One-Click Payment: Oyst Raises €2 Million
As 1-Click payments are still popular among individual and corporate customers, the Paris-based start-up Oyst –which focuses on these purchasing processes–announces a €2 million funding round led by well-established investors including Martin Genot (PhotoBox), Aurélien Demaux (Cheerz) and Frank Zorn (Groupon).
A year ago, Oyst unveiled a one click payment button for e-merchants, allowing them to improve customers' purchasing experience while increasing their conversion rates. This start-up takes another step as they further aim for end-customers.
Their solution directly connects to the merchant’s catalogue, enabling him to include discount offers and codes, as well as shipping services. Once registered, the customer, for his part, may rely on a one-click payment option without having to specify a login/password combination or any other information, and from any page of the website.
Oyst has more than 500 partner sites, mostly small and mid-market players. They are only operational in France for now, but they do have plans to reach out for merchants in other countries, such as the US and UK. This funding round will help them expand their range of services. Partner merchants may, for instance, include payment buttons on various types of advertising media, including Pinterest, Instagram or even Facebook.
Comments – One click payments becoming a global trend?
The average conversion rate online is 2.5% compared 55% in brick-and-mortar stores. Oyst blames tedious online processes and intends to remedy this recurring cart abandonment issue. This start-up drastically simplifies e-purchases with a one-click option instead of the typical 8 step process. Just like Amazon, who teamed up with Snapchat in September to roll out Visual Search, Oyst bets on the social commerce trend via featuring their buy button on Facebook, Instagram and Pinterest. Social selling would then become the new channel for one click purchases.
Oyst won an award last May at Vivatech. They use deep learning capabilities to provide advice to luxury and fashion brands, enabling them to choose which products they should put in the spotlight in their catalogues. Oyst already attracted LVMH and also won the LVMH Innovation Award. They now hope that their one click payment option will be of interest to one of their most prestigious brands. The new funding round will help them aim for additional sectors such as beauty products, wines and decoration.