Table of Contents
Introduction
In an era dominated by digital transactions and mobile connectivity, the shift towards online payments has become more pronounced. With over 4.88 billion smartphone users worldwide and a significant portion of consumer spending expected to originate from mobile devices by 2025, it’s clear that the future of commerce is firmly in the palm of our hands.
Enter, PayToPhone.
What is PayToPhone?
Designed and developed in-house for merchants/businesses who prioritise user experience, PayToPhone is a secure disbursement solution, empowering businesses to effortlessly transfer funds to end beneficiaries/customers directly, knowing only their mobile numbers.
This innovation not only simplifies the onboarding process but also enhances conversion rates by reducing the complexity and time involved in traditional payout methods.
One solution, fits many business use cases
This industry-first solution is set to transform the Indian payouts landscape with instant payouts, simplified onboarding, reduced drop-offs for both merchants and customers, across many business use-cases.
Industry focus: E-commerce
PayToPhone is an ideal fit for e-commerce platforms where the return rates can be as high as 40% for COD orders. PayToPhone streamlines the refund process, making it faster and more efficient.
Problems faced by businesses
- Onboarding friction & drop offs: High drop-offs in the onboarding journey or other journeys where the user is expected to enter payment instrument details.
- Erroneous payouts: Incorrect information from the end user leading to erroneous payouts due to incorrect payment instrument details shared by the end users.
- High refund TAT: Typically, any refund takes between 2-7 days, depending on the payment method and the customer’s bank account. Late refunds = dissatisfied customers.
- Increase in customer queries: Customers contact merchants’ customer care in case they do not receive the refund within a couple of days. This ends up forming a large chunk of all customer queries and is a huge cost centre for most businesses.
Problems faced by end customers
- Annoyed by the hassle of inputting lengthy card information or reluctant to disclose sensitive data.
- Upset by the inconvenience of refunds being deposited into incorrect accounts.
- Dissatisfied with the average refund processing time of 2-7 days.
- Frustrated with refunds being credited to their merchant app account as ‘credits’ instead of receiving it in their accounts.
All of the above factors also results in poor customer satisfaction & sluggish growth in business.
Solution
Here’s how PayToPhone helps solve challenges with COD order refunds:
- Direct payouts using mobile number: Businesses can now send payouts 24X7, directly to their end customers, eliminating form filling with simply a mobile number-based instant payout.
- No customer data sharing: Businesses can now ditch the hassle of collecting sensitive payment information like UPI ID, card details, from their end customers.
- Double-check beneficiary name: They can efficiently verify beneficiary names to ensure refunds go to the correct recipient, mitigating fraud and saving time and money.
- Refund revolution: Refunds are instantly credited under 60 seconds to the payment instrument linked to the end user’s mobile number, thereby eliminating frustrating delays of 3-4 days, and reducing customer care calls by 60%.
- Boost NPS: PayToPhone simplifies COD order refunds, ensuring data security. This empowers merchants to deliver exceptional customer experiences, fostering trust and loyalty, ultimately increasing their NPS score.
- Industry’s best success rate: PayToPhone ensures seamless delivery of payout with a success rate of over 99%. Moreover, it provides a rapid turnaround time with 95% of terminal statuses confirmed within 1 minute.
PayToPhone’s versatility extends beyond e-commerce. Focused on merchants in the B2C segment, with a high emphasis on user experience, low payout value, and high payout volumes, PayToPhone enhances onboarding and disbursal journeys, resulting in 4X conversion rates.
It’s an invaluable capability for insurance claim refunds, marketplaces with security deposit models, jewellery businesses managing unclaimed deposits, financial services for account closures or loan disbursals, and even sectors like online gaming and utilities.
What’s in it for businesses
- Increased sign-up rates: Frictionless onboarding leads to higher conversion rates
- Reduced customer churn: Improved user experience builds brand loyalty
- Lower operational costs: Streamlined process saves time and resources
- Reduced errors and fraud: Accurate payouts minimise financial losses
- Improved customer satisfaction: Avoids frustration caused by refund delays or errors
- Enhanced brand reputation: Demonstrates commitment to data security and customer care
What’s in it for customers
- Fast and convenient: Get refunds in seconds with just their mobile number.
- Secure and private: No need to share sensitive card/bank a/c details.
- Familiar and accessible: Works with any mobile number, no app download needed.
- Accurate, timely refunds: Receive refunds directly to the right linked account, on time.
- Data privacy: Sensitive information remains secure and protected.
Conclusion
The launch of ‘PayToPhone’ aligns with Cashfree Payments’ vision of building innovative solutions that help merchants increase productivity and efficiency to drive revenue growth. The solution is built on a sophisticated ‘name matching algorithm’, which demonstrates an exceptional success rate, achieving close to 100% accuracy, with errors consistently maintained below 1%.
PayToPhone is going to be a game-changer in the payouts space as merchants can now simplify payouts, ensuring data security and fostering exceptional customer experiences. In fact, it’s a testament to unlocking the latent potential of mobile numbers, offering a seamless, secure, and delightful experience for both merchants and their customers!
Experience the benefits of PayToPhone for your business today! Know more
