Fero, a fintech startup, has recently secured funding led by Antler, Volta Ventures, and Coatue. The funding will be utilized to expand the team across the US and Europe and strengthen the product offerings to cater to more retailers.
Enhancing Checkout Experience
Fero enables companies to provide tailored checkout experiences and payment journeys to individual customers. This not only increases conversion rates but also reduces fraud.
Craig Savage, the co-founder and CEO of Fero, expressed his surprise at the high level of abandonment during the checkout and payment journey. He revealed that over 45% of customers place items in their shopping cart but never complete the purchase due to payment issues. This translates to a staggering $5.2 trillion of lost revenue annually.
Founding and Mission
Fero was founded by Craig Savage and Maximilian van Boxel, who previously worked together at Ekata, a global payments solution acquired by Mastercard in 2021. The team established Fero with the goal of providing retailers with a seamless and customized shopping experience.
The Impact of Abandoned Carts
Fero highlights that merchants lose out on $5 trillion of annual revenue at the point of checkout. While payment innovations have made transactions faster and more seamless, the behavior of online shoppers has not been thoroughly examined to understand why many items are left unpurchased in the online shopping cart.
Behavior Analytics for Improved Payment Experience
Fero differentiates itself through its unique approach of leveraging behavior analytics to predict the likelihood of purchase completion. By analyzing each shopper’s behavior and activity, Fero optimizes the payment experience by personalizing payment methods and reducing authentication challenges.
The Future of Fero
With the funding secured, Fero plans to expand its operations across Europe and the US, empowering more retailers to offer a seamless checkout process and drive revenue growth.