Since the emergence of smartphones, these palm-sized devices have taken the role of many things: a clock, a map, a wallet, and even a whole shopping mall.

Mobile phones are now an essential medium of payments offline and online, especially with contactless payments becoming the preferred option for billions of people globally. By 2025, the global cashless payment volumes are projected to increase by over 80%, and in 2030, nearly triple.

Mobile payment is challenging traditional payment methods, making sales transactions much easier. At the same time, this rapid transformation has challenged industries to be agile and keep up with the current.

Types of mobile payment flow

There are five ways you can integrate a mobile-first payment flow; each fits specific business models or payment methods better than others.

1. Responsive checkout form

2. QR-based payment: C scan B flow

3. QR-based payment: B scan C flow

4. App-to-app redirection (mobile banking)

5. Link payments

Selecting the wrong payment flow could end up further complicating the checkout process. Thus, business owners should understand different mobile payment journeys and choose the one(s) that suit their business model and customers.

Let's go down the rabbit hole and find out which one works best for you.

1. Responsive checkout form

Did you know that 17% of customers abandon their shopping carts if the checkout process is too long or complicated? This problem can be prevented with a responsive checkout form, a tool to optimize the online checkout flow and enhance customer experience.

Modern payment solutions allow merchants to embed a responsive payment form into their website or application through API integration. Customers can pay directly on-site without being redirected to an external payment page.

Payment flow

Why you should or shouldn’t use responsive checkout forms

This payment flow simplifies the traditional checkout process with a seamless and straightforward white-label payment flow. It doesn't lead customers to external portals nor asks for questionable information like their address. The forms also reduce security concerns as well as the likeliness of your buyers leaving their orders unpaid. Moreover, they come with an option to remember cards for future purchases, so returning buyers can pay in a swoosh.

However, because the forms are customizable in both design and function, the implementation of this solution is sophisticated and takes time and effort. Also, some third-party payment services, such as e-wallets and mobile banking, usually require customers to finish off transactions on their payment platforms. Therefore, the experience is not completely seamless.

Who is this solution ideal for?

Brands looking to improve the checkout experience on their e-commerce websites or applications.

QR-based payments

Cash is becoming obsolete, replaced by unique-looking squares on mobile phone screens — yes, we're talking about QR codes.

Digital wallets and mobile banking are replacing the old payment norms for in-store and online commerce. Within 2024, it is expected that e-wallets will account for over 50% of all e-commerce payments globally. We can anticipate QR-based payments respectively becoming even more predominant across continents.

There are two ways a brand can accept payments via QR codes: via a Customer-scan-Business flow and a Business-scan-Customer flow.

2. C scan B (Customer-scan-Business) flow

The C scan B solution is a payment flow where sellers present a static or dynamic QR code, and buyers scan it to complete payments on their personal devices. This journey provides a close alternative to the traditional cash payment experience, a contactless version of it. Widely used for mobile banking and e-wallet payments, this payment flow can be embodied both in offline and online checkout streams.

Payment flow

Why you should or shouldn’t use a C scan B flow

This solution lets stores debit the sales total from their customers' accounts in real-time. It's swift and only requires applications that customers already use in their daily lives, thus improving both parties' payment experience.

For merchants, this contactless payment journey can help increase order completion rates since the alternative payment methods make the purchase more accessible to customers who do not own credit cards — or even a bank account. Additionally, if a brand utilizes dynamic QR codes and automatic payment verification, it can shorten the checkout time and reduce related labor costs.

While the C scan B flow is apt for offline commerce, it comes with a few extra steps for online payments. As mentioned above, these payment services still require users to confirm transfers on the banking or wallet application/website. Your buyers will have to switch between applications to pay (and maybe spend a few more seconds filling in payment information if your website uses a static QR code). Thus, the mobile payment journey is not completely seamless. Keep in mind that Omise’s C scan B solutions are based on dynamic QR.

Who is this solution ideal for?

• Offline stores that want to digitize and adopt cashless, semi-in-store payment flows, such as order ahead & pick up, kiosk checkouts, self-checkout, drive-through, etc.

• Online and offline businesses that want to accept more convenient payment methods preferred by customers such as mobile banking and digital wallets
  
  

Read success cases

• Sculpture Bangkok (PromptPay solution)

• Xpressflower (PayNow Solution)
  
  

3. B scan C (Business-scan-Customer) flow

Another cashless alternative for offline stores, customers show their digital wallet QR codes, and cashiers scan them to charge a specific amount of money.

This method has become more popular around the world alongside the rapid growth of e-wallets such as TrueMoney Wallet and Rabbit LINE Pay (Thailand) and Alipay (China). Stores simply need to install a code reader and integrate the service provider's backend system into their POS machines to charge buyers directly from their digital wallets.

Payment flow

Why you should or shouldn’t use a B scan C flow

This payment flow helps upgrade the seamlessness of mobile payment journeys. For customers, this is probably the most convenient way to pay because they only have to show their QR code, and voila.

With a single installation for each store, brands can increase payment accuracy and ease the reconciliation effort. The sales total is calculated directly on the cashier machine, so customers do not need to fill in the transfer amount, and the transaction data is recorded in the system.

Similar to the C scan B flow, B scan C is more suitable for offline purchases. Since the merchant or the kiosk must scan each customer's personal QR, putting this flow online would mean buyers have to upload their QR online. It is likely more complex than other flows and may cause security concerns for customers.

Also, since this solution requires a physical code reader or scanner at each POS point, it is a considerable investment especially for stores with multiple branches.

Who is this solution ideal for?

• Physical stores seeking to simplify or automate their payment flows

• Businesses that want to widen their selection of payment methods to accommodate a broader range of customers
  
  

4. App-to-app redirection (mobile banking)

A tool for building a truly seamless checkout journey on mobile shopping applications and websites for mobile banking payments.

Using deep linking technology, merchants can enable an automatic payment flow where, when they choose to pay via mobile banking, customers are redirected to bank applications and back to the checkout page automatically once the transfer is complete and verified. There is no longer the need to move between apps to fill in banking details or upload QR codes, making the customer journey truly seamless and more secure.

Payment flow

Why you should or shouldn’t integrate app-to-app redirection

The app-to-app redirection flow brings the mobile experience up a notch by removing the steps of switching between applications or scanning QR codes and allowing localization with local mobile banking payment options.

During checkout, customers are guided to the bank application, then back to your site again through a single stream. The shortened payment time reduces the possibility of unpaid orders. All payment information is pre-filled and the payment is done on legible bank applications, improving the trustworthiness of the process and the smoothness of the shopping experience.

Deep linking your website to a bank application requires quite some development effort. It requires only one connection for each bank, but that also means you will need to integrate multiple times if you would like to link to several bank apps. However, you can ease the endeavor by implementing deep links via a payment gateway.

Who is this solution ideal for?

• Online brands or platforms that want to build a seamless mobile banking payment flow
  
  

Read our documentations

• OCBC Pay Anyone — Singapore

• SCB (SCB Easy) — Thailand
  
  

5. Link payments

Nowadays, e-commerce doesn't take place only on websites and platforms. Businesses — big and small — have found social media channels a suitable marketplace to boost their brand awareness and connect with their target buyers.

In 2021, global social commerce revenue totaled $492 billion, and the market is expected to reach $1.2 trillion by 2025 (growing three times faster than traditional e-commerce).

However, social media platforms are not ideally made to accept and verify payments. Traditionally, when buyers make orders via chat or email, they are asked to pay via financing services such as bank transfers. This brings forward privacy and security concerns and limits the buyers' payment options.

Link payment is a solution for social commerce which lets customers make payments through a safer and more convenient environment. It replaces the manual payment process with an all-online, uncomplicated checkout via a secure payment gateway.

Payment flow

Why you should or shouldn’t adopt link payments

Since this solution is basically only a link, brands can send it anywhere and anytime. Its utility is not limited to social commerce. Brands can apply it in various online and offline journeys, such as emails, social media, or through SMS after a chat over a coffee.

In addition to the frictionless journey, this solution provides more payment options, such as credit cards and installments, and enhanced security because the payment process is carried out on a globally certified payment gateway. The solution also comes with a backend dashboard that allows the staff to verify transactions and attach metadata for analytics purposes.

However, security is inevitably the top priority for online shoppers. Many people are hesitant to click a third-party link, especially to send money. Moreover, some link payments service providers only provide a generic payment form interface that does not comply with the merchant's CI. Payers who are not familiar with the provider's company might be more uncomfortable paying.

To prevent that risk of losing customers, you should look for a payment provider that allows you to customize your form to show your brand logo and information and design it to be your brand's color, so customers feel more at ease.

Who is this solution ideal for?

• Businesses accepting sales via social media channels

• Online brands with a well-established online presence and fan base that see the opportunity to explore social commerce

Finding the right fit

At this point, everybody knows the influence and the importance of mobile-first payment experiences. However, not all businesses understand there are multiple ways to adopt a new payment flow and learn what the options are.

Integrating any digital checkout flow requires investment, time, and effort. Not all flows work for all businesses. Thus, companies should understand their business and customers well enough to select the optimal solution for them.

To save time and resources, you can also reach out to payment gateway providers to consult with payments experts and connect to your desired payment methods with the help of professional developers.

If you would like to get in touch with Opn Payments team for advice on mobile payment experience, email us at support@opn.ooo

Sources

• PwC Australia

• Baymard Institute

• NTT Data

• Accenture