SINGAPORE - Although mobile commerce is becoming increasingly prevalent, with slightly more than half (52 per cent) of all online transactions in Singapore occurring on mobile or tablet platforms, many online shoppers still drop off halfway, according to a Visa survey.
According to data from payment services firm Visa, two in three Singaporean consumers have cancelled an online purchase. The majority, or 55 per cent, of these abandoned transactions occur on mobile devices or tablets.
Therefore, although most online transactions now occur on mobile or tablet platforms, only 35 per cent of online payments are made on these devices, according to Visa's eCommerce Monitor 2015.
The 705 Singapore shoppers surveyed said that they cancelled their online transactions because it took too long to complete the payment process or it was too troublesome to enter their personal details.
To address these issues, Visa today (Jan 27) launched a new online payment solution that hopes to reduce the number of steps required to complete an online purchase.
The new service, called Visa Checkout, allows users who have registered for an account to make payments with their username and password for merchants which have also implemented the service. This means that shoppers no longer have to fill in their credit card details for every single transaction.
"As more people start to spend more time and money online, particularly using mobile devices, they are also demanding a fast, secure and frictionless way to shop online," said Ms Ooi Huey Tyng, Visa Country Manager for Singapore and Brunei.
Ms Ooi also noted that the service, which is available in 16 markets worldwide, also benefits merchants, as the simplified payment process reduces the number of abandoned transactions, and also takes away online merchants' need to store their customers' personal data.
Mr Francois Hribovsek, Director of Visa South East Asia Emerging Products and Innovation, revealed that in the future, Visa Checkout may be expanded so that patrons may be able to place their orders and pay their bills at a restaurant using the service via a restaurants' website or mobile app.
Thus far, the service is accepted by 15 merchant partners in Singapore, including Golden Village, Guardian, Aviva and Cold Storage. More merchants, including online travel site Zuji and supermarket chain NTUC FairPrice, are also due to sign on.
Golden Village Chief Executive Officer Ms Clara Cheo said that initial adoption rates have been promising, and is expecting more customers to use the service over the next few months.