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Kwik Checkout

Fashion & Apparel

Neeman’s Increases Prepaid Transactions By 30%, With GoKwik

ABOUT

The zest for bringing organic comfort to people’s feet led to the inception of Neeman’s. It’s a footwear brand that uses natural planet-friendly materials in designing its products. At the same time, Neeman’s ensures comfort and quality at their best. They bring out-of-box creative thinking with natural elements and design quality footwear for everyone.

HQ

India

INDUSTRY

Footwear

About Neeman’s

The Problem Statement

While prepaid transactions are on the rise via UPI, India is still predominantly a cash-driven country where the e-commerce industry witnesses 60-70% of its transactions as cash on delivery (COD). Since COD orders have no obligation on the buyer, the rate of this order returning to the warehouse without delivery is as high as 40%. This can be due to multiple reasons,

Since the order gets returned to the warehouse, cash flow inconsistencies arise for the seller. This is because firstly, on a COD order, cash collection becomes a challenge. It also brings with it a reverse logistics cost since the order needs to be shipped back to the warehouse when the customer cancels it in transit. Moreover, cash flow is further impacted by the inventory loss due to product lock-in for days, product damage, etc. This negatively affects the profitability of the business and results in reduced margins for the brands.

While COD orders help in driving the volume of orders for e-commerce brands, the risk owing to return to origin losses can be high.

Neeman’s was also looking for a solution provider that would help them curb these losses owing to high return-to-origin without impacting their net conversion rate and gross merchandise value (GMV).

They also wanted someone who would enable them to increase their share of prepaid orders thus further reducing return to origin stemming from high risk CND orders and increasing profitability.

Did you know that the conversion rate in the e-retail space is as low as 2 – 4%? One of the major reasons for this is high drop-offs at every stage of the funnel. And, research has suggested that more than 80% of people are likely to drop off in the login stage of the checkout alone. We also see that 35-40% drop-offs happen at the address filling page.

Moreover, if a user has to spend even one second extra at the checkout, the rate of drop-offs increases by a whopping 7%.5. This is largely because people are more convenience centric these days. If they see that they have to fill in their details manually, or they have to wait too long for a page to load, they are more likely to drop off.

From entering the phone number, getting their OTP, and filling out their address, shoppers are always looking for ways to cut down these steps, save time and have a more seamless shopping experience. This is exactly what Neeman’s was looking to provide to its customers – a frictionless, easy and convenient way to complete their purchases.

The shopper got a better deal somewhere else
He never intended to accept the deliver
A newer version of the product became available
The buyer has low trust in the website he shopped from
He tends to frequently indulge in order cancellations

Solution: High advertising cost with low results

Since acquiring new customers and ensuring they complete the purchase is one of the most important elements of any e-commerce brand’s advertising efforts, they spend heavily on customer acquisition through social media and other channels.

As marketing spend increases, customer acquisition cost increases too. However, if the acquired customer doesn’t complete the purchase owing to the reasons mentioned-above and drops-off, the brand’s spending goes in vain on getting the customer to its product page. Now, the customer acquisition cycle begins again, which leads to a further rise in CAC with a negative impact on profitability.

A customer dropping off due to poor customer experience may forever be lost. Therefore, it is imperative that the brand alleviates all the pain points that customers face through the shopping funnel and provide them with a seamless experience.

Since eCommerce brands need to spend a lot on advertising, it is important that they get a significant return on their advertising spends (RNAS). However, on average, an eCommerce brand spends about 5-7% of its advertising budget on shoppers who are more likely to not make a purchase or return the order back to the warehouse.

Solution: The Solution

Optimised Checkout With GoKwik

At GoKwik, the core vision is to provide a seamless, optimized and fast checkout experience to shoppers. This results in reduced drop-offs, better conversions, reduced customer acquisition costs & customer sickness for e-commerce brands.

Here’s how Gokwik’s checkout solution is effective.

With GoKwik’s Kwik checkout, shoppers don’t have to fill in their details again and again. The address gets automatically prefilled on a GoKwik- powered checkout after the first time they enter it. This leads to a convenient and quick shopping experience.
GoKwik ties up with multiple partners to provide an OTP-less login. For instance, we have partnered with Truecaller to create an optimized login process for shoppers. When a user shops through GoKwik-Truecaller powered checkout, they will not even have to manually enter OTP or their phone number as Truecaller will identify and verify them.
GoKwik offers Smart BNPL flow which gives users a 1-click checkout design thus helping in higher conversion rates and increased prepaid conversion pie.
GoKwik also provides dynamic incentivisation to motivate customers on opting for a prepaid mode of payment while placing an order, thus preventing the probability of return to origin and boosting conversions.
GoKwik provides incredible integration support with technical and Quality assurance resources to ensure faster integration. On average, GoKwik completes the integration within 15 days
Our robust backend is capable of handling 10K queries per second (QPS) and 10 million transactions a day with 1 billion API hits. Our P99 latency is less than 100 ms thus, solving the problem of cart drop-offs due to unstable internet bandwidth

Return before delivery, an Inevitable Cost? Not Anymore.

Return to Origin or RTO is one of the major problems faced by many e-commerce brands. A lot of times brands think return to origin is an inevitable cost of doing business. However, not with GoKwik’s solutions in place.

We analyse the historical order data of the brands to understand the key reasons for returned orders. Based on this data, GoKwik configures features onto its RTO API so that it can populate intelligent risk flags for the incoming traffic on the brand’s website

GoKwik flags orders in real-time based on a robust assessment of multiple patterns observed on pin codes, addresses, product profiles, phone number white labelling, marketing campaigns, A/B testing and many more.

Once the order is flagged as high, medium or low, the brand can then determine whether the customer should see a CoD payment option, or a prepaid payment mode should be incentivised, etc. This is done keeping in mind that once the order is flagged as high risk, the probability of delivery completion of that order reduces to as low as 20%.

Similar to credit risk protection where a customer’s past payment behaviour and other parameters determine whether they’re eligible for a loan in future, GoKwik’s RTO model predicts the intent of the customer to commit returns on COD and then categorises them into high, medium, and low risk for necessary further actions.

Furthermore, GoKwik has an incredibly adaptive RTO model and ensures returns on ad spends are increased for the brand by 100%firing of Facebook pixels.

Neeman’s Meets GoKwik Checkout

Aiming to boost their net conversions, increase profitability and maximise revenue by offering a frictionless shopping experience to their customers, Neeman’s onboarded GoKwik. Abiding by our Merchant First Philosophy, we promised to create a seamless and customised checkout solution for them.

Furthermore, GoKwik has been successfully able to bring down their business’s return to origin from 22.44% in Feb’22 to 9.93% in June’22.

The most appealing element of GoKwik is that it dynamically manages pin codes. With its incredible network effect, locating an address becomes easy. Not only that,
returning customers find their addresses saved and they can easily proceed to checkout with a click of a button filling in their details. This offers customer satisfaction and builds trust. Their unique interface is meticulous and offers mobile users a seamless experience. We are also seeing some robust RTO interventions in place with increasingly precise results.
— Taran Chhabra, Co-Founder, Neeman’s

Lightning Fast Success

Post adding Neeman’s as another happy client, we now help 250+ brands reduce cart abandonment rates, boost conversions, increase prepaid transactions and provide RTO protection with high precision. We are also committed to helping brands provide a seamless shopping experience to their customers.

If you want to have a frictionless shopping experience, shop at Neeman’s or any other GoKwik-powered brand. If you are also facing problems with conversions, or returns, feel free to reach out to
us at, we will be happy to help.