The 5 key indicators to optimize your strategy

46% of CFOs now consider payments as a driver of growth and revenue. We are in an era where profitability is closely monitored and where no area is immune to accurate performance analysis. So payment is no exception, it is playing an increasingly central role in business growth.

But how do you judge their performance?

1. Conversion rate: the key indicator

In 2022, the average conversion rate for all e-commerce industries was 2.96%.

The conversion rate, a key indicator, measures the proportion of visitors who complete a purchase. More specifically, it reflects the percentage of transactions completed compared to the number of payment pages displayed.

This number is closely linked to the characteristics of the payment page: does it inspire confidence? Is it easy to use on mobile?

2. The acceptance rate: maximize your income

Payment acceptance rate is another crucial indicator to keep a close eye on. It measures the proportion of transactions approved. This has a direct impact on your income but also on your image. Indeed, a refused payment experience is not well experienced by the customer. This may result in the permanent loss of this customer.

3. Frictionless rate: the balance between security and user experience

This indicator reveals the percentage of transactions that are not subject to the 3DS protocol. As a reminder, 3DS adds an authentication step that can sometimes discourage buyers.

While important for safety, using it consistently can lead to cart abandonment. It is essential to configure your system correctly to optimize authorization rates.

4. Retry rate: minimize sales losses

This indicator is linked to the acceptance rate and refers to the percentage of transactions that were retried after an initial refusal to pay.

Retry is a process completely invisible to the buyer that consists of taking alternative routes to obtain payment acceptance following a failure by the initial path.

Monitoring this rate improves the customer experience.

5. A more accurate analysis of performance: differentiating gross and net rates

This includes distinguishing the gross rate, which takes into account all payment attempts, from the net rate, which only counts the final outcomes.

This distinction allows for a more accurate analysis of performance and the identification of potential payment process problems.

Ready to optimize your payments? Learn how Purse can work for you.