A recent study by MasterCard found that U.S. consumers consider entering billing and shipping information one of the most annoying parts about online shopping. This suggests that companies should consider updating the transaction process by implementing automated subscription billing and payment methods, which creates a win for both consumers and businesses. Companies can interact with consumers in unique new ways, while leveraging the stability of recurring revenue business models.
"Online and mobile shopping puts a host of new options at consumers’ fingertips but the current checkout process needs improvement to fully realize the potential of these important retail channels," MasterCard Worldwide executive Geoff Iddison said. “The research shows that consumers want a simpler, faster way to enter account information so they can spend more time searching for exactly what they want and less time filling out forms at checkout."
The study found 58 percent of online shoppers said they would like to be able to securely store billing information that they can easily access when making a purchase. By using Software-as-a-Service (SaaS) or cloud-based billing processes, businesses may be able to hold onto and recover sensitive information for consumers in offsite locations.
According to Forrester Research, the U.S. ecommerce market will generate nearly $279 billion in revenue by 2015. As online shopping trends continue, businesses should consider making the purchasing process easier by using SaaS billing practices.