Company News
Embracing Crypto Payments: A Case Study on E-commerce Merchant Benefits
With the rapid development of cryptocurrencies and their increasing global adoption, e-commerce merchants are presented with the opportunity to significantly enhance their businesses. This case study focuses on the benefits experienced by Grayson, one of our customers who runs a mid-sized online retail store, after incorporating cryptocurrency payments into their platform. Grayson's team specializes in electronic gadgets and accessories, with a diverse clientele from around the world.
Before integrating crypto payments, Grayson and his team faced several challenges, such as high transaction fees, chargebacks, and long settlement periods for international transactions. In 2022, they decided to adopt cryptocurrencies as a payment option to explore the potential benefits and improve the customer experience.
Before, Gayson has experienced iPeakoin's Virtual Card for business expenses management and been impressed by our professional service. Thus, Gayson decided to open a Crypto account in iPeakoin to facilitate secure and efficient transactions. They added support for popular cryptocurrencies like USDT, USDC, Bitcoin, and Ethereum. After the integration, they launched an extensive marketing campaign to inform existing and potential customers about the new payment options and their benefits.
Key Findings
1. Lower transaction fees: By accepting cryptocurrencies, Grayson significantly reduced their transaction fees. Conventional payments like credit cards may have fees ranging from 2-4%, whereas crypto payments often have fees below 1%. As a result, Grayson managed to save a considerable amount of money, which they used to offer discounts and promotions, attracting more customers and increasing sales.
2. Faster settlements: Cryptocurrency transactions are generally settled within minutes or even seconds, depending on the network. Grayson's team experienced a significant improvement in settlement times, particularly for international transactions. This allowed them to streamline their order processing and delivery, improving overall customer satisfaction.
3. Reduced chargebacks and fraud: Cryptocurrency payments are irreversible, reducing the risk of chargebacks and fraudulent transactions. Their chargeback rate dropped drastically, resulting in substantial savings and less administrative work for the finance team.
4. Expanded global customer base: With cryptocurrency payments, the team could transact with customers from countries with limited access to traditional banking services. This allowed them to tap into new markets and increase their global customer base.
5. Competitive advantage: Offering crypto payments set Grayson's brand apart from competitors who did not offer this payment option, attracting tech-savvy customers and those looking for alternative payment methods.
Integrating cryptocurrency payments provided numerous benefits for Grayson's team, including lower transaction fees, faster settlements, reduced chargebacks, and access to new global markets. By embracing this innovative payment option, they improved their customer experience and gained a competitive advantage in the e-commerce space.
iPeakoin values the potential advantages for e-commerce merchants who adopt cryptocurrency payments. As the adoption of digital currencies continues to grow, more merchants can expect to experience similar benefits, positioning themselves for success in an increasingly digital global economy.