Merchants continue to fail in delivering a seamless and localized ecommerce experience to shoppers outside their own country- a dangerous choice when 20% of all online shoppers currently come from foreign IP addresses, which is estimated to become 45% of all online shoppers by 2020.
The fourth quarter installment of the PYMNTS.com X-Border Payments Optimization Index powered by Digital River, rated more 195 online stores on a scale of 1 (low) to 100 (high), across almost 60 attributes, including shipping, payment, information access, pricing, security, ease of use, support, and time and effort required to checkout. On average, the stores – which spanned 10 countries, including Canada, China, France, Germany, Italy, Japan, Mexico, the U.K., the U.S. and Spain – scored 55 out of 100, down slightly from last quarter’s 56.
Disparity is growing between the most- and least-optimized cross-border sites:
• The top 10 most-optimized sites are getting better at meeting the needs of global consumers, investing in and rolling out additional capabilities to make it easier for them to shop outside their home country. These include offering six or more languages and currencies, and four or more payment types with a globally-recognized brand.
• Meanwhile the 10 least-optimized sites are doing worse on many metrics, with 60 percent of the least-optimized sites only offering one globally issued payment option: PayPal.
What country is most optimized to reach cross-border shoppers?
• With an average score of 65, the U.S. continues to lead the 10 countries analyzed.
• China comes in second place with a score of 61, while Germany moves up three spots to fifth place.
• Countries in the middle of the pack (China, Germany and Spain) are still missing out on key attributes that most-optimized sites offer, including mobile-friendly shopping experiences and support of multiple languages, currencies and global payments methods.
For data, background and forecasts on Cross-Border Payments: Search CardWeb.com’s CardFlash® Library of more than 58,000 archived articles; Access CardWeb.com’s CardData® for current and historical Performance, Portfolios, Profiles, etc. Visit RAM Research® (ramresearch.com) for quarterly and annual forecasts covering more than 150 metrics. [complimentary or deeply discounted access to CardWeb.com subscribers].
Additional database resources include CardWeb.com’s CardExecs® – comings & goings of payments movers & shakers; CardWeb.com’s CardWatch® – ears & eyes on marketing globally (57K items); and CardWeb.com’s CardPixes® – form & function of card design (7K items).