Making online purchases with debit cards should be simple. But up until now, a fluid and frictionless payment experience with debit cards in Brazilian ecommerce were unknown to local online shoppers. Debit cards represent a mere 13% share in ecommerce payments in Brazil – a number that might sound counterintuitive to the fact that there are over 160 million active debit cards in the country.
So, what is the missing element in this equation that prevents debit cards from having a larger share in online payments in Brazil?
First and foremost, it is important to understand that credit and debit cards are considered different payment methods in Brazil and are therefore displayed separately at the checkout page. When choosing to pay with debit cards, buyers were redirected to the issuing bank’s website to authenticate the purchase. However, this authentication process required customers to have an internet banking security module installed on their computers. This killed conversions and did not work at all on smartphones, which led merchants to remove debit cards as a payment option.
PagBrasil’s exclusive Débito Flash™ solves these issues and provides the best payment experience for debit cards.
Using the 3DS2 protocol, Débito Flash™ facilitates a fluid payment process with no redirects or complexities. After completing the debit card information at the checkout page, consumers receive a push notification from their banking app or a code via SMS text message to complete the purchase. Easy, secure, and intuitive.
5 reasons online businesses in Brazil should offer debit cards
Credit cards, Pix, boleto bancário, digital wallets – with so many payment options, why offer another one? We list below five reasons why you should add debit cards to your checkout.
Reach a larger number of consumers
Debit cards are one of Brazilians’ favorite ways to pay for daily purchases. Many consumers in Brazil would rather use their account balance than consume their credit card limit, as it gives them a better sense of control of their finances. Furthermore, some buyers also prefer keeping their credit limit for popular installment payments. This is not to mention that many consumers in Brazil have no access to credit cards at all.
Debit cards are an efficient alternative for many consumers, meaning your digital business will maximize sales by reaching more buyers.
Provide the best mobile payment experience
M-commerce is on an all-time rise in Brazil: 78% of Brazilians said they shop more frequently on their smartphones than on desktop devices. Offering a payment experience optimized for mobile is essential for digital businesses selling in Brazil.
Débito Flash™ enables mobile payments in a way never experienced before in Brazilian ecommerce: users can finally purchase with debit cards using their smartphones, without facing any hassle. The payment process is very similar to credit cards, and customers don’t have to leave the checkout to complete a payment.
Unlike boleto bancário and Pix, where consumers need to open their mobile banking app to complete a purchase, Débito Flash™ allows the entire process to be done within the store’s environment, without ever having to open a secondary app to complete the transaction.
Reduce fraud and chargeback rates
Thanks to the secure authentication process, digital businesses that offer Débito Flash™ reduce fraud, and, consequently, chargeback rates. In addition, your ecommerce business also benefits from higher authorization rates.
Benefit from competitive fees
With Débito Flash™, digital businesses benefit from more competitive fees when compared to credit cards. This increases profit gains, and businesses achieve better results.
Easily reimburse your customers
Having to reimburse a customer is no pleasant task – however, it can eventually be necessary. Débito Flash™ provides an easier reimbursement process when compared to other payment methods such as boleto bancário, online banking transfer, and Pix.
Get a head start on this groundbreaking revolution in Brazilian ecommerce and provide the best payment experience for your customers with Débito Flash™. Get in touch with our team to learn more!