When ONDO launched their Shopify online store in October 2020, they had one goal: design and sell high-quality no show socks that don’t slip off your feet. This Shopify merchant not only succeeded in designing the best no show socks, they also hit six figures in monthly sales after just three months in business. Shortly after, ONDO decided to give ‘buy now, pay later’ a try even though they didn’t think customers would use it to buy only socks. They were wrong. Customers are using Shop Pay Installments to check out with larger cart sizes. We talked with Daniel Shim, CEO of ONDO, to discuss Shop Pay Installments’ quick adoption rate and the reasons he preferred Shopify’s integrated checkout solution to other ‘buy now, pay later’ providers.
A flexible payment method
For ONDO, giving their customers the option to buy now, pay later with Shop Pay Installments was an easy decision. “We want to offer a flexible payment method to customers that want our socks, but might not have the budget to buy our eight or twelve-packs right now,” says Shim. “I’ve always thought about installment payments for luxury goods or higher priced products, but I didn’t think people would use it to buy it for daily apparel like socks,” he adds. But they did. ONDO’s conversion rate increased by 28% just for the month of May. “To be honest, we didn’t think as many people would be using Installments on our site!”
“Our average cart size on Shop Pay Installments is double that of a regular checkout as more customers are buying larger bundles of our socks.”
Larger cart sizes
‘Buy now, pay later’ solutions allow customers to maximize their budgets and increase their buying power. With Shop Pay Installments, ONDO’s customers are buying larger packs of socks and splitting their purchases into four interest-free payments. “Shop Pay Installments has definitely been helping us bring up our average cart size,” says Daniel Shim. “Our average cart size on Shop Pay Installments is double that of regular checkouts as more customers are buying larger bundles of our socks.”
For ONDO, managing all its business within Shopify is essential. “I’ve learned the importance of having everything in-house on one platform,” says Shim. ONDO recently upgraded their online store to Shopify Plus and also received a loan from Shopify Capital. “Our accountant is very happy that we’re not getting a loan anywhere else because it’s so much easier for bookkeeping. Our business is extremely data-driven, so it helps us to have Shop Pay Installments integrated into our Shopify dashboard.” With Shop Pay Installments, merchants can not only save time but run their business smarter by tracking their sales and fees in one place—their Shopify account.
‘Buy now, pay later’ is a payment method that is quickly gaining adoption as consumers look for new financing options and merchants aim to drive more sales. With Shop Pay Installments, ONDO helped its customers to optimize their budgets and in return, the no show socks company increased their average order volume substantially in just three weeks.
Increase sales with Shop Pay Installments
Give customers the flexibility to split their purchase into 4 interest-free payments with Shopify’s ‘buy now, pay later’ solution. Boost conversion, lower cart abandonment, and drive customer retention with a better shopping experience.
Shop Pay Installments is offered in partnership with Affirm.
Payments options through Shop Pay Installments are offered by Affirm, are subject to an eligibility check, and may not be available in all states. CA residents: Loans by Affirm Loan Services, LLC are made or arranged pursuant to a California Finance Lender license.