Payment terms crucial for B2B eCommerce success – study

In a revealing report released by Hokodo, a provider of flexible payment terms for B2B eCommerce, the spotlight is turned on the evolving habits and eCommerce expectations of business buyers, offering invaluable insights for B2B sellers. This study, engaging 500 B2B buyers, highlights the undeniable importance of payment terms in the eCommerce journey, revealing a striking 83% of respondents would discontinue a purchase if such terms were absent at checkout. This detail underscores a glaring gap in the market, where B2B sellers stand to lose significant opportunities for growth and customer acquisition by not offering flexible payment terms.

Hokodo's investigation into the eCommerce landscape brings to the forefront the criticality of payment terms for business buyers. A notable 79% deem them crucial for their business's success in the forthcoming year. Furthermore, an overwhelming 82% of buyers consider access to payment terms an important factor when selecting a B2B supplier. These findings clearly articulate the sentiment that payment terms are not a mere convenience but a fundamental need for businesses aiming to thrive.

The report also sheds light on the broader challenges faced at checkout beyond just the need for payment terms. A mere 2% of participants reported a seamless checkout experience, suggesting a pervasive low expectation among buyers towards what suppliers can deliver. This scenario poses a significant risk for merchants, as dissatisfaction could drive buyers towards competitors offering a more streamlined and reliable purchasing process.

Feedback from the study participants identified key areas for improvement in the B2B eCommerce experience: enhanced transparency around shipping costs and fees, better customer support, and a need for simpler, quicker checkout processes.

In response to these challenges, Hokodo's report not only highlights problems but also proffers actionable recommendations for sellers to refine their customer experience. It advises sellers to engage directly with their customers for feedback on the checkout process, enabling them to pinpoint and rectify specific pain points. Such measures can significantly improve customer support, streamline checkout procedures, and introduce transparency around extra costs, collectively fostering a more satisfying buying experience.

Louis Carbonnier, Co-founder and President of Hokodo, comments on the findings, stating, "The findings of this survey reinforce what we at Hokodo have always known: payment terms are a must-have for B2B eCommerce transactions." He further elaborates on Hokodo's commitment to addressing this need by developing innovative solutions that allow merchants to offer flexible payment terms instantaneously, even to first-time customers.

Hokodo's report is a clarion call for B2B merchants and marketplaces to introspect and innovate, ensuring they align with the critical needs of their customers. By embracing the recommendations outlined in the study, sellers can significantly enhance their competitive edge, ensuring they not only meet but exceed the evolving expectations of business buyers in the digital age.