PHILADELPHIA, PA — A recent study conducted by FreedomPay and Verifone, in collaboration with Retail Dive’s studioID, highlights a major disconnect between how retailers view their payment systems and the experiences consumers report. The findings expose critical blind spots in payment options, checkout efficiency, and customer data strategies that could result in lost revenue and weakened shopper loyalty.
Titled ‘Data Says Retailer Perceptions and Consumer Experiences Don’t Align,’ the study surveyed 150 retailers and 1,000 consumers to reveal significant gaps in understanding how payments influence consumer behavior.
Among the key discoveries is the overconfidence retailers have in their payment experiences. While 86% of retailers believe their payment systems outperform those of competitors, consumer feedback tells a different story. This overestimation leaves many businesses blind to significant inefficiencies, according to the report.
“The future of payments is about getting the solution right—not just in how payments are routed, but also in how terminals are serviced to enhance the shopping experience,” said Tim Aden, Executive Vice President of Global Partners at Verifone. “Creating a seamless, secure, and reliable payment process that meets the evolving needs of retailers and consumers elevates the entire shopping experience.”
The study uncovers additional challenges for retailers, including unmet customer preferences. For example, 70% of consumers cite the availability of their preferred payment options, such as mobile wallets and Buy Now, Pay Later (BNPL) services, as a deciding factor in where they shop. Yet many retailers have yet to adapt their offerings to these growing demands.
Other findings point to persistent issues in the checkout experience. About 75% of consumers stated that speed, minimal technical issues, and overall efficiency at checkout influence their shopping loyalty. Long queues, delays, and outdated systems appear to be deterring customers.
Data collection also emerged as a critical opportunity for improvement. The report suggests that many retailers fail to effectively gather and use valuable customer insights, which could help tailor experiences and improve loyalty.
“This report is a wake-up call for retailers,” said Chris Kronenthal, President of FreedomPay. “The data reveals a clear gap between perception and reality when it comes to payment experiences. By addressing these blind spots and embracing innovative payment technologies, retailers can not only close this gap but also drive significant revenue growth and foster deeper customer loyalty.”
The implications for businesses are clear. FreedomPay and Verifone emphasized that by leveraging advanced payment technologies, data insights, and enhanced customer-focused solutions, retailers can optimize their infrastructure to better meet consumer needs and remain competitive in a fast-evolving market.
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