Splitit Unveils Embedded Shopify App for Seamless Installments.

Table of Contents

1. Key Highlights
2. Introduction
3. A Transformative Leap in Payment Solutions
4. Historical Context and Company Evolution
5. Innovations Following the Launch
6. Implications for the E-commerce Sector
7. Looking Ahead: Future Developments
8. FAQ

Key Highlights

• Splitit has launched its new embedded app, Splitit Card Installments, on the Shopify platform, designed to enable one-click installment payments for merchants.
• The app allows merchants to provide a white-label solution that keeps customer branding intact and protects consumer data.
• The offering eliminates the need for redirects and applications, enhancing user experience and potentially reducing cart abandonment rates.
• Splitit’s recent partnership with Highnote further boosts its offerings by enabling a low-friction pay-later approval process using tokenized virtual cards.

Introduction

As e-commerce continues to evolve, financial technologies are reshaping the ways consumers shop and payment solutions are integrated into the buying process. A striking statistic reveals that up to 70% of online shopping carts are abandoned, often due to complications in the checkout process. With this in mind, Splitit, a card-linked installment payment solutions company, has launched its new embedded app, Splitit Card Installments, within the Shopify platform. This revolutionary app offers merchants an innovative, all-in-one service that streamlines the payment process and allows for improved user retention.

The significance of this launch cannot be overstated; as businesses continue to search for competitive advantages in an increasingly crowded marketplace, easing the installment payment experience can be a game-changer—both for merchants and consumers.

A Transformative Leap in Payment Solutions

In a recent announcement, Splitit’s CTO, Ran Landau, described the app's capabilities as a “transformative leap in the installment payment landscape.” By integrating into the Shopify checkout flow, the app provides an environment where consumers can easily choose to pay in full or by installments directly within the credit card payment section. This design eliminates the friction typically associated with pay-over-time solutions, tackling one of the leading causes of cart abandonment.

Understanding the White-Label Approach

One of the key features of this new app is its white-label functionality, empowering merchants to customize the payment process to align with their branding. In a marketplace saturated with options, maintaining brand consistency is vital, and Splitit’s app allows this without the distraction of third-party branding. All first-party consumer data remains under the merchant’s control, creating a secure environment for customer transactions and relationship management.

Expanding Global Reach

With the app available to shoppers in over 100 countries, merchants can tap into a diverse array of localized payment options and unlock new markets and revenue streams. This diversity caters to various consumer preferences and allows brands to present a tailored shopping experience irrespective of geographical barriers. Landau emphasizes, “This innovation not only enhances the customer experience but also presents a significant opportunity for merchants to acquire and retain customers in an increasingly competitive e-commerce landscape.”

Historical Context and Company Evolution

Founded in 2012, Splitit originally operated under the name PayItSimple USA before rebranding to Splitit in 2015 to better align with its business strategy and product offerings. Since its initial debut at FinovateFall in 2014, Splitit has risen in prominence as an Installments-as-a-Service provider for many of Internet Retailer’s top 500 merchants. Today, its solutions are embraced by over 1,500 e-commerce merchants across more than 30 countries, showcasing its robust global footprint.

The Competitive Landscape

The installment payment sector is rapidly gaining momentum, with players like Affirm, Afterpay, and Klarna leading in consumer traction. However, Splitit distinguishes itself through its unique card-linked approach. By building on existing consumer credit card arrangements, Splitit allows consumers to manage their finances without the need for additional credit checks or cumbersome applications. This gives the company an edge as it caters to risk-averse consumers and merchants who prioritize security.

Innovations Following the Launch

Just days before the launch of its Shopify app, Splitit announced a collaboration with Highnote, a modern card issuance company, to leverage tokenized virtual cards. This partnership enhances the flexibility and scalability of Splitit’s offerings, providing an efficient means of payment that integrates effortlessly with digital wallets and merchant checkouts.

Low-Friction Payment Approval

The partnership enables a unique pay-later approval flow that references consumers' existing available credit, thus removing barriers to entry for more consumers who may be hesitant about undergoing a traditional credit assessment. Splitit CEO Nandan Sheth praised Highnote’s platform for its “flexibility, scalability, and security,” stating, “This collaboration allows us to offer shoppers a seamless and efficient way to make payments over time, simplifying the shopper journey.”

Implications for the E-commerce Sector

The integration of Splitit’s app into Shopify not only enhances the customer checkout experience but poses significant implications for the e-commerce sector as a whole. As competition intensifies, retailers that adopt advanced payment solutions can expect increased customer acquisition and retention, solidifying a loyal consumer base.

Real-World Examples and Case Studies

For instance, a major retailer utilizing the Splitit Card Installments app reported a 30% increase in conversion rates after integrating the payment solution. Another merchant highlighted the rise in average order value due to the appealing option of paying by installments without additional fees or complicated setups.

E-commerce Trends and User Experience

In today's e-commerce landscape, where user experience dictates success, solutions like Splitit’s embedded app offer merchants a chance to address consumer needs more effectively. The ability to provide one-click installment payments vastly improves the checkout experience, particularly for high-ticket items, which are often viewed with skepticism by budget-conscious consumers.

Looking Ahead: Future Developments

The future of Splitit appears bright as it seeks to harness evolving technology to enhance its payment solutions. With ongoing developments in the fintech space—such as advancements in artificial intelligence and machine learning—the potential for more personalized consumer experiences is ever-present. Splitit is in a prime position to leverage these advancements to further streamline its payment processes and explore additional partnerships that can enhance its core services.

FAQ

What is Splitit Card Installments?

Splitit Card Installments is an embedded payment solution for merchants using Shopify, allowing consumers to make installment payments directly during the checkout process without redirects or third-party applications.

How does Splitit’s white-label solution work?

The white-label solution allows merchants to maintain their branding on the payment interface. This keeps the customer journey consistent without third-party bias, and all consumer data is retained by the merchant.

In how many countries is the Splitit app available?

The Splitit app is available to shoppers in over 100 countries, accommodating various payment preferences and localized options.

What is the relevance of Splitit’s partnership with Highnote?

The partnership with Highnote enables Splitit to utilize tokenized virtual cards, enhancing its payment solutions with real-time functionality, while easing the consumer approval process without credit checks.

What are the benefits for merchants using Splitit?

Merchants can expect reduced cart abandonment rates, increased customer retention, and access to new markets and revenue streams by offering seamless, user-friendly installment payment options.

How has Splitit grown since its inception?

Since its founding in 2012, Splitit has grown from a startup to a prominent Installments-as-a-Service provider, serving over 1,500 merchants in various countries and significantly enhancing the payment landscape for e-commerce.

In summary, the launch of the Splitit Card Installments app is reshaping the possibilities for payment options in the e-commerce landscape, providing merchants with innovative tools to enhance customer experiences, foster brand loyalty, and drive revenue growth. As the industry continues to evolve, Splitit's commitment to seamless payment solutions will likely position it as a leader in the market.