Webbilling Presents the Impulse Sale

The foundation of the adult industry profit model centers on the impulse purchase, combined with recurring billing. For many years this phenomenon has been linked and identified with credit card use online; but although this model has worked quite well in North America and elsewhere around the world, Europe remains a challenge as credit card penetration has lagged behind other areas because of differing cultural views on debt and credit use.

For example, Germans can rattle off their bank account and routing numbers in the same way U.S. residents know their social security numbers — and they are used to paying for everything with their bank accounts — it's just the way things are.

While credit card billing in Europe can certainly produce significant joins, revenue and profits, less than 25 percent of Europeans own a credit card — and even fewer will actually use one for personal purchases online. This is significant as the European market is larger than the U.S. market and now quickly coming online.

Online merchants, however, appreciate the key benefits of credit card billing, including the ability to capture the spontaneous join, both through trials and classic purchases. They also enjoy the ability to re-bill subscriptions, offer one-click following purchases and upgrades, pay-per-anything, cross sales and cancellation packages — options that can really boosts earnings.

According to Webbilling.com Global Operations Director, Ines Petersen, merchants can easily obtain the benefits of credit card processing, but with the comfort, trust and familiarity of a payment mechanism already in use by European consumers — Direct Debit billing.

"You can achieve all these same goals in Germany, Austria, the United Kingdom, Spain and the Netherlands with the Webbilling EU Direct Debit solution," Petersen said. "No cards of any kind are required — just a bank account — and everybody who earns money owns a bank account."

Petersen says that the impulse sale is alive and well in Europe, even for consumers without a credit card — along with bottom-line boosting trials, one-click purchases and rebills.

"These joins are already in your current traffic," Petersen said. "If you offer only credit card payment these surfers are unable to pay you; they are unable to convert and unable to join."

Webbilling.com offers essential European payment methods like Direct Debit for Austria, Germany, Spain, the Netherlands and United Kingdom and Advanced Direct pay for 43 European countries and according to Petersen, adding these payment methods to existing solutions allows online merchants to significantly increase their EU revenue.

"Convert every possible user," Petersen concluded. "Don't lose another day of EU non-card revenue."

Related:  

Copyright © 2024 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More Articles

opinion

To Cloud or Not to Cloud, That Is the Question

Let’s be honest. It just sounds way cooler to say your business is “in the cloud,” right? Buzzwords make everything sound chic and relevant. In fact, someone uninformed might even assume that any hosting that is not in the cloud is inferior. So what’s the truth?

Brad Mitchell ·
opinion

Upcoming Visa Price Changes to Registration, Transaction Fees

Visa is updating its fee structure. Effective April 1, both the card brand’s initial nonrefundable application fee and annual renewal fee will increase from $500 to $950. Visa is also introducing a fee of 10 cents for each transaction, and 10 basis points — 0.1% — on the payment volume of certain merchant accounts.

Jonathan Corona ·
opinion

Unpacking the New Digital Services Act

Do you hear the word “regulation” and get nervous? When it comes to the EU’s Digital Services Act (DSA), you shouldn’t worry. If you’re complying with the most up-to-date card brand regulations, you can breathe a sigh of relief.

Cathy Beardsley ·
opinion

The Perils of Relying on ChatGPT for Legal Advice

It surprised me how many people admitted that they had used ChatGPT or similar services either to draft legal documents or to provide legal advice. “Surprised” is probably an understatement of my reaction to learning about this, as “horrified” more accurately describes my emotional response.

Corey D. Silverstein ·
profile

WIA Profile: Holly Randall

If you’re one of the many regular listeners to Holly Randall’s celebrated podcast, you are already familiar with her charming intro spiel: “Hi, I’m Holly Randall and welcome to my podcast, ‘Holly Randall Unfiltered.’ This is the show about sex, the adult industry and the people in it.

Women In Adult ·
trends

What's Hot Now: Leading Content Players on Trending Genres, Monetization Strategies

The juggernaut creator economy hurtles along, fueled by ever-ascendant demand for personality-based authenticity and intimacy — yet any reports of the demise of the traditional paysite are greatly exaggerated.

Alejandro Freixes ·
opinion

An Ethical Approach to Global Tech Staffing

One thing my 24-year career as a technologist working to support the online adult entertainment industry has taught me about is the power of global staffing. Without a doubt, I have achieved significantly more business success as a direct result of hiring abroad.

Brad Mitchell ·
opinion

Finding the Right Payment Partner

Whenever I am talking with businesses that are just getting started, one particular question comes up a lot: “How do I get a merchant account?” It’s a simple question, but it has a complicated answer.

Jonathan Corona ·
opinion

The Taxman Cometh for Every Business

February may be the month of romance, but it is also a time when we need to think about something that inspires very little love: taxes. April is not far away, and the taxman is always waiting. This year, federal and most state income taxes are due Monday, April 15.

Cathy Beardsley ·
opinion

The Continuous Journey of Legal Compliance in Adult

The adult entertainment industry is teeming with opportunity but is also fraught with challenges, from anticipating consumer behavior to keeping up with technological innovation. The most labyrinthine of all challenges, however, is the world of legal compliance.

Corey D. Silverstein ·
Show More