Yandex.Checkout introduces a new feature allowing online stores and services to provide their customers with an option of paying for purchases in installments.
The installment plan will be available to the users immediately once they fill out a simple form at the Yandex.Checkout’s website. According to a 2017 NAFI Research Center report, 27% of the respondents prefer to get loans or installment plans online.
Yandex.Checkout supports about 76 thousand stores and services worldwide. The new service is easily integrated: any store connected to Yandex.Checkout can add the feature to its website.
According to data provided by GfK RUS and Yandex.Market in 2016, 64% of customers tend to make spontaneous purchases. ”It is often hard to decide on spending a considerable part of the budget on something expensive. Maybe the customer wants to make an impulse purchase, for example, during a sales period, but is simply unable to spend the required amount of money. That is where the installment plan service comes in handy: the desired product or service can be bought immediately after the user submits the form, and the first installment will be debited in 30 days. It is a very convenient system, so there is a high chance the customer will return to the store to make a new purchase“, says Yulia Gorelova, Head of Payment Business at Yandex.Money.
Once the store activates the feature, a small information block advising the customer on terms and conditions of installment plans will appear next to each item, so the user will be able to choose the payment period and see the amount of monthly installment.
The customer confirms the purchase by entering a security code from a text message. After that, the payments will be debited automatically from the Yandex.Money wallet on a fixed day every month. No need to constantly think about paying off the loan — just adding money to wallet on time is enough. Funds can be transferred from another e-wallet, from bank cards, via online banking, or added in cash via ATM. If the customers do not have the Yandex.Money wallet, one will be opened for them when they sign up for the installment plan. The user can access the information about previous payments in the dashboard, as well as check the amount left to be paid or even make an advance payment. According to data provided by Mediascope in 2017, 66.3% of Russians use e-wallets.
This new service is suitable for a wide range of online merchants, from furniture stores and childcare and maternity products retailers to flight ticket sellers and travel agencies. The project is developed by Yandex.Checkout in cooperation with PayLate.