Multi currency payments in ecommerce refer to a flexible payment option where international customers can buy goods and services online using their preferred currency. If an ecommerce brand sells its products worldwide and does not implement multi currency payments the customers will have to pay charges at their end as currency conversion fees.
When ecommerce websites sell to global buyers in multiple currencies, the international buyers get transparent pricing that does not have any surprises in terms of hidden currency conversion costs etc. This makes the checkout frictionless and reduces instances of abandoned carts.
Cross-border ecommerce has been growing rapidly in the past few years. As per a study, one out of every seven online transactions is done for cross-border payments. With the rise of mobile commerce, brand presence on various social platforms, easy digital payment options and reduced delivery time of global orders, customers are opening up to buying from ecommerce brands selling cross-border.
Gain wider acceptance for brand with easy and transparent payments in multiple currencies
Reduce abandoned checkouts due to sudden additional charges popping up at the payment stage
Boost conversion rates with the option for payment in local currency of the customer
Offer personalized multi-currency prices for different countries or buyer groups
Easily change prices based on currency fluctuations for different currencies
Handle foreign exchange and taxation seamlessly with multi currency payments and invoices
Improve relations with your multi-country suppliers of your online marketplace by paying them in their preferred currency
Collect customer data about preference for different currencies and use it to plan strategic business moves
Though multi currency payments are the best way to engage and convert international customers, implementing many currencies on an ecommerce website has its own set of challenges.
The key challenges of implementing multi currency ecommerce are:
Updating and managing currency rate fluctuations on daily/regular basis
Adding unlimited currencies and managing them for different geographies
Implementing automatic currency switch based on customer location
Adding multi currency payment options for different storefronts and directing customers to dedicated stores that processes their preferred currency
Having the flexibility to override automatic currency conversions with manual updates
Implementing different rounding off formats for different currencies. For example, $20, Euro 20.35 etc.
Converting customers’ preferred currency to the actual currency supported by payment gateways at payment level
Creating multi currency invoices while handling shipping, taxes and restrictions for various countries
Cross border ecommerce comprises 22% of retail ecommerce and the share is growing steadily. Accepting multi currency payments helps ecommerce businesses localize their international offerings. By implementing multi currency ecommerce along with multi lingual content brands can establish a better connect with their international customers. This in turns goes a long way in consolidating their presence in global markets.
StoreHippo enterprise ecommerce platform comes with an inbuilt multi currency solution for ecommerce that enables brands to overcome all the challenges of implementing multi currency for their business. StoreHippo offers full template support for implementing multi currency and brands don’t need to sue additional apps or plugins to implement multiple currencies. With StoreHippo ecommerce brands can easily implement multi currency payments in all the major currencies used across the globe.