With a consumer base that includes increasingly debt-conscious Millennials, GlassesUSA believes that customers should not have to worry about breaking the bank when buying high quality eyewear online. This conviction led the company to adopt an installment payments option that allows shoppers to pay off their purchases in monthly increments with no interest, late fees or anxiety.
Since offering the Splitit payment option to customers, GlassesUSA has increased AOV by more than 15% for shoppers spending $120 or more on its products. Among these high-order-value baskets, GlassesUSA has seen a 10% decrease in checkout abandonment.
Geimanson noted that shoppers have two stages of decision making when they reach a specific product page: the first when the user selects the frames, at the upper part of the page, and the second when the shopper selects the lenses. Putting the Splitit option in front of the shoppers while they’re looking at frames may encourage them to select a more expensive pair. After a period of A/B testing each area separately via different user interfaces and messages, GlassesUSA determined that its purchase funnel should include buttons for both stages of the page.
“At the end of the day, from the merchant side, it’s about increasing conversion,” said Gil Don, CEO and Co-Founder of Splitit. “Increasing conversion isn’t about how many consumers are getting to the checkout, but how many consumers are actually moving from the product page to the cart page.”
After a consumer adds frames to their cart and selects the lenses they need, they see a total price — and what the monthly installment payments would be. If they click on the monthly installment total, a message pops up giving them more information and informing them to choose “Pay With Splitit” at checkout. After a shopper types in their credit card and billing information, they can select the Pay With Splitit option.
GlassesUSA Offers One Installment Plan, But Predictive Plans Are On The Horizon
While GlassesUSA is currently testing different variations of the Splitit payments plan, the retailer is publicly offering just one three-month installment plan to its customers. The plan is compatible with Visa and Mastercard payments cards.
“From a cognitive perspective, it’s always easier to look at $9 per month, rather than $90 at once,” said Geimanson. “I believe this will continue to grow and we are looking forward to enhancing that within our site for sure. We’re also working on our predictive capabilities. Basically, by predicting which users are less likely to purchase from a specific purchase range, we’ll be able to offer Splitit as a conversion rate incentive, even at lower price ranges.”
GlassesUSA completed the Splitit implementation process in three days. The company’s IT team worked closely with Splitit to collect information, set up a payment gateway and onboard it into the merchant portal. Immediately after the process, Splitit was available to customers as a payment option on the site.
“One of our main goals in the product department is to relieve consumers of the obstacles of purchasing online,” Geimanson said. “We launched an app that helps our users to grab their prescription from their current glasses. We’re also working on advanced virtual try-on features as part of our overall strategy to give consumers a greater experience when shopping for glasses online.”
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