Behind the Success of Coway: Pioneering the Subscription Model in Water Purifier

Redefining Industry Norms with a Subscription Model that Commands Customer Loyalty

Thai consumers are increasingly prioritizing health, and a fundamental aspect of health care is access to clean water. While many are familiar with water filtration systems, some may not adhere to scheduled filter replacements or understand the proper maintenance of their water filtration devices.

Coway, the number one brand in water and air purifiers from South Korea, recognized various pain points faced by customers in using water filtration devices. These include challenges such as timely filter changes, finding reliable repair services, and the perceived high cost of filtration units. Additionally, Coway identified an opportunity to reshape customer behavior to encourage repeat purchases. Hence, they introduced the subscription model for water filtration, aiming to create a seamless user experience from start to finish.

The Subscription model addressed these issues by allowing customers to receive filtration units without an upfront payment, and the service also includes regular maintenance every two months, filter replacement every four months, and free repairs throughout the contract period.

Creating a seamless user experience with the Subscription model required a convenient and secure subscription payment solution. Coway partnered with Opn Payments to create a tailored solution that best fits their business and customer needs.

Crafting a Solution for the Subscription Business Model

Coway and Opn Payments collaborated to design a subscription payment system that is both convenient and secure for customers. Key components of the solution include:

Data Security:

Subscription models require storing customer credit or debit card information for monthly billing. To ensure the security of payment information, Opn Payments implemented Tokenization, converting customer card data into tokens. This method allows secure online transactions and safely stores card information in the database, eliminating the need for customers to re-enter card details each time a payment is made.

Seamless User Experience:

Both Coway and Opn Payments prioritized user experience, designing a payment flow that is user-friendly on both desktop and mobile devices. Customers only need to provide essential information, and previously entered names and delivery details are saved, enabling a continued purchasing journey. Moreover, payment options are not limited to credit and debit cards but also include other choices tailored to each customer's preferences.

Scalability:

Due to the positive reception of Coway's Subscription model in Thailand, leading to a rapid increase in the customer base within just a few years, Coway’s online payment system are designed to be scalable to accommodate the business's growth and handle a high volume of transactions.

Opn Payments Goes Above and Beyond, Catering to Every Vision

The reason Coway chose Opn Payments is its flexibility in both system and operations. The ability to tailor solutions to the business needs, with a dedicated team working closely with the company, sets Opn Payments apart. Starting with an in-depth inquiry into the business's requirements and vision, Opn Payments proposes payment solutions designed to specifically meet those needs. Furthermore, they offer technology consultancy to ensure smooth system integration. Opn Payments places significant importance on the employee experience, providing a user-friendly backend system that allows the team to easily track all transactions and manage transfers, refunds, and disputes.

The collaboration between Coway and Opn Payments not only enhances the convenience and security of the payment process but also contributes significantly to Coway's commitment to being a technology-led company and addressing customer pain points. This partnership has propelled Coway to become a top-tier brand in water filtration and household appliances in Thailand today.