"Buy now, pay later with Mokka" - a new way to offer BNPL in your store

Today we're going to tell you about Mokka, our partner that offers a convenient payment solution that gives value to everyone involved in the online shopping process. And when it comes to e-commerce, we all know that each participant in the process has their own priorities. 

Customers want to get great service, convenience, speed, an easy checkout process, and much more (we'll tell you how Mokka contributes to a better user experience by the end of this article). In turn, retailers want to see their stores become more competitive and to see their turnover grow. What's fascinating about Mokka is that their "Buy Now, Pay Later with Mokka" solution solves many challenges simultaneously for both end customers and merchants.

Before we delve into the details of the BNPL (buy now pay later) solution, let's first tell you more about the Mokka company. Behind it is the solid experience of fintech company Revo Technologies, a leading specialist in buy now pay later (BNPL) services for the CEE region. Mokka is their fast-growing brand under which the group operates in the markets of Poland, Romania, and Bulgaria.

Why did Mokka choose Bulgaria as a target market? Irene Schwakman - co-founder and chairman of the board of Revo Technologies Group, said:

"We specialize in providing best-in-segment "buy now, pay later" solutions for online and offline stores and their consumers. Bulgaria is an important market in Central and Eastern Europe with one of the fastest growing e-commerce ecosystems, strong payment and technology infrastructure, and a dynamic local merchant base."

As leaders in the Bulgarian eCommerce market, this comes as no surprise to us. From our experience with thousands of merchants, we know that Bulgarian merchants have an enviable level of knowledge and experience. Many of them understand well how important it is to offer the most optimized user experience for their customers. Of course, to support the progress of our CloudCart merchants, we've added the Mokka integration to our marketplace. 

Now, let's look at how "Buy Now, Pay Later with Mokka" delivers value to the end user.

What customer problems Mokka solves

The use of the "buy now, pay later" model is increasingly preferred by consumers as it provides them with various conveniences that are important to them, let's look at some of them.

Quick and easy purchase at the moment, payment over a longer period

Here the convenience comes from the fact that at the moment of finalizing the order, the user pays nothing. The value of the goods ordered is divided into equal installments (usually between 4 and 6), and payments can be made at any time, as long as the installment is before the relevant repayment plan date. The benefit of this solution is that the customer receives a convenient payment that does not burden the family budget.

No hidden costs and penalties

Users have all the information about the value of the amounts used and due and can view it at any time. And for buyers who have financial discipline and strictly adhere to their payment plan, no additional fees or interest are charged. There are also no unforeseen costs or penalties for early repayment of amounts taken, whether full or partial.

No complications and unnecessary waste of time

Initial registration happens in minutes, with just an ID card, without the need for any other documents. Each subsequent order under the "buy now, pay later" (BNPL) model is done in a simplified model, with only a confirmation via mobile phone.

Easy payment

After placing an order in an online shop, the user can save his bank card details during his first payment. In this way, subsequent installments are automatically withdrawn from his account. The only commitment on the part of the cardholder is to ensure the availability of funds in his account.

Without financial weights

When requesting payment under the "buy now, pay later" model, no guarantees are required, including surety from friends and relatives.

How BNPL methods help merchants to grow

The potential benefits of "Buy Now, Pay Later with Mokka" are obvious for e-commerce store owners as well. This type of payment method influences several important indicators that in turn contribute to a successful online business, such as:

🛒 Increase in online store conversion - according to statistics (RBC Capital Markets), the number of orders placed increases by 20-30%.

🛒 The average order value (AOV) increases - depending on the product category, this increase can be from 10 to 50%. For example, at Rue21, when implementing the "buy now, pay later" service, the average purchase value increased by 73%. This particular store specializes in the sale of retail clothing.

🛒 Encourage customers to make impulse purchases - when a customer can split the cost of a purchase into several monthly payments, they feel more relaxed and often buy more or more expensive goods.

🛒 Expanding the customer base - when an online store starts offering a new model for paying for orders, the number of new visitors to the site increases, as BNPL attracts people who are looking for quick and easy payment in small portions, instead of burdening the family budget or going through the difficult procedure of taking out a loan.

🛒 Predicting future business revenue - the positive experience of shopping in your store allows you to turn the user from a casual visitor into a loyal customer. However, it is important to address the fact that for this to happen, the BNPL payment method terms must be fair to the customer. It is unacceptable, for example, for the price of the product to increase after choosing a particular parts payment service.

🛒 Improve turnover of funds - the consumer is less likely to return an item purchased through the "buy now, pay later" service.

In conclusion

As we have seen, the benefits of modern payment methods are numerous for all participants in online commerce, whether they are buyers or sellers. Especially the Millennial generation is particularly demanding on the topic of financial instruments. Of course, they're not the only ones, so it's a good idea to think about how you can add as many flexible payment options to your store as possible. And if you want to offer your customers the ability to use "Buy Now, Pay Later with Mokka" and boost your CloudCart store results, then it's time to check out our article on Mokka integration.