Finnish online shops are losing nearly EUR 2 billion worth of orders annually due to complicated shopping. In addition, inadequate procedures result in unnecessary work estimated at EUR 0.5 billion. Paytrail and Flashnode are solving these challenges by making online business extremely easy and thus enhancing the growth potential for online shops.
A smooth shopping experience is the starting point for success
Everything starts with making the buyer’s online shopping experience convenient and smooth. This amounts to growth in the number of customers who complete their orders and satisfied consumers returning to easy shopping. However, often the customer is directed to unnecessary intermediate steps and required to type in a lot of information before the order can be completed. According to several studies, as much as over 60% of shopping baskets are abandoned between the different steps.
Paytrail, the biggest and most popular provider of online payment services in Finland, has brought its own account service to the market, solving the problems with the order process and enabling Finnish online shops additional sales in the value of EUR 2 billion. With the help of this service, the online buyer can – using an e-mail address and a one-time PIN code delivered to their phone – finish the shopping process with one click without intermediate steps – and without leaving the online store. Using Paytrail Account eliminates the need to constantly enter address information and authentication using bank ID codes.
Paytrail Account also enhances buyer security. The online consumer does not have to enter their own personal information into several shops or services. It is enough that the information is stored with an authorized payment institution. There are tens of thousands existing Paytrail accounts and the account can be used when visiting nearly 3,000 Finnish online shops.
Automated functions create efficiency
Creating successful business online also requires practices that ensure cost-efficiency and saving time from manual labor for operations that develop business. According to Flashnode’s studies, it may take online shops as much as 35 minutes to process one order, taking different phases into consideration. For example, the manual processing of 10 orders per day at EUR 25 per working hour creates more than EUR 3,000 in expenses per month. On a national level, the cost impact will rise to EUR 0.5 billion, which could be used instead for developing the shop’s competitive edge.
It is vital that the post-order information is automatically and accurately transferred to the financial administration and accounting. Flashnode’s recently launched service manages the transfer of information and also solves problems and inefficiencies of many online shops.
With the Flashnode service, warehouse inventory is always accurate, creating on time delivery into a great competitive advantage for online businesses. For B2B online shops, the service makes it possible to determine client-specific prices. The pioneering online shop Pulju.net has already started using Flashnode’s services.
Paytrail and Flashnode services enable growth
With the services of Paytrail and Flashnode, online businesses can have complete automation, from the consumer’s shopping process to accurately posted payments in accounting. The services cost altogether less than EUR 100/month.
”Online business operations are still in the early phases of providing convenient consumer shopping experience and automated real-time transfers of information. By using Paytrail and Flashnode services, these disadvantages can be eliminated, providing billions in savings to Finnish online businesses,” says the founder, serial entrepreneur and online shop visionary Lennu Keinänen.
Paytrail company profile:
- Established in June 2007 under the name Suomen Verkkomaksut/Finnish Web Payments. On 5.6.2013, the company name changed to Paytrail and the new Paytrail account service was launched.
- EUR 4.5 million turnover in 2013
- More than 4,000 corporate customers in 10 countries. More than half of Finnish online stores use Paytrail’s service.
- Tens of thousands of Paytrail Account users.
- Estimated payment volume for 2014 is EUR 0.5 billoin.
- Around 40 employees
- Headquarters in Jyväskylä, Finland
- The company is considered a forerunner in Finnish online payments and it was the first in its field to receive a payment institution authorization in its home country.
Flashnode company profile:
Flashnode is a Finnish company that has developed an entirely new integration service that makes it possible to connect the company's information systems in a better and more efficient manner than ever before. The aim of the company's services is to help its clients to reduce the amount of manual work involved in maintaining an online business and enhance their operations.
For additional information:
Lennu Keinänen, Founder, Paytrail ja Flashnode
+358 44 776 7827, lennu.keinanen@paytrail.com
Jani Karhunen, Founder, Flashnode
+358 44 776 7828, jani.karhunen@flashnode.com
Roope Peltola, Founder, Pulju.net
+358 50 585 8159, roope.peltola@pulju.net
Suvi Tikkanen, Marketing Director, Paytrail
+358 40 562 8283, suvi.tikkanen@paytrail.com
Written by Suvi Tikkanen - Mar 25, 2014
