pool of specialists is a significant advantage. IT companies offer remote services, allowing businesses to select a suitable company based on budget and location, and facilitate remote development.

The number of specialists and companies is increasing. According to Statistica’s projections, the sector is expected to employ 62 million people globally by 2023. The expanding array of products and services is driving the demand for specialized skills, making it more feasible to outsource a specialist.

Quick launch of projects. When it comes to launching projects quickly, the time-consuming process of searching, adapting, and training employees can be impractical at the startup stage. It’s more effective to opt for an external team when there’s a need to implement a project within a short timeframe, rather than undergoing a lengthy search for the right specialists.

Increased profits. Boosted profits can be achieved without starting projects from the ground up. Frequently, companies require minor adjustments and enhancements to expedite operations, automate processes, and enhance the throughput of applications and projects, ultimately leading to increased profits. Maintaining an entire staff of programmers for periodic improvements becomes unnecessary.

Safety and guarantees. In addition, development companies typically offer guarantees for completed tasks and free bug fixes. When working with a development team under a Non-Disclosure Agreement (NDA), concerns about the security of confidential information are alleviated.

Disadvantages of Developer Outsourcing Services

Limited project management. Limited project management can arise when the development company operates in a different time zone, following its own 8-hour schedule. This time difference can lead to delays in issue resolution. Additionally, when working under the project model, the company allocates limited time to customer tasks due to other ongoing projects.

Problems with mutual understanding with developers. Challenges related to mutual understanding with developers often stem from language barriers. Difficulties commonly arise in aligning goals and describing the logic of work. Customers may struggle to articulate their requirements using industry-specific terminology. In such cases, providing official documentation, examples, and screenshots of the desired functionality can facilitate better communication.

Dishonesty of developers. The issue of developers’ dishonesty is a potential concern when seeking cost savings on their services. It can result in a low-quality product that may initially appear functional but conceals underlying issues that only professionals can detect. In our experience, we’ve encountered instances where a major marketplace project was entirely put together by freelance developers, and with only a week left before its launch, it became evident that the site was incapable of handling customer traffic and would likely fail.

How to Choose Outsourced Developers?

When selecting a company for outsourcing services, making the right decision is paramount. Otherwise, valuable time and resources will be squandered in search of a new developer, potentially delaying the realization of your business idea indefinitely.

What you can check before starting to work with a development company:

Expertise in your industry. Prior experience with similar projects accumulates unique insight. This facilitates faster project integration and reduces the need for extensive explanations of work logic and features. Shared understanding and collaboration with like-minded individuals are likely to enrich your experience.

Portfolio and recent projects. Evaluate the latest work; if the company’s portfolio primarily consists of projects from a year ago, it warrants consideration. Request a showcase of designs for thorough evaluation.

Adaptability in operations. Can the development team modify and update the project scope if the workload expands or in scenarios where the project vision is not fully crystallized? Are they open to providing various options for interaction and pricing?

Quality assurance and guarantees. Gain clarity on the testing procedures, the involvement of QA specialists during the process, and the company’s approach to error resolution and post-project support timelines.

Reviews and ratings. Customer reviews and ratings play a crucial role. While favorable reviews are typically featured on the company’s website, it’s essential to verify their authenticity. If verification isn’t feasible, referring to platforms such as G2.com and GoodFirms can provide valuable insights, as these are reputable sources for evaluating IT agencies.

Partnership. Consideration of strategic partnerships and industry affiliations is also vital. Such alliances foster the exchange of tools and expertise, ultimately enhancing the quality of development. Additionally, an extensive affiliate network portrays a company’s proactive stance towards business development strategies.

The IT outsourcing market is rapidly evolving, with an increasing number of companies looking to outsource at least one business process. According to Clutch research, around 80% of small enterprises are currently using or planning to outsource part of their IT processes. However, finding skilled developers who can deliver high-quality solutions is a challenging task, and when such developers are found, companies often prefer long-term business partnerships.

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Furthermore, companies worldwide are prioritizing integrated solutions, with cohesive teams that work seamlessly together. This integrated approach fosters a faster and more efficient development process.

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How to Make Really Good Deals Not Only on Black Friday?

Nataly Komonova — Wed, 22 Nov 2023 12:16:12 +0000

Great discounts aren’t just for Black Friday. With retailers and sellers locked in fierce competition, dishing out promotions has become vital for drawing and keeping customers. Managing discounts well means not only knowing what customers want, but also crafting win-win situations for them and the business. In this article, we’ll explore tactics and strategies to help merchants offer appealing discounts, ramp up sales, and upgrade customer service.

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Why does Black Friday Work?

Black Friday has its origins in the United States and is linked to the traditional kickoff of the holiday shopping season after Thanksgiving. Typically falling on the last Friday of November, it heralds the start of the Christmas season. What makes Black Friday renowned are the substantial discounts and exclusive deals that capture the public’s attention.

Shoppers anticipate substantial discounts, promotions, and special offers on this day, leading to a massive surge in sales and demand for products and services. Retailers actively promote Black Friday, contributing to its widespread appeal. Consequently, Black Friday has become synonymous with hunting for bargains and seizing the chance to save money on gifts and other items before the upcoming holidays.

The excitement around Black Friday stems from several factors:

Anticipating huge discounts. Shoppers expect substantial savings and fantastic deals on this day, so they’re ready to bide their time and keep a close watch on Black Friday.
Pre-holiday season prep. As the holidays approach, many people start gearing up, and Black Friday becomes a chance to snatch up some amazing deals during this time.
Advertising campaigns. Numerous retailers and companies actively promote Black Friday, stirring up a lot of interest and buzz around the event.
Consumer psychology at play. People relish the thrill of saving money and scoring good deals, and Black Friday delivers on that front.
Limited-time offers. Many discounts and special deals on this day come with time or availability constraints, creating added urgency and prompting consumers to act swiftly.

Black Friday in Numbers

According to NRF, in 2022, 196 million Americans shopped in stores and online in the 5 days after Thanksgiving. Shoppers spent $9.12 billion online during Black Friday.

Shoppers in the USA, Canada, and the UK show the greatest interest in Black Friday. In these countries, buyers intend to spend $485, $430, $397, respectively.

In 2022, Black Friday expenditure totaled $9.12 billion, marking a 2.3% increase compared to 2021.

As per Shopify store owners, the average order amount during Black Friday/Cyber Week in 2022 stood at $102.10, slightly up from the $100.70 recorded in 2021.
In 2022, approximately 87.2 million U.S. consumers engaged in online shopping, a figure largely consistent with 2021.

The most spendings on Black Friday 2022 was on the following categories:

Clothing/accessories (53% of respondents)
Electronics (49%)
Toys (35%)
Beauty personal care (28%)
Groceries (26%)

Millennials and Gen Z represent a significant portion of Black Friday shoppers, with individuals aged 26-35 showcasing the highest purchasing power.
49% of shoppers stated that complimentary shipping was one of the primary factors influencing their purchases during Black Friday. 29% of females intended to participate in Black Friday shopping, as opposed to 27% of males.

FOMO Effect

The Fear of Missing Out (FOMO) is linked to the unease of passing up on opportunities and advantages. Social media and advertising greatly contribute to amplifying this effect. Actively showcasing amazing deals and others’ purchases can induce feelings of inadequacy and concern about potentially missing out on money-saving opportunities or valuable purchases.

This phenomenon is so prevalent globally that it’s often referred to as “the ailment of the modern era.” It’s closely tied to social media and motivates people to desire involvement in events like Black Friday to ward off the fear of missing out on potential gains or opportunities.

Several common triggers often drive people to make purchases:

A sense of urgency (“limited time offer”, “promotion ends soon”)
Scarcity of goods or limited time (“last items in stock”, “limited time offer”)
Incentives and extra perks (“exclusive discount for subscribers”, “sign up for a special offer”)
Utilizing social networks (active display on social platforms, sharing with friends to pique their interest)

Tips on How to Make Profitable Offers

Shoppers are always on the hunt for the top Black Friday deals, and online retailers can capitalize on this by providing discounts on both new and existing products, thereby boosting sales and revenue. Black Friday presents a prime chance for online retailers to entice new customers. Due to the discounts, shoppers are more inclined to explore new offerings on Black Friday. Moreover, online retailers can utilize Black Friday to declutter surplus inventory and create space for new stock.

Let’s explore the strategies that will help you make the most of Black Friday. We’ll delve into how to craft compelling offers that resonate with buyers and consistently yield positive results.

1. Free Shipping

Offering free shipping can motivate hesitant customers to make a purchase:

You can establish a minimum order value to ensure that shipping expenses don’t eat into the transaction’s profit.
It’s beneficial to test the waters with free shipping during specific time frames like the initial hours of Black Friday.
Additionally, you can provide free shipping as a perk for loyal customers, such as those who make multiple purchases from your store.

2. Buy One, Get One Free

You can offer goods as gifts based on the cost of goods or the average purchase in the cart. Additionally, you can create creative promotions by bundling products to reward existing customers and boost sales.
Strategies like “Buy X, get Y” (e.g., 50% off or get one free), along with shipping and other types of discounts, offer increased flexibility when crafting loyalty programs. Monitoring the performance of your bonus products can help you identify which ones yield the best results.

3. Rewarding Loyal Customers

Utilize discounts to reward loyal (registered) customers. Analyze their purchase history and tailor special offers to their preferences. A whopping 76% of shoppers prefer personalized discounts.

For instance, Wizz Air effectively implemented this strategy by providing a 30% discount on flights to their club members, enticing customers to make their next purchase. The Black Friday discount may even be boosted based on availability.

4. Discounts for Early Bookings

Launching new products concurrently with a Black Friday promotion can significantly expand your audience and enhance the prospects of a successful product debut. This approach is particularly effective when the product isn’t as widely recognized, unlike launching a new iPhone. However, exercising caution is crucial when offering discounts on new products. Discounting a product before it hits the market could potentially diminish its perceived value among potential customers. Hence, it’s advisable to refrain from large discounts and ensure that any markdown is only a small percentage off the full price of the product.

When applying a discount to a product, you can present it either as a percentage or in monetary terms. Opt for the approach that delivers the most value to the customer based on the product type.

5. Gifts With Purchases

Provide your customers with additional incentives for their purchases, such as helpful guides, instructions, or manuals. Given that Black Friday sales and promotions coincide with the approach of the New Year, consider including tips for New Year’s home decor, gift ideas, and other seasonal selections.

For instance, Etsy consistently offers gift guides throughout the year.

6. Random Discounts

Offer a discount accompanied by a surprise gift, and incorporate win-win sweepstakes in your emails. Send out a unique random code alongside a surprise discount that can be utilized at checkout.

Customers can discover their discount by adding items to their cart and proceeding to checkout. This approach not only adds an element of excitement to Black Friday deals but also boosts email open rates and encourages more subscribers to visit your website and proceed to checkout.

What Should You Remember After Black Friday

To avoid losing customers after promotions, it’s essential to plan a post-promotion strategy to not only reap benefits but also gain new loyal customers. Consider these steps:

Showcase your promotions and discounts across diverse online platforms to widen your audience and entice new customers.
Engage in customer surveys to understand their preferences for enticing promotions and discounts.
Prioritize transparency and honesty in your promotional offers to foster customer trust in your brand.
Evaluate the effectiveness of your promotions and discounts to inform future campaigns.
Maintain communication with customers following the promotion to sustain engagement.

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Using discounts is the art of achieving balance. If you use them wisely, offering them at the right time and place to the right prospect, the results will be great.

It is worth considering that you should not give discounts simply because others are doing so. There are always alternatives if you decide not to discount your items.

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E-commerce in Africa: Growth Potential, Leading Marketplaces

Nataly Komonova — Tue, 14 Nov 2023 13:10:49 +0000

Africa boasts a youthful population, rapidly expanding urban centers, and a swiftly rising level of disposable income. With 54 countries, each at varying stages of economic development, the continent hosts diverse economic landscapes.

The annual online retail revenue in Africa is approximated at $20 billion, constituting merely 3.5% of total retail sales. Africa’s population, standing at 1.35 billion, is comparable to China’s. Importantly, unlike China, Africa’s population is experiencing rapid growth, indicating that the demographic pyramid will continue to skew towards younger individuals for several decades.

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Equipped with a burgeoning population and economic potential, Africa is primed for rapid expansion, both in its general economy and within the realm of ecommerce.

The key findings about Africa ecommerce market:

Africa’s youth population is rapidly expanding, embracing technology and the internet at varying rates across the continent.
The adoption of technology, the spread of the Internet and payment tools is developing unevenly across the continent.
Notably, there’s been a surge in funding for African e-commerce and retail tech startups, totaling 557 million U.S. dollars in 2022.
Micro, small, and medium-sized enterprises (MSMEs) actively use social networks as a platform for online sales.

Reasons and Growth Peculiarities

Between 2023 and 2027, the E-commerce market in Africa is projected to witness a steady rise in users, with a total increase of 174.7 million users.

In 2021, the African continent surpassed other regions in mobile internet usage, exceeding the global average by 13% and boasting nearly 5% more mobile usage than the markets in the Asian region. This trend underscores the importance of adopting a “mobile-first” approach for any business seeking to engage with diverse African markets through online sales.

Social commerce for MSMEs

The research indicates that a notable proportion of micro, small, and medium-sized enterprises (MSMEs) in six African countries – Nigeria, Kenya, Ethiopia, Ghana, South Africa, and Egypt are increasingly adopting social media as their primary platform for engaging in e-commerce. It is contributing to the success of numerous small businesses across Africa.

Only South Africa more relied on specific e-commerce platforms, despite the fact Egypt and South Africa have similar levels of digital literacy and thriving digital ecosystems. But this is explained by preferences in payment methods. The typical consumer in South Africa is more accustomed to making online payments, whereas cash payments are prevalent in Egypt.

Social media serves as an accessible marketing tool for promoting goods without requiring extensive digital literacy, training, or registration processes. As people were already utilizing social media for communication purposes, they seamlessly integrated it as an initial step in their business sales process without additional investment.

In this region, buyers commonly engage in direct interaction with sellers. Social networks effectively fulfill this need, enabling buyers not only to communicate but also to gain deeper insights and immerse themselves in the seller’s business.

Investments in economy

A strong and stable economy boosts consumer confidence, leading to a greater willingness to participate in digital transactions. Assured by a thriving economy, consumers are more likely to increase their online spending on various products and services, spanning from essentials to discretionary items. Furthermore, economic stability often attracts heightened domestic and foreign investment. A robust economy captures the interest of both local and international investors seeking promising markets for investment. E-commerce platforms, valued for their scalability and lower operational costs compared to traditional retail, emerge as appealing investment prospects.

African e-commerce and retail tech startups secured a total of 557 million U.S. dollars in funding as of 2022, representing a notable increase from the approximately 326 million U.S. dollars raised in the previous year. Out of the 663 startups that secured funding in the continent during 2022, approximately 32.4 percent operated within the financial technology sector. Following closely were e-commerce and retail tech, each accounting for 16.7 percent of the total number of funded startups, with e-health at 8.4 percent. In total, African startups amassed over 3.3 billion U.S. dollars in funding in 2022.

Market Challenges and Issues

Payment system

Throughout history, Africa’s population has exhibited a preference for cash payments over electronic and online transactions, reflecting a widespread distrust in a region characterized by notably lenient government regulation. This skepticism is reinforced by low levels of computer literacy, limited bank account ownership, and a fragile telecommunications infrastructure, collectively exacerbating the issue.

According to Statista, in 2022, cash emerged as the primary payment method for online retail in Morocco, Egypt, and Kenya, constituting 66%, 57%, and 40% of the total, respectively. Conversely, cash was less prevalent in South Africa, where 44% of e-commerce payments were conducted by card, and 19% via bank transfer. In Nigeria, the majority of digital buyers favored card-based payments (37%) and bank transfers (26%).

Currently, the following online payment options are available in African countries:

mobile money
card payments
bank transfers.

Despite consumers having access to a variety of payment methods such as e-wallets, mobile money accounts, and traditional bank accounts, the lack of interoperability remains a significant issue. This is compounded by the absence of harmonization in regulations across different countries, leading to a lack of connectivity both domestically and internationally within payment systems.

Market fragmentation

Market fragmentation in Africa presents a significant challenge for ecommerce due to the continent’s diverse languages, cultures, and consumer behaviors. With 54 countries, each at varying stages of economic development, Africa’s consumer landscape is incredibly varied.

The sheer variety of languages spoken across the continent requires businesses to localize their content, communication, and customer support to effectively reach and engage with diverse audiences. Moreover, cultural differences impact consumer preferences, purchasing habits, and perceptions of trust and credibility, further complicating the development of standardized ecommerce strategies for the entire continent.

Infrastructure

Several African countries share similar rankings to nations facing significant logistical challenges, such as Afghanistan and Haiti, in terms of supply chain reliability, predictability, and resilience to disruptions. The ease with which goods and services can be transported is a critical factor in facilitating business operations. The Logistics Performance Index assesses the convenience, speed, and simplicity of transport within the continent, with African nations typically receiving ratings ranging between 1.77 and 3.43 out of a possible 5 points.

The Main Ecommerce Players in Africa

Online shopping in Africa has generated approximately $37 billion and is projected to potentially exceed $82 billion from 2022 to 2027. Specifically, in 2022, the revenue from online shopping in Africa was estimated to be about 37 billion U.S. dollars, a substantial rise from the approximately 13 billion U.S. dollars reported in 2017.
Ten countries in Africa dominate the online business landscape, collectively representing 94% of all e-commerce transactions. Nonetheless, nearly a quarter of the continent’s countries lack a suitable transactional marketplace for direct online payments.

South Africa and Nigeria stand as Africa’s largest B2C E-Commerce markets, boasting the highest E-Commerce sales values when compared to Egypt, Kenya, and Morocco. The majority of payments in South Africa and Nigeria were made via cards, in contrast to a larger portion of total payments stemming from cash-based transactions in Egypt, Morocco, and Kenya. In terms of local competition, Nigeria-based Jumia represents one of the foremost companies in these markets. Jumia and other regional players encounter robust competition from cross-border online shopping platforms, including AliExpress and Amazon, both of which are gaining traction among digital consumers in Africa.

Nigeria

Nigeria presently boasts 90.9 million e-commerce users. As indicated by a recent report, the Nigerian e-commerce market is anticipated to experience a substantial 12.24% CAGR from 2022 to 2027. Nigeria is emerging as a market propelled by advanced infrastructure, high internet penetration, and a growing number of card-based payment systems.

The pandemic has notably accelerated digital purchases and cashless transactions across the country, leading to a remarkable 30% increase in 2021. The Nigerian e-commerce market has contributed to about 29% of the global growth rate.

Egypt

Egypt, with 55.7 million e-commerce users, has emerged ahead of South Africa as the largest marketplace, expected to achieve a revenue of approximately $7,909.9 million by the end of 2023. It is projected to maintain a compound annual growth rate (CAGR) of 14.7% and reach a market volume of around $13,677.5 by 2027. This growth is attributed to Egypt’s large population and rapid internet penetration, with a population of about 99.3 million, making it the third most populated country in Africa.

Kenya

Meanwhile, Kenya, with 22.6 million e-commerce users, has demonstrated vibrant activity in its e-commerce sector. The COVID-19 lockdown facilitated the establishment of more online businesses, resulting in promising growth. Although specific data may be unavailable, Statista suggests that Kenyan e-commerce has been on the rise and is projected to reach an estimated volume of $2 billion by 2024.

South Africa

South Africa’s e-commerce landscape, with 27.4 million users, experienced a 66% surge from 2019 to 2020, exceeding $1.8 billion. Notably, the clothing and apparel, online entertainment, and grocery categories witnessed substantial growth due to lockdown restrictions amid the pandemic. Additionally, the fast food category observed significant growth, propelled by heightened competition from both local and foreign platforms. South Africa has IT hubs all along the Western Cape province – among which is the city of Stellenbosch is known as the Silicon Valley of South Africa.

The Leading Online Platforms

Jumia

Jumia is a prominent e-commerce platform operating in several African countries. Often referred to as the “Amazon of Africa,” Jumia offers a wide range of products and services, including electronics, fashion, home goods, and more. It functions as a marketplace where third-party sellers can list their products, reaching a large customer base across the continent.

In addition to e-commerce, Jumia has expanded its services to include food delivery, hotel and flight bookings, and digital payment solutions. The company has invested in developing its logistics and last-mile delivery capabilities to overcome the unique challenges of operating in diverse African markets.

Jumia has also made strides in promoting financial inclusion by offering digital payment options and facilitating access to credit for both customers and sellers. The company has garnered considerable attention for its innovative approach to e-commerce in Africa and its efforts to address the logistical and infrastructural challenges associated with online retail on the continent.

Takealot

Takealot is a leading South African online retail platform that offers a diverse range of products and services. Takealot provides a comprehensive marketplace for consumers, featuring categories such as electronics, fashion, home essentials, beauty products, and more. It serves as a platform where third-party sellers can list their products, giving customers access to a wide array of items from various sellers.

Beyond e-commerce, Takealot has expanded its offerings to include services such as food and beverage delivery, as well as digital entertainment and e-books through its subsidiary, Superbalist. The platform has made significant investments in logistics and last-mile delivery to ensure efficient and reliable delivery services across South Africa.

Takealot has been at the forefront of digital innovation in the region, offering multiple payment options and integrating various technological solutions to enhance the overall customer experience. With its widespread popularity and strong market presence, Takealot has established itself as a key player in shaping the e-commerce landscape in South Africa and adjacent regions.

Konga

Konga is a well-known Nigerian e-commerce platform that provides a wide range of products and services to its customers. Konga operates as a marketplace where customers can find diverse items, including electronics, fashion, beauty products, home essentials, and more. In addition to offering a platform for third-party sellers, Konga also operates as a direct retailer for certain products, ensuring a multifaceted shopping experience for its customers.

Konga has expanded its services to include digital payment solutions, food and grocery delivery, as well as travel and event ticketing. The platform prioritizes customer satisfaction and aims to provide a seamless shopping experience through innovative technologies and reliable delivery services.

Konga has expanded its services to include food and grocery delivery, enabling customers to shop for a variety of food items and have them delivered to their doorsteps. Besides this the platform facilitates the booking of travel tickets and event tickets, offering customers the convenience of making travel and event arrangements through its platform.

Souq

Souq, which is now known as Amazon.eg, was a leading e-commerce platform in Egypt, offering a diverse range of products and services to customers in the region.

In Egypt, the platform achieves nearly ten million monthly visits and offers a diverse array of products, encompassing electronics, appliances, homewares, groceries, fashion, books, toys, and fitness items. Souq operates as both a retailer and a marketplace, maintaining its distinct design and branding, which bears resemblance to Amazon’s style.

It’s important to note that Souq Egypt retains its separate seller registration system. All orders are fulfilled by Souq rather than the individual sellers. Consequently, businesses are required to furnish a warehouse or store address within Egypt for the courier to collect orders. Commission fees for sellers on the platform range from 5% to 20%.

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E-commerce Dynamics in North America: Exploring USA and Canada

Nataly Komonova — Fri, 10 Nov 2023 10:13:55 +0000

Global e-commerce sales are forecasted to achieve US $58.74 trillion by 2028, with an anticipated compound annual growth rate (CAGR) of 26.55% from 2022 to 2028. In 2023, it is anticipated that e-commerce will comprise 22.3% of total retail sales. North America, being a highly developed and technologically advanced region, is well-positioned to manage the surge in e-commerce adoption and expansion. The North American e-commerce market is expected to undergo a growth of 12.5% CAGR from 2022 to 2027.

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How E-Commerce Developed in the Last Time

Before the pandemic, e-commerce in the US and Canada experienced steady growth driven by factors such as increasing internet penetration, technological advancements, shifting consumer preferences, and the expansion of online retail offerings by both established retailers and digital-native brands. The period leading up to the pandemic was marked by a gradual but consistent increase in online sales and the adoption of e-commerce as a preferred shopping method for many consumers.

During and after the pandemic, e-commerce in the US and Canada witnessed a significant acceleration and transformation. The pandemic served as a catalyst for rapid growth, as lockdowns and social distancing measures prompted a surge in online shopping. It led to an expansion of contactless delivery options, and a heightened focus on omnichannel retail strategies as traditional retailers sought to adapt to the changing landscape.

E-commerce in North America was already on an upward trajectory, but the events of the pandemic accelerated and reshaped the e-commerce landscape. This led to a more pronounced reliance on online shopping and the adoption of new e-commerce practices.

The Current E-Commerce State in North America

SaaS Solution for E-Commerce

The US and Canada are leading the e-commerce SaaS market. There is a growing trend of cloud-based software as a service in the region, with e-commerce companies incorporating these services into their business growth strategies. An example of this is the introduction of the Cadence on Cloud SaaS and e-commerce platform by Cadence Design Systems, a US multinational corporation. This platform, powered by Amazon Web Services (AWS), caters to businesses embracing a “cloud-first” approach, providing design and analysis solutions that are accessible from any device, anywhere.

SaaS solutions offer for:

Store Management (Ecwid, Shopify)
Express Service
Customer Service
Shipping Companies

Mergers and Acquisitions

Many regional companies are trending towards mergers and acquisitions to bolster their capacity in the e-commerce sector. Merger and acquisition (M&A) activity reached an all-time high in 2021, propelled by historically low interest rates and the Federal Reserve’s quantitative easing initiative, which provided companies with abundant cash and accessible credit. Inflation reduced M&A and total value in 2022 amounted to $1.477 trillion. As an illustration, Descartes, a Canadian software-as-a-service solutions provider, recently revealed its acquisition of XPS Technologies, an e-commerce shipping solutions firm, for a sum of USD 65 million.

Cryptocurrency

During the period spanning from July 2022 to June 2023, North America emerged as the global leader in the crypto market, with approximately $1.2 trillion in on-chain value, as reported by Chainalysis. According to NBC News, around 21% of adult Americans have possessed cryptocurrency as of 2022. Over 15,000 businesses globally, including notable entities such as Microsoft, KFC, Burger King, and Subway, have embraced Bitcoin payments. Within the US, this accounts for 2,300 businesses.

New Payment Solutions

The e-commerce platform not only offers customers a wide range of purchasing options across various sectors, but it also presents them with financial incentives through cashback schemes, allowing for cost savings at scale. For instance, Rakuten Rewards Canada, a leading shopping site offering Cash Back and rewards, has introduced an innovative initiative enabling Canadians to earn Cash Back when engaging in real estate transactions. Through Rakuten’s approved partners, Canadian homebuyers can receive up to USD 25 Cash Back for every USD 10,000 of finalized real estate transaction value in the initial phase of the Make Your Move program.

Fashion merchants noticed the most significant impact on overall business after introducing alternative payment options. The most popular options are “Buy Now, Pay Later” and “Buy Online, Pick Up In Store.”

Mobile Commerce

In 2022, the mobile commerce market in North America accounted for approximately 37% of the business share. The growth of educational STEM toy startups is contributing to the expansion of the regional market. North America’s thriving market is attributed to its advanced digital infrastructure and consumers’ strong preference for convenience. Contributing factors in mCommerce are AR technology, one-click ordering, payment options, competitive pricing.

Category and Digital Penetration

In 2022, the clothing and footwear segment secured the largest market share, representing over 25%. The consumer electronics segment is anticipated to become the fastest-growing segment, with a projected CAGR of 16.4% from 2023 to 2030.

The Main Online Trading Drivers

Consumer interest in convenient shopping solutions. In the past, online shopping was primarily favored by millennials and Gen Z. However, the pandemic has made online retail more appealing to consumers of all ages. Now, individuals of all age groups are increasingly opting for home delivery, appreciating the convenience, reliability, wide-ranging choices, and flexibility it offers.

Mobile shopping and social commerce

Sprout Social’s shopping report revealed that 98% of consumers intended to make at least one purchase through social shopping or influencer commerce in 2022, and this trend shows no sign of slowing down. If you haven’t begun selling on social media, it’s highly likely that your competitors already have or are intending to do so.

Mobile shopping intersects with other popular e-commerce features such as live stream shopping, augmented reality shopping, and in-app purchases, and it is projected that its usage will increase in 2023.

Fulfilment and delivery

58% of Canadian consumers indicated that the speed of delivery influences their purchases, while 46% mentioned being motivated by the expected delivery date provided by the retailer. Studies have shown that a majority of consumers consider the speed of delivery and the anticipated delivery date as influential factors in their purchasing decisions. Furthermore, as the e-commerce landscape becomes increasingly competitive, offering fast and reliable fulfillment and delivery services can serve as a significant differentiator for businesses, contributing to customer satisfaction and loyalty.

Subscription payment models

Businesses are increasingly embracing subscription models to attract and retain loyal customers, aiming to enhance profitability and improve retention rates. The popularity of subscriptions and memberships is growing in response to economic volatility and inflation.

In the B2C sector, brands are promoting subscription plans as a means to save money, with some offering lifetime price guarantees as an incentive for registration. Additionally, exclusive membership communities, such as Fabletics and Lululemon, are gaining prominence. These models leverage the fear of missing out (FOMO), providing members with VIP-style treatment and exclusive access to products, events, and more.

Government support

In recent years, global trade and shipping activities have seen a surge due to cross-border shipment agreements and trade liberalization policies. A notable example is the Progressive Trans-Pacific Partnership (CPTPP), reflecting the trend of increasing multilateral free-trade agreements. Free Trade Agreements (FTAs) are playing a significant role in escalating the demand for international e-commerce transportation.

Additionally, bilateral free-trade agreements such as the Canada-U.S. Free Trade Agreement between the U.S. and Canada are impacting the demand for cross-border e-commerce services. These developments are anticipated to create additional trade opportunities in the upcoming years, thereby stimulating the e-commerce fulfillment services market in the region.

New technologies in shopping experience

More pragmatic applications of AI in customer service are beginning to surface. Although not all AI implementations have been successful, businesses have leveraged AI to generate responses for practical customer care interactions such as tracking item statuses. The use of AI is anticipated to enhance efficiencies as customer journeys are expected to grow increasingly intricate in the future.

“Try before you buy” undergoes a transformative shift with the advent of augmented reality (AR) commerce, employing 3D mapping to enable customers to test products or preview experiences before committing to a purchase. AR has significantly reshaped various industries, particularly in fashion, beauty, and home decor, by placing the product or service directly at the customer’s fingertips. Brands actively use VR/AR/XR.

Voice searching: with a significant and growing number of individuals using voice-enabled devices such as smartphones, smart speakers, and virtual assistants to perform online searches, access information, and execute commands. The convenience and hands-free nature of voice search have contributed to its widespread adoption, with many users leveraging this technology for tasks ranging from searching for information, making queries, and even initiating online purchases.

Holidays driving consumption

Holiday sales play a critical role in U.S. and Canada online commerce as they often drive a substantial portion of annual revenue for many businesses. These sales events, such as Black Friday, Cyber Monday, and the holiday season as a whole, present an opportunity for retailers to attract a surge in online shoppers, capitalize on consumer spending trends, and boost their sales figures.

Amazon, Target, Macy’s hire workers for the holiday shopping season in stores and warehouses. Amazon has announced its intention to recruit 250,000 U.S. employees for the holiday shopping season, marking a 67% increase from its hiring numbers over the previous two years. This move reflects the company’s efforts to enhance next-day delivery services for its customers.

The major holidays that have impact on consumer behavior:

Thanksgiving Day
Christmas
Valentine’s Day
Back-to-School
Easter

Ecommerce in the US Overview

The United States occupies the second position in the global e-commerce market, with online sales totaling $875 billion, constituting 14.83% of the market. Leading e-commerce players such as Amazon, eBay, and Walmart have emerged as key industry frontrunners, offering consumers an extensive array of products and services.

A critical contributing factor to the success of e-commerce in the US is the notably high internet penetration rate, which stood at 91.8% in 2023. This signifies that over 311 million Americans have access to online shopping platforms, facilitating easy comparison of prices, reviews, and features across various products.

Amazon dominates the e-retail landscape in the U.S., holding the largest share of the online shopping market and surpassing competitors in e-retail sales. In 2021, Amazon notably outpaced its U.S. counterparts, with retail e-commerce sales in the country reaching an impressive 386 billion U.S. dollars. Other notable successful online shopping platforms include eBay, Walmart, Target, and Apple.
While the market is diverse and offers products across various sectors, certain categories have seen particularly high demand. These include food, pet supplies, baby products, clothing, and accessories.

In the United States, 96.9 million individuals are engaged in shopping through social media platforms, such as Facebook and Instagram. This behavior has become commonplace, and it is projected that the number of social buyers will rise to 114.3 million, signifying an 18% increase.

Ecommerce in Canada Overview

Canada is positioned as the 9th largest eCommerce market globally, and it is forecasted to generate approximately US $55,145.2 million in revenue by 2023, surpassing Italy in this aspect. The projected compound annual growth rate (CAGR 2023-2027) stands at 10.6%, with an estimated market volume of US $82,449.8 million by 2027. In 2023, the Canadian eCommerce market is anticipated to contribute to a 10.9% increase, aligning with the global growth rate of 9.6% for the same year. Concurrently, worldwide eCommerce sales are expected to elevate in the coming years.

According to Statista, the number of digital buyers in Canada is projected to reach over 26 million by 2024, indicating a substantial portion of the population engaging in online shopping.

Among the eCommerce segments in Canada, Toys, Hobby & DIY commands the largest market share, constituting 25% of the Canadian eCommerce revenue. Following closely is Fashion, accounting for 22.4%, followed by Electronics & Media at 19.9%, and Food & Personal Care at 18.2%. The remaining 14.4% is attributed to Furniture & Appliances.

A majority of Canadian online shoppers, approximately 59%, opt to use credit cards for their online transactions, while an additional 20% utilize PayPal. Furthermore, there is a steady surge in the adoption of digital wallets, anticipated to represent about 27% of online payments by 2025.

Canada’s eCommerce infrastructure is notably advanced and intricately linked with that of the United States. The widespread availability of broadband internet access throughout Canada, often leveraging similar equipment as in the United States, further supports this integration. U.S. companies have the option to seamlessly incorporate Canadian transactions into their existing websites without the need for a separate platform.

News From the Main Market Players

The slowdown in subscriber additions following the pandemic has prompted businesses to modify their terms and conditions. In an effort to increase subscriptions, Netflix has discontinued its standard commercial-free plan in the U.S. and UK, while Disney has hiked prices for its ad-free tiers. In the upcoming year, Amazon Prime Video is set to follow its streaming competitors by implementing ad rollouts and introducing a premium ad-free tier at a higher price.

Amazon, the worldwide e-commerce giant, has revealed its intention to launch its online shopping platform in South Africa by 2024. This decision represents a substantial penetration into a market that has been primarily dominated by Naspers’ TakeAlot.

Amazon and Shopify have reached an agreement enabling merchants who utilize Shopify’s ecommerce tools to leverage Amazon’s logistics network. Amazon asserts that this integration boosts shoppers’ confidence in making purchases from unfamiliar brands or websites due to the trust associated with the Amazon experience.

Walmart intends to introduce over 25 healthcare centers to certain stores next year, further expanding its provision of primary care and additional services. These new centers will be integrated into Walmart Supercenters, delivering primary and dental care, behavioral health, audiology support, and various other services. Presently, Walmart operates 32 centers and will incorporate 17 more in Florida this year.

eBay invested in AI to grow GMV. The Magical Listing tool assists sellers in creating detailed and compelling product listings. By leveraging AI capabilities, this tool aims to streamline the listing process, improve the quality of product descriptions, and enhance the overall selling experience for eBay users.

Michaels has recently debuted MakerPlace, an online marketplace designed to cater to DIY enthusiasts and creators. With a focus on handcrafted products and unique artisanal items, MakerPlace provides a platform for sellers to showcase and sell their creations without any listing fees, positioning itself as a competitive player against established platforms like Etsy.

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The Rise of Mobile Payments: Transforming the Way We Shop Online

Nataly Komonova — Tue, 07 Nov 2023 07:25:07 +0000

It is crucial for online business owners to have a deep understanding of their customers’ preferred conversion methods and where they are more likely to convert. As mobile payments continue to gain popularity, the fintech industry is rapidly evolving and providing a diverse range of payment options through smartphones and other mobile devices. In this article, we will explore the strategies that business owners should consider to minimize the rate of abandoned mobile shopping carts.

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Popularity of Mobile Payments

Mobile payments provide a seamless and convenient way to make transactions. Gone are the days of carrying bulky wallets or rummaging for cash or credit cards. With mobile payment apps installed on their devices, users can make payments with just a few taps, whether it’s in-store, online, or through peer-to-peer transfers.

Global mobile payments predominantly include digital wallets like PayPal, Apple Pay, and Alipay, although there are several other alternatives available. Approximately 50% of global e-commerce payment transactions were made using mobile wallets in 2022.

Well-known payment methods such as Apple Pay, Google Pay, and PayPal offer customers the convenience of a streamlined checkout process across multiple websites. Instead of repeatedly entering their payment details for each online purchase, customers can enjoy a more seamless and efficient user experience. By logging into their regularly used account, which is often already stored on their device, customers can swiftly complete their transactions without the hassle of reentering payment information each time.

Advantages of Mobile Payments

There are numerous advantages of opting for mobile payments, benefiting both consumers and businesses alike.

Enhanced Security. Mobile payments offer additional layers of security compared to physical cards. Utilizing features such as Touch ID, PIN inputs, and tokenization, they provide a higher level of protection against potential fraud or unauthorized access.

Peer-to-Peer Payments. With P2P payment apps, it becomes easier to settle payments among friends and family members. Mobile-to-mobile payments enable seamless transactions for cash gifts, splitting bills, and sharing utility expenses without the need to wait for checks to clear.

Swift Transactions. Contactless mobile payments can be completed within seconds, significantly faster than traditional methods like card swiping or cash transactions. This swift transaction process helps keep the queues moving smoothly, especially in busy stores or crowded environments.

Convenience. Unlike cash, which individuals may not always carry, mobile phones are almost always within reach. Mobile payments eliminate the need to dig through wallets or make visits to ATMs, providing a hassle-free and convenient payment experience for customers.

By embracing the benefits of mobile payments, individuals can enjoy enhanced security, seamless peer-to-peer transactions, faster payment processing, and the utmost convenience in their financial transactions. Similarly, businesses can cater to the evolving preferences of their customers while streamlining payment processes and improving overall efficiency.

Payment Methods via Phone

Digital Wallets. Digital wallets, such as Apple Pay, Google Pay, Samsung Pay, and PayPal, allow users to store their credit card, debit card, or bank account information securely on their mobile devices. To make a payment, users simply need to unlock their device and hold it near a contactless payment terminal. Some digital wallets also support in-app and online payments, enabling users to make hassle-free transactions.

Mobile Banking Apps. Many banks offer their own mobile banking applications that allow users to manage their accounts and make payments directly from their smartphones. These apps often provide features like transferring funds, paying bills, and sending money to other individuals through peer-to-peer payment services.

QR Code Payments. QR code payments involve scanning a unique QR code displayed by the merchant to initiate a payment. This method is commonly used in apps like WeChat Pay and Alipay, which are popular in countries like China. Users scan the QR code with their smartphone’s camera, enter the payment amount, and confirm the transaction.

Peer-to-Peer Payment Apps. These apps, including Venmo, Zelle, and Cash App, enable users to send and receive money directly to and from their contacts or friends. Users can link their bank accounts or debit cards to these apps and easily split bills, reimburse friends, or make payments in various social or casual settings.

Mobile Carrier Billing. Some mobile service providers allow customers to make purchases and have the charges added directly to their monthly mobile phone bill. This can be particularly convenient for digital content purchases, such as mobile games, apps, or digital subscriptions.

In-App Payments. Many mobile apps offer their own integrated payment systems, allowing users to make purchases within the app itself. This is commonly seen in e-commerce apps or food delivery apps, where users can securely store their payment information and complete transactions with just a few taps.

Mobile Point of Sale (mPOS) Systems. With the advent of portable card readers that connect directly to smartphones or tablets, small businesses and individuals can easily accept card payments on the go. These devices, often provided by companies like Square or PayPal Here, allow merchants to process payments using their mobile devices, making it convenient for businesses that operate outside of traditional retail settings.

Cryptocurrency Payments. Some mobile wallets or payment apps now support the use of cryptocurrencies as a form of payment. Users can store their digital currencies in these wallets and make transactions using QR codes or other cryptocurrency payment methods.

Popular Payment Services

Square

Square service enables you to sell in various ways, including in-person, over the phone, online. Square also provides features to track customer preferences, feedback, and inventory management.

What sets Square apart is its versatility. You can process credit card payments using magstripe, chip cards, and contactless readers, as well as popular digital wallets like Google Pay, Apple Pay, and Samsung Pay. Additionally, businesses have the option to manually enter card details for virtual terminal payments, eliminating the need for a physical card reader.

Square is designed to support both individuals and small businesses with user-friendly tools, while also offering customized plans for larger organizations. Some of the features provided by Square include a mobile card reader, near-field communication (NFC) capabilities, ACH payment processing, a point of sale (POS) system, fraud detection, bank transfers, electronic payments, subscription billing, reporting and analytics tools, support for partial payments, receipt management, offline access, and SSL security features.

Stripe

Stripe is an online payment processing tool designed for internet businesses. It provides a platform for setting up marketplaces, accepting payments globally, and establishing recurring billing for customers.

One of Stripe’s notable strengths is its technology-focused approach, which encourages developers to integrate with the system using real-time webhooks. This developer-friendly platform reduces the time spent on maintaining legacy systems and allows businesses to prioritize enhancing the customer experience.

As an online tool tailored for internet retailers, Stripe is highly scalable and suitable for businesses of any size. Its versatility enables business owners to accept payments in more than 135 currencies, facilitate global transfers, manage subscription services, and even create crowdfunding platforms. By utilizing Stripe, you can provide your customers with a wide range of payment options.

WePay

WePay is a payment processing service that allows businesses to accept payments online. It provides a platform for merchants to seamlessly integrate payment functionality into their websites or applications.

One of the key features of WePay is its ability to facilitate secure transactions. It employs sophisticated risk and fraud detection measures to ensure the security of both merchants and customers. Additionally, WePay offers KYC (Know Your Customer) and AML (Anti-Money Laundering) compliance tools to help businesses meet regulatory requirements.

WePay also focuses on providing a seamless user experience. It offers customizable checkout experiences and supports various payment methods, including credit cards, ACH (Automated Clearing House) transfers, and digital wallets. Merchants can easily set up recurring payments and invoice their customers through the WePay platform.

WeChat Pay

WeChat Pay is a mobile payment service offered by WeChat, a popular social media and messaging app in China. It allows users to make payments for a wide range of goods and services directly from the WeChat app.

One of the key features of WeChat Pay is its convenience. Users can link their bank accounts or credit cards to their WeChat Pay account and seamlessly make payments through the app. It offers a variety of payment methods, including scanning QR codes, quick response (QR) code payments, in-app purchases, and peer-to-peer transfers.

WeChat Pay also provides additional features to enhance the user experience. For example, it offers loyalty programs, discounts, and cashback incentives to encourage users to make payments using the platform. Additionally, WeChat Pay provides services like bill splitting and red packet gifting, which are commonly used for social interactions and celebrations.

Venmo

Venmo is a mobile payment service that allows users to send and receive money through a simple and convenient app. It provides a seamless platform for peer-to-peer payment transactions, making it easy to split bills, pay friends, or request payments.

One of the key features of Venmo is its social aspect. Users can connect with their friends on the app, view and like each other’s transactions, and leave comments. This social feed creates a more engaging and interactive payment experience, resembling a social media platform.

Venmo also offers split payment functionality, which enables users to divide bills and expenses among multiple people. This makes it convenient for sharing costs for group activities or splitting bills at restaurants.

Swish

A Swish service refers to various offerings related to Swish, a mobile payment system commonly used in Sweden. Swish allows users to transfer money directly from one bank account to another using their smartphones. Here are a few examples of services related to Swish:

P2P (Person-to-Person) payments: Swish enables individuals to send money conveniently and instantly to friends, family, or acquaintances. This can be done by selecting a recipient from the contact list and entering the payment amount.
Online and in-store payments: Many businesses, both online and offline, have integrated Swish as a payment option. Customers can make purchases using the Swish app, which is linked directly to their bank accounts, making transactions quick and secure.

Charity donations: Swish is widely used for donating money to charitable organizations. Through Swish, users can easily contribute to various causes by sending money directly to the organization’s designated Swish number.
Peer-to-business payments: Swish also allows for payments between individuals and businesses. This can be used for settling bills at restaurants, paying for services like haircuts or repairs, or making purchases from local vendors who accept Swish as a payment method.
Splitting bills: Swish provides a convenient way to divide expenses among a group of people. For example, if a group of friends dines together, one person can pay the bill and immediately receive individual payments from each person using Swish.

Alipay

Alipay is a widely used digital payment platform in China, operated by Ant Group. It offers a range of financial services and is known for its convenience, security, and extensive features.

Alipay allows users to make cashless payments using their smartphones. It supports various payment methods, including scanning QR codes or barcodes, using NFC technology, or entering payment details manually.

Alipay is integrated with numerous e-commerce platforms, enabling users to make purchases online easily and securely. It offers buyer protection and a streamlined checkout process for a seamless shopping experience.

It’s important to note that while Alipay is primarily used in China, it has expanded its services in some international markets and can be used for cross-border transactions in certain regions. The availability of specific features may also vary depending on the user’s location and the partnering financial institutions.

Payment Services for the CS-Cart Mobile Application

Paying through a mobile application is akin to paying through a mobile browser, but using a mobile app brings additional benefits as it provides a more tailored experience within a closed system. When users download a mobile app, they are often offered bonuses and incentives, creating an enticing environment for in-app purchases.

Furthermore, by saving payment information within the app, users gain the convenience of seamless transactions with just a few taps. Whether they’re purchasing e-books, shopping online, grabbing a cup of coffee, or settling bills, the app simplifies the payment process and enhances the overall user experience.

When you purchase a CS-Cart license, you gain access to a native mobile application that seamlessly integrates with your store. This ensures that your store’s design appears visually appealing on all mobile devices, and the overall performance is optimized for faster loading times compared to the mobile web version.

With this mobile application, data synchronization occurs in both directions. Any changes you make, such as adding or removing products or adjusting settings, will be reflected instantly in the application. This eliminates the need for duplicated settings and saves you from double-checking your inventory in both the desktop version and the mobile application.

In summary, the CS-Cart platform, coupled with the mobile application, provides an optimized and synchronized experience, allowing you to efficiently manage your store across various devices without the hassle of redundant tasks.

And if the delivery methods in the application are similar to the browser version, then the payment methods are different. The following payment options are currently available in the application:

PayPal Express Checkout;
Offline payments.

Our Experience in Developing Integrations for Mobile Applications on CS-Cart

Developing mobile applications is crucial for businesses in the e-commerce industry, and the demand for customized app development remains high. We understand the significance of meeting the needs of online business owners and ensuring a seamless shopping experience for customers. That is why we prioritize the development of our own integrations with various payment services. By doing so, we enable businesses to offer their customers a flawless and convenient payment process through our mobile applications.

GoWholesale

This project is a high-volume marketplace operating on a B2B model, offering a diverse range of products. Sellers on this platform consist of manufacturers and wholesalers, while the buyers are retailers and resellers. Given the nature of B2B transactions, the average invoice value is typically substantial. Therefore, offering installment plans to buyers has proven to be an excellent solution.

By default, CS-Cart already integrates with the payment service provider Stripe, enabling installment options. However, this functionality was not initially available in the mobile application. To address this, we developed our own integration for the client. As a result, Gowholesale can now offer even more businesses and resellers the convenience of paying in installments through the Klarna and ClearPay systems provided by the Stripe aggregator. Whether using the desktop version or the mobile application, purchasing on installment is now just as easy and accessible for our users.

Elit

Elit is a specialized marketplace catering to medical organizations and doctors. With a network of physical stores, they offer a wide range of products, including medical equipment, consumables, furniture, and even customized medical clothing. Also Elit accepts corporate orders from clinics and dentists, serving both individual customers and legal organizations.

Considering the specific requirements of the Russian market, PayPal may not be the most suitable payment service. Offering multiple payment options is important not only for customers, but for business too. Therefore, we’ve developed integration with Robokassa to provide a diverse range of payment options within our application. Clients can now conveniently pay using various methods, including bank cards, QIWI, and Yandex Pay.

In addition, we have included integration with the Podeli service, provided by Alfa Bank. This allows Elit to offer installment plans specifically designed for corporate clients with significant transactions.

Garage

The Garage marketplace provides customers with an extensive range of car acoustics and audio equipment products and accessories. The Pay Keeper payment service has already been introduced on the site, and the company has established internal processes.

Since the introduction of a new service requires a new contract and new transaction processing procedures, it was necessary to extend this payment service to the mobile application as well.

Pay Keeper is an integrator that accepts and processes various types of payments, including bank cards, popular Pay services, as well as QR codes. Additionally, it serves as an integrator for most banks, allowing for a wide range of payment methods and bank connections.

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By providing customers with as many payment options as possible, you increase the likelihood that customers will stay with you rather than leaving for competitors. Don’t hesitate to connect us to making your business application better!

The post The Rise of Mobile Payments: Transforming the Way We Shop Online first appeared on Cart-Power.