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With an ever-increasing amount of payment methods, knowing what to add to your checkout might seem complicated. The good news is that Pay by Link isn’t exactly a checkout payment option. But it is one that customers who use retail finance definitely seem to love. Here’s why.
What is Pay by Link?
The clue is in the title. Pay by Link lets a business generate a payment link that can be shared via email, SMS, chat, or social media, enabling customers to make payments securely with just a few clicks.
Where does this come into play in the payment process, you might ask? There are several ways that businesses use this method, depending on the stage of the journey or the challenge it’s intended to solve.
How does Pay by Link work?
The process of Pay by Link is straightforward and typically involves the following steps:
1. Link generation
The service provider creates a unique payment link through their payment gateway or processing platform. This can be customized with specific payment details, such as the amount due, description of the product or service, and any applicable taxes or fees.
2. Link delivery
The payment link is sent directly to the customer through a preferred communication channel. This could be via email, SMS, messaging apps, or even embedded in a website or social media post.
3. Customer clicks the link
When the customer receives the link, they can click on it to be redirected to a secure payment page. This page also outlines the payment details and options.
4. Payment process
Your customer will be given various payment methods to choose from (i.e credit cards, debit cards, digital wallets, or finance options) depending on what you offer. Once the customer selects their payment method and confirms the transaction, the payment is processed in real time.
5. Confirmation
After the payment is successfully made, both you and the customer receive confirmation (either a receipt or notification), ensuring the transaction can be documented and tracked easily.
How can Pay by Link help my eCommerce business?
There are a lot of advantages to Pay by Link. Ultimately, having this option available will help streamline the payments journey for your customers. Here’s a breakdown of the benefits of this payment method.
1. Convenience
Pay by Link provides a hassle-free way for your customers to pay. Instead of navigating complex payment portals or entering extensive details, the payment link directs customers to a pre-filled payment page. For merchants, this means fewer abandoned carts and improved sales conversion rates.
2. Security
One of the key advantages of Pay by Link is that it leverages secure payment gateways, offering encryption and fraud protection. Many platforms use tokenization to protect sensitive customer information, further enhancing security. The links themselves are often time-sensitive, reducing the risk of misuse.
3. Flexibility
For merchants offering instalment plans or other forms of financing, Pay by Link can be particularly useful. The merchant can embed financing options directly within the payment link, allowing customers to choose between full payments, monthly instalments, or other finance plans. This flexibility helps to meet a range of customer financial needs, whether they’re purchasing high-ticket items or looking for budget-friendly options.
4. Reduced complexity for merchants
Pay by Link simplifies the payment infrastructure, because it doesn’t require businesses to develop custom checkout pages or payment portals. Payment gateways usually provide all the necessary tools to manage these links, including tracking, reporting, and integration with existing systems such as CRM or inventory management platforms.
How does DivideBuy use Pay by Link?
Our retail finance platform, DivideBuy, has added a Pay by Link feature specifically to protect your customers who have already placed an order with us.
We use Pay by Link to help reduce arrears for your customers. By including links in missed payment emails and SMS, we give customers the option of just a single click to a payment page for ease of use.
This means customers can quickly catch up on payments, making it easy to get back to their planned loan. Our customer service team can also send these links via live chat – so your customers are always supported in staying on track with their finance plan.
To find out more about our retail finance solutions and how we can help you boost growth, get in touch with us!
