THG Ingenuity provides clients with cutting-edge ecommerce solutions designed to accelerate brand growth. It comprises THG Commerce, a complete commerce solution with the highest performing technology platform in the market, THG Fulfil, a provider of world-class fulfillment engineered to improve customer retention, and THG Studios, an award-winning creative agency providing a range of services from campaigns and content creation to videography and photography. With its expertise in building direct-to-consumer brands, Ingenuity is uniquely positioned to bring pertinent, pragmatic, and global know-how across all aspects of commerce.
THG Ingenuity partnered with Checkout.com to power its vision to grow category-leading brands on a global scale – it ships to over 195 destinations, operates in multiple languages and currencies, and runs fulfillment centers around the world. A 4.6% uplift in acceptance rates and reduced cross-border transaction fees are just two of the many wins we’ve achieved so far. Here’s how we got there.
Hard work goes into converting customers at every stage in THG Ingenuity’s funnel, but it’s for nothing if it fails at the last hurdle – payments. Leading payments performance is essential to THG Ingenuity’s business model because it processes a high quantity of transactions, and so it needed a payment service provider (PSP) that could power industry-leading acceptance rates and boost conversions.
As a global business, THG Ingenuity also needed a PSP to support its operations in each of its locales, especially in the United Arab Emirates (UAE) where it was expanding rapidly. THG Ingenuity chose Checkout.com for our wide acquiring coverage of local markets and ability to optimize for every possible customer base. THG Ingenuity’s Head of Payments, Josh Butterworth, looked into using local providers, but bringing in smaller players was inconvenient for a business of global scale. With Checkout.com, THG Ingenuity can use the same integration in all its core markets.
Then, there was the challenge of simply staying ahead of the game in a complex and evolving payments industry. Over 42% of consumers say they won’t return to a merchant after a failed transaction. At a large scale, even marginal deficits in payments performance have a measurable and significant impact on revenue.
The strategy focused on:
THG Ingenuity’s orchestration strategy
THG Ingenuity installed Checkout.com’s payment network on its in-house gateway to achieve consistently high acceptance rates across all its brands.
Local acquiring
Checkout.com’s acquiring licenses enable THG Ingenuity to accept payments domestically, improving acceptance rates and eliminating cross-border transaction fees.
UAE market expansion
THG Ingenuity previously couldn’t trade as a local business in the UAE, a key growth area, despite having a local warehouse and employees. Checkout.com’s UAE acquiring license enables THG Ingenuity to serve local customers with the same integration it uses in core markets, instead of using a separate integration to partner with a local PSP.
Payment method localization
THG Ingenuity can offer the preferred way to pay in each market using Checkout.com’s wide network of over 150 alternative payment methods (APMs).
Local expertise
Checkout.com’s local support empowers THG Ingenuity to plan and execute its expansion and localization strategy. Before launching in a new market, THG Ingenuity asks Checkout.com’s local experts’ advice on the payments landscape, the best approach, and our operations there.
Dedicated relationship management
Account managers at Checkout.com connect the dots between local teams to avoid extra work and time zone navigation for THG Ingenuity. They know THG Ingenuity’s business in-depth and are always available for immediate support.
Regulation updates
To help THG Ingenuity navigate a dynamic tech and regulatory landscape, Checkout.com regularly communicates updates, handles important matters on THG Ingenuity’s behalf, and develops new features and opportunities to optimize THG Ingenuity’s performance.
Since partnering in 2020, Checkout.com has powered THG Ingenuity’s industry-leading payments performance. THG Ingenuity has boosted its already strong acceptance and checkout conversion rates in the past year – which is no easy feat for a global ecommerce leader.
In the last six months, by introducing further optimizations such as Network Tokens in conjunction with our local acquiring solutions, we’ve helped THG Ingenuity secure a 4.6% uplift in acceptance rates on transactions on the Checkout.com network.
Through using Checkout.com’s local acquiring in new markets such as the UAE, THG Ingenuity has seen increased acceptance rates for multiple reasons:
Local acquiring as part of our global offering has also benefitted THG Ingenuity by avoiding the complex introduction of new integrations, working with third parties, and keeping everything on one platform. The secret behind THG Ingenuity’s rapid entry into the UAE market.
Checkout.com has grown from processing a small portion of THG Ingenuity’s traffic to being its primary provider across some major brands, like Myprotein.
“We’re a very bespoke business with very specific needs, and we have very high demands. We expect our payments partners to perform at the level we expect of ourselves, which is a high one. Having a partner that’s as proactive and responsive as Checkout.com is incredibly valuable to us. With Checkout.com, it’s a true partnership.” – Josh Butterworth, Head of Payments, THG Ingenuity.
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