As an online retailer, it is crucial which payment methods you offer your buyers to choose from. The numbers speak for themselves: According to the E-Commerce Mood Barometer 2024 by HWZ, purchase on account with 70% remains one of the most popular payment methods.

This has also been recognized by retailers, as shown by the Online Retailer Survey 2024 by ZHAW: Around 72 percent of Swiss online retailers offer this method. For 34 percent of them, purchase on account even accounts for a sales share of over 50 percent. Those who do not offer this payment method forego potential sales.

Moreover, no other payment method satisfies the needs for control and security in online shopping as well as this one. First-time visitors to your webshop often want to check your goods and services before actually paying for them. This gives them the assurance that the ordered product meets their expectations. This is precisely what purchase on account enables.

Generate more sales thanks to increased trust

The trust basis you create by offering purchase on account works in both directions. On one hand, you give your customers the assurance to check the goods first. On the other hand, you show that you rely on their fairness regarding payment. A study by HWZ on success factors in Swiss e-commerce confirms that precisely this perceived security significantly lowers the purchase threshold, especially for new customers.

Many people are also skeptical about shopping online, especially when they have to enter sensitive data, such as their credit card information. Consequently, the purchase process is often abandoned at this point. With purchase on account, you overcome this hurdle: Your customers can conveniently obtain the goods or services and usually only need to provide their address for delivery.

In the end, purchase on account also has a positive impact on the revenue of your online shop. By offering this payment method, your business appears more reputable, you can significantly reduce purchase abandonments, and increase the completion rate, particularly with new customers. Data from the Netcomm Suisse Association regularly shows that the absence of preferred payment methods is one of the main reasons for shopping cart abandonments. Moreover, satisfied customers are more likely to return and recommend your shop.

Protect yourself against potential risks

Although the advantages of purchase on account clearly outweigh the challenges, this payment method also presents certain challenges. For instance, there may be situations where you send the goods, but the payment from your customers does not come through. Such a situation can cause significant difficulties, especially for smaller retailers with limited resources. Additionally, the manual effort involved in managing payment receipts, reminders, or collection processes should not be underestimated.

This makes it all the more sensible to pass on the effort and responsibility. Studies by the Lucerne University of Applied Sciences on receivables management in SMEs emphasize that outsourcing the processes to specialized providers not only minimizes the risk of payment defaults but also preserves your own liquidity and significantly reduces the administrative burden. 

The good news: There are various purchase on account providers who take on the risk of payment default as well as the credit check of customers for you. Below, we take a look at all these options and explain how you can use them with your Payrexx account.

The following providers can be connected via third-party providers with Payrexx: 

POWERPAY

With POWERPAY, developed by MF Group AG, you can offer your customers purchase on account with an installment option. POWERPAY takes care of the credit check and the risk of payment default. This provider is ideal for shops focused on the Swiss market, where customer satisfaction and security are paramount.

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CembraPay

Offer your customers maximum flexibility by offering them purchase on account with or without an installment option from CembraPay as a payment method. A unique solution in Switzerland — without interest or additional fees. For you as a retailer, with guaranteed default risk and pre-financing. CembraPay helps you achieve a higher conversion rate and increases your revenue.

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Ideal Payment

Ideal Payment is a good solution for small and medium-sized enterprises that wish to negotiate individual terms and adapt processes to their business model. With Ideal Payment, you get a secure purchase on account solution without high fixed costs or complicated integrations. This provider is particularly interesting for you as a retailer if you want to start with minimal effort and still appear professional.

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The following provider is available within the Payrexx-developed payment provider Payrexx Pay Plus:

Klarna

Klarna is perfect for retailers who want to sell their products internationally. Klarna is established across Europe and builds trust with customers, especially within medium-sized and larger shops. In addition to the traditional purchase on account, Klarna offers options like "Pay Later", installments, or financing.

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Purchase on account is much more than just a payment method that you offer as a retailer. It is a strategic instrument that directly addresses the need for security and trust among new customers. If you offer this option, you can secure a clear competitive advantage. And with Payrexx, these benefits can be easily transferred to your online shop.