The Block Shop looks to Limepay to lower fraud rates
The Block Shop is a small business that sells the products seen on the hit TV show The Block. When the show is in season, Emma Garland and her team of 8 are busy filling orders and sending home decor items across the country and around the world.
Unfortunately, as they grew, they experienced a rapid increase in purchases made with stolen credit cards. Fraudulent transactions targeting a small business can be devastating. And losing $15,000 in fraudulent transactions is massive for a small business.
"We ended up having to manually check every transaction and call customers to confirm they placed the order," Emma remembers.
The Block Shop was at a loss and didn't know how to separate fraudulent transactions from legitimate sales.
"Because we're a small business, it was hard to find help. We weren't getting the level of service we needed from our previous provider."
Limepay's tailored solutions
When their digital agency heard about the rapid increase in fraud, they recommended Limepay as a solution. The brand-first offering was an attractive feature but what impressed the growing business was Limepay's level of customer service.
"I was impressed that they understood what businesses like ours face, and they didn't tell us we were too small. We needed someone to help us get through this."
Small business owners can't be experts in everything. They need the support of partners like Limepay to grow.
Limepay’s fraud detection solutions enabled The Block Shop's customer service team to detect potential problems before orders were filled.
Not only did Limepay help The Block Shop deter fraud, the switch resulted in higher sales and revenue.
Remarkable results
- Uplift in incremental revenue since adding Limepay
- Basket sizes are 25% higher with a pay plan option
- Fraudulent orders have decreased by 18.3%.
Better business decisions with Limepay data
The transaction data Limepay provides helps The Block Shop make the right business decisions. For example, knowing the times of day most purchases are placed means they can more effectively target their advertising budget. Promotional campaigns reach the right audience at the right time.
Customers prefer to buy now, pay later for larger purchases.20% of all The Block Shop BNPL transactions have cart values over $1,000.
Limepay demographic data has helped The Block Shop understand their ideal customers. For example, transactional data revealed that 46-year-old customers were more likely to have cart values of over $1,000. And orders over $1,000 are more likely to be placed using a BNPL payment plan. Equipped with this information, The Block Shop plans to add an education component to their marketing strategy.
The Block Shop's primary market of consumers aged 40-60 often don't know BNPL exists or how easy it is to use. Studies show that this age group is slow to adopt BNPL compared to millennials and Gen Z.1 But together with the information The Block Shop receives from Limepay, they know that when their target market does use a payment plan, they spend more.
Emma is excited about sharing their brand-first payments option. "We can have a conversation with our customers and explain that they can buy what they want with the freedom of paying in instalments." The more customers know about paying in instalments, the bigger the basket size.
Simplified checkout for The Block Shop customers
Choosing between one and many payment providers can be a challenging decision for businesses with today’s crowded payments marketplace. The Block Shop weighed the options of offering as many payment providers as possible or simplifying it to a few.
"I like that Limepay doesn't take over. When customers come to our site, they're shopping at The Block Shop and we don't want them bombarded with too many choices when it comes to payment options."
Asking customers to choose a payments provider when it's not part of their daily buying habits was an extra step they wanted to eliminate.
"Customers would ring to ask if they could purchase using lay-by. To accommodate, we would manually create a payment plan for them." But now with Limepay, the process is automated and leads to larger orders without extra work for the customer or the customer service team.
With a brand-first checkout experience, The Block Shop customers don't have to worry about signing up for a separate account. They can pay in instalments through The Block Shop's branded Block Pay. And not needing to sign up for something new is very attractive, especially to their target market.
The Block Shop's average order value increases by 25% when customers opt for a payment plan.
Exceptional customer service
"Having Limepay's level of customer service was life-changing for our team. Limepay provided the tools and solutions we need and we now have a really good system in place."
When The Block is in season, The Block Shop team are focused on fulfilling orders and can send always verify any questionable transaction via Limepay.
"We appreciate that the Limepay team gets back to us within 24 hours. We do the same for our customers."
Customers who use a payment plan purchase more than when they pay in full.
More than a payment provider
Ongoing support and guidance make all the difference for small businesses like The Block Shop. As technology changes rapidly, it's hard to stay on top of it all.
"Limepay is teaching us about new opportunities in eCommerce that we can adopt. We're a small team, so having them as a business partner who cares about our needs and can share new ideas will lead us to more exciting opportunities."
If you want to learn how you can maximise your sales opportunities, contact us today.
1https://www.statista.com/statistics/1228026/australia-share-of-consumers-considering-using-buy-now-pay-later-services-by-generation/