Showing posts with label Amazon Pay Payment Market. Show all posts
Showing posts with label Amazon Pay Payment Market. Show all posts

Wednesday, July 11, 2018

Disrupting The Payments Market Via Amazon Pay: Ken Research

According to the study, ‘Alternative Payment Solution: Amazon Pay’, many companies have partnered with Amazon to enable merchants to receive payments. Some of the biggest companies are PayPal, Visa Checkout, Masterpass, Visa, Mastercard, Discover, American Express, Diners Club, and JCB.


The basic benefit behind Amazon is that it simplifies the way sellers accept payments. Users do not have to enter information repeatedly over new purchases such as address or credit card details and thereby streamlining the online purchasing process. All this information is kept secure with Amazon A to Z guarantee that boasts of a glaring security that includes merchant protection and fraud detection. Amazon offers this service to small retailers as well as big enterprises helping them to forge a strong relationship with their customers by improving user experience resulting in less cart abandonment and enhanced loyalty from shoppers. This allows the whole checkout process to be rendered faster thereby improving conversion rates significantly. This enhanced user checkout experience translated into less cart abandonment and enhanced loyalty from users.

Amazon Pay is an Amazon owned online payment processing service which was launched in 2007. Amazon Pay majorly operates in 7 countries namely Germany, U.S.A, Spain, France, Italy, Japan, India and the United Kingdom. The target market that Amazon Pay focuses is the user base of Amazon.com that enables users to pay for their purchases on external merchant websites.

Amazon Pay provides was originally invented with two prime services. These were Amazon Pay and Amazon Pay Express. Users can purchase goods and services using the addresses and payment details such as debit or credit cards stored within the Amazon account. This service is available both via mobile application and website. Amazon Pay Express is a service that is built on Amazon Pay which uses Java to create a button that can be used via any website or Wordpress plug in. The uniqueness of this service comes from the fact that it does not require full E commerce integration.

In 2018, Amazon announced the launch of in skill purchasing to all Alexa developers, along with Amazon Pay for skills. Developers can generate revenue from voice applications on Alexa-powered devices like Amazon’s Echo speakers. For instance app developers can charge for voice based games or offer other content and simultaneously receive payment via Amazon Pay for their applications.
Amazon introduced a new feature called Amazon Pay Places which allow users to order ahead shopping or pay for in store purchases using their Amazon App. Instead of using cash, check, credit or debit while shopping out in the real world, customers can just use thier Amazon account information. The implementation of Pay Places involves a partnership with the TGI Friday’s restaurant chain which is set to expand to other physical and retail stores.

With the introduction of Amazon Pay, Amazon is expected to disrupt the global payments market. Amazon pay reaps benefits to consumers of greater ease. Since, consumers today prefer to make use of technology that is more convenient than its predecessors; Amazon Pay can easily improve its presence due to its unique feature.

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Ken Research
Ankur Gupta, Head Marketing & Communications
+91-9015378249