How Payment Friction Impacts Cart Abandonment Rates

You’ve done the hard part — attracted the visitors, sparked interest, and got them to a phase before making an actual purchase. But then, at the final step, they disappear. 

Why?

The problem isn’t always the product or the price. Often, it’s the experience at checkout — a moment where even small barriers can cause people to walk away. Payment friction creates hesitation, confusion, and drop-off. If you’re not removing those barriers, you are losing conversions that you have already earned.

This article breaks down the causes of payment friction and gives you actionable ways to reduce it. If you are selling locally or globally, streamlining your payment process can directly improve your bottom line.

What Causes Payment Friction?

Payment friction refers to anything that interrupts or complicates the process of completing a purchase. These issues can feel small, but they add up — and often lead to cart abandonment.

Here’s where friction tends to come from:

• Limited payment methods
  If a customer prefers a digital wallet or alternative card provider and doesn’t see that option at checkout, they may abandon their cart. You can address this by using a payment gateway that supports a wider range of payment types.
• No multi-currency support
  If your prices show in one currency and your customer uses another, it introduces doubt. They’ll wonder how much they are actually spending, especially if they don’t know the exchange rate. Offering multi-currency pricing makes international purchases feel local.
• Unclear fees or charges
  Hidden or unexpected costs late in the checkout process are a major friction point. According to SellersCommerce, 48% of online shoppers abandon their carts due to extra shipping fees and taxes added during the final step. That’s almost half of your potential buyers gone because of a lack of price transparency.
• Forced account creation
  Requiring users to sign up before buying adds unnecessary steps. It’s one of the most common reasons people abandon carts.
• Slow or failed payment attempts
  A sluggish payment page or technical issues with your gateway can break trust. A reliable payment API speeds up the process and reduces the chance of drop-offs.
• Payment declines
  9% of shoppers will abandon a purchase after a failed transaction. Sometimes it’s a bank issue, but often it’s preventable. You can increase approval rates by using a payment provider with better routing logic and local partnerships.
• Security concerns
  If your payment page looks unprofessional or lacks visible security measures, people hesitate. Fraud detection and chargeback prevention tools are essential, not only for your protection but also for reassuring your customers.
• Mobile checkout issues
  Mobile cart abandonment is higher than desktop. A slow or cluttered mobile checkout process creates too many steps. Optimising for mobile speeds things up and helps reduce friction.

If you’ve experienced any of these while shopping online, you already know how they make you feel: unsure, frustrated, and ready to leave.

The Impact of Payment Friction on Cart Abandonment

Many businesses don’t realise how fragile the final step of a purchase is.

According to Baymard Institute, the average online cart abandonment rate stands at 70.19%, based on 49 different studies. That’s more than two-thirds of shoppers leaving before completing their order.

Abandonment rates vary by reason — and almost all are related to checkout experience. The longer, slower, or more confusing the process, the more likely your customer is to disappear.

How to Reduce Friction and Improve Conversion

Friction doesn’t have to be built into your checkout process. In most cases, it can be reduced or eliminated with a few focused changes. Here’s what you can do:

• Integrate a flexible payment API
  A modern API helps you connect to multiple gateways, supports various methods, and lets you build custom payment flows.
• Use an international payment gateway
  Support for different countries and currencies ensures higher acceptance and fewer errors for global customers.
• Enable multi-currency pricing
  Displaying prices in your customer’s currency improves clarity and trust, especially for international orders.
• Increase transaction approval rates
  Choose providers with smart routing, retry options, and regional bank relationships to minimise declines.
• Implement chargeback prevention
  Use fraud tools to reduce false declines and disputes, which protects revenue and gives buyers confidence.
• Allow guest checkout
  Avoid forcing account creation — let users buy first. Then offer the option to sign up after the purchase.
• Be transparent with fees
  Disclose shipping, tax, and other charges early. Consider adding shipping calculators before checkout to avoid surprises.
• Optimise for mobile
  Make sure your payment flow is easy on small screens. Fewer fields, larger buttons, and a faster experience help close more sales.

Reducing payment friction isn’t about making huge changes overnight. It’s about finding the small things that get in the customer’s way — and removing them.

Every second counts. Every click matters. And every failed payment is a lost sale.

Want expert support to improve your payment experience and flow? Get in touch with Finera to find out how we can help you increase approval rates, reduce cart abandonment, and create a payment process that works for your customers.

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