Some say that payments can be an uninteresting subject. But industry experts prove otherwise and show that the topic can lead to an exciting conversation! At least, we have seen this in PagBrasil’s latest webinar in partnership with E-commerce Brasil.
We gathered specialists to discuss the main e-commerce payment trends in Brazil. Ralf Germer, CEO and co-founder of PagBrasil, Alexandre Reganati, founder of Buda Digital, and Ariel Alexandre, co-founder of E-commerce Experience, share their insights on e-commerce payment trends in Brazil. Here are a few highlights of the topics discussed in the webinar!
Pix helps digital businesses increase their sales.
According to a study by Gmattos, by the end of the second trimester of 2021, over 40% of merchants in Brazil were already offering Pix, the country’s instant payment method, in their e-commerce checkout.
For Ralf Germer, the main benefit of Pix for merchants selling to Brazil is the potential to increase sales. “Pix reaches more consumers, meaning online stores can boost their sales,” he says. However, the executive reinforces the importance of working with an efficient solution.
For Alexandre Reganati, Pix’s immediate confirmation makes the payment method great. “Consumers are the most anxious right after the purchase is complete. Therefore, customers have a high acceptance towards instant payment methods because they want everything instantly,” he says. For Reganati, Pix also increases conversion rates and encourages impulsive purchases.
For Ariel Alexandre, Pix is an excellent solution, even when compared to foreign technologies. However, his advice for digital businesses is to launch a Pix campaign. In other words, merchants should offer incentives, such as discounts per payment method, so consumers prefer Pix over other payment methods when shopping online. “Pix is instant, cheaper for operations, and the demand will only increase if more people are using it,” he says.
Traditional local payment methods are still relevant
One market speculation was that Pix would cannibalize traditional local payment methods, such as the boleto bancário, and become an alternative for merchants who can’t offer local debit cards in e-commerce.
But for Germer, the scenario has proven to be different. “The story is always similar, but radical changes don’t happen. Things develop and evolve over time.” For Germer, local credit cards remain relevant in Brazil due to benefits such as rewards and the possibility to pay in installments. For boletos, habit is still a very present element that makes replacing the traditional bar code for Pix more difficult.
For Reganati, credit cards and Pix will predominate the Brazilian e-commerce scenario. “I don’t see Pix cannibalizing credit cards any time soon, especially since many users store their credit card details in their web browsers.” The motives that most contribute to credit card preferences, according to Reganati, are installment payments and the possibility of centralizing all payments in one place.
Shopify business case and observed results
The conversation ended with a Shopify business case that uses PagBrasil’s solutions. Ariel presented the results of Pampili, a footwear company with over 2500 employees in the country. The company needs to rely on efficient technology to support all its operations. “For that matter, Shopify is an essential tool, especially when enabled with PagBrasil’s payment solution.”
According to Ariel, PagBrasil Pix represented, in September, 14.7% of transactions. Further, conversion rates stood at approximately 70%. “What I value at PagBrasil is the fluid experience, one of the most important aspects for frictionless payments,” he says.
Check out the entire webinar below! Remember that the conversation was in Portuguese, so don’t forget to set up the automatic subtitles on YouTube.