If you’ve chosen Print-on-Demand business as your answer to the question “How to start an online store without inventory,” you’ve made a smart move. POD is a growing market valued at $6.18 billion in 2022, predicted to grow at 25.8% between 2023 and 2030.
If you want to succeed in your Print-on-Demand business, you’ll need to stay on top of growing trends. Consider adding digital wallets as a payment method to your online store.
So, it’s clear that you must integrate your Print-On-Demand (POD) business with a wide array of digital payments to sustain in the long run.
This article explores the importance of digital wallets within the world of POD businesses, examining their advantages. We’ll also discuss strategies for integration and potential future trends.
What are digital wallets
Digital wallets are electronic counterparts to traditional wallets, securely storing payment information. You can seamlessly conduct transactions using a computer or smartphone by linking your debit/credit cards or bank accounts.
The convenience of digital wallets becomes apparent when shopping. They allow you to make payments through your device, eliminating the need to carry cash or physical cards. Examples of digital wallets include PayPal, Apple Pay, and Google Pay.
👉 To learn more about digital wallets, read our recent Digital Wallets 2023: Exploring the Pros and Cons of Mobile Payments blog article.
Why digital wallets are beneficial for Print-on-Demand businesses
Digital wallets enhance both the customer experience and operational efficiency. Here are some key advantages:
- Digital wallets can streamline the checkout process and reduce cart abandonment. It minimizes the likelihood of customers changing their minds or encountering friction in the payment process.
- Digital wallets allow customers to make purchases with just a few clicks. This eliminates the need to enter credit card details for each transaction manually, resulting in increased conversion rates and heightened customer satisfaction.
- Digital wallets facilitate cross-border transactions more efficiently than traditional payment methods. This is particularly beneficial for POD businesses with customers from around the world.
- Some digital wallets allow businesses to integrate loyalty programs directly. This feature can help POD businesses retain customers by offering rewards or discounts through the digital wallet platform.
Print-on-demand companies can create a more efficient and user-friendly purchasing experience by integrating with digital wallets. It will help them enhance customer satisfaction and drive business growth.
Digital wallets for eCommerce
With the rising trend, digital wallets have become integral to e-commerce. Let’s explore some popular digital wallets, along with their features and cons.
1. Paypal. PayPal is one of the pioneers in digital payments, holding a 40.52% market share in the payment service sector. It allows users to link their bank accounts and credit/debit cards. Customers may even store money in their PayPal account.
- Two-factor authentication
- Buy now pay later (BNPL) services
- Secure encryption technology
- Free to use
- Relatively low transaction speed compared to its peers
- A decline in the market share in the year 2023
2. Apple Pay. Apple designed Apple Pay for users of Apple devices. It lets users securely store credit/debit card information on their iPhones or Apple Watches. In the online payment market, Apple Pay holds a market share of 12.62%.
- Touch and Face ID enhance security for authentication
- No additional fees for merchants
- Availability in 80 countries worldwide
- More privacy to data.
- Only Apple devices are compatible.
3. Google Pay. Google Pay is a versatile digital wallet that works across Android devices. It is currently available in 19 countries worldwide.
- Advanced privacy and security
- Promotional and loyalty rewards
- In-app purchases, peer-to-peer payments, and contactless payments through NFC (Near-field communication)
- Easy and completely free to use
- Supported by a limited number of banks
Users often choose digital wallets based on factors like security, convenience, and compatibility with their devices and preferences.
How to integrate digital wallets in Print-on-Demand
Integrating digital wallets into a Print on Demand platform involves collaboration with payment service providers that support these technologies. There are some steps you should consider in this integration process.
- Step 1 – Choose an eCommerce platform that supports digital wallet integration. Platforms like Shopify, Printify, and Magento have plugins or built-in features that make it easy to integrate different digital wallets.
- Step 2 – Identify the digital wallet options that align with your target audience. Consider your potential customers’ preferences and choose wallets catering to a broad user base.
- Step 3 – Collaborate with payment service providers that support the digital wallets. Payment gateways are intermediaries between your POD platform and the digital wallet, ensuring secure and efficient transactions.
- Step 4 – Enable the digital wallets you wish to integrate. This involves accessing your platform’s dashboard’s payment settings or plugins section. Follow the platform-specific instructions to activate and configure the digital wallet options.
- Step 5 – Conduct thorough testing before making the digital wallet options live on your POD platform. Execute test transactions using various digital wallets to ensure the integration functions correctly.
- Step 6 – Check the rules before accepting payments on your live store. You should understand the regulations for digital payments. For instance, most hosted digital payments need PCI DSS compliance. So, ensure you have all the necessary approvals and meet the compliance requirements.
Following these steps, you can effectively integrate digital wallets into your Print on Demand business.
Digital wallets for POD business: Case studies and examples
Making eWallets a seamless part of customer payments and business operations is a game-changer. Here are some cases and examples from different industries:
- Big players in retail, such as Starbucks and Walmart, embraced eWallet app development, which paid off. Starbucks witnessed a surge in mobile payments with the launch of its own mobile wallet app. Walmart’s take, known as Walmart Pay, worked wonders by slashing checkout times for in-store shoppers.
- eCommerce businesses like Wix, Shopware, Shopify, etc., have integrated popular eWallets like PayPal, Apple Pay, and Google Pay into their checkout processes. This has resulted in successfully eliminating friction for customers.
- Post-COVID-19 pandemic, there has been a significant increase in the demand for contactless payments facilitated by digital wallets. Many businesses have shifted to contactless options to ensure touchless and hygienic interactions.
This trend will persist long term as businesses increasingly embrace mobile payments and digital wallet technology.
Digital wallets for POD business: Expectable future trends
As a JP Morgan report indicates, digital wallet global sales may surpass $10 trillion by 2025. As digital wallets gain traction in e-commerce, their impact on Print-on-Demand (POD) businesses will increase significantly.
The integration of emerging technologies such as blockchain for secure transactions and the incorporation of augmented reality (AR) for interactive shopping experiences are expected trends. Digital wallets are poised to play a pivotal role in shaping our shopping, payment, and financial management habits as we move toward a cashless society.
The evolution of digital wallets is not just a trend but a necessity for prolonged success for Print-On-Demand businesses. With future trends also indicating more and more dependency on digital wallets, it becomes crucial to integrate these seamless and secure payment methods into your business strategy.
Big players such as Walmart, Shopify, and Starbucks have adopted digital wallets, and current data emphasizes the significance of these payment solutions. Following the above steps, you can effectively implement digital wallets into your Print-On-Demand (POD) platform and set the stage for sustained success in this dynamic field.
- How to Use a Digital Wallet to Better Manage Your Spending
- The Future of Banking: Digital Wallets Transforming the Industry
- Digital Literacy in FinTech: Essential Skills for Your Workforce in 2024
- Demystifying Bank Card Types: A Comprehensive Guide to Digital Wallets and their Compatibility
- 5 Cybersecurity Red Flags You Need to Know: Smart Steps to Avoid Scams in 2024