Hokodo, a Buy Now, Pay Later (BNPL) platform, has announced Shopify integration to help merchants offer instant trade credit to business customers. The integration is available to both — sole traders as well as limited companies — based in the United Kingdom, France, Belgium, Spain and the Netherlands.
Hokodo is quite safe from the merchant’s perspective as the company gets paid up front while some amount remains protected from the risk of non-payment and fraud practices from customers. This doesn’t mean no cushioning for customers as they also get an option to defer payment by up to 60 days.
Hot news for Shopify users 🔥
— Hokodo (@hokodotech) October 11, 2022
Hokodo is the first B2B #BNPL provider to offer a @Shopify integration! This allows merchants to offer our digital #TradeCredit solution to customers without any development work. Find out more: https://t.co/uWkrOejHj3
Hokodo’s Easy Integration
“Our new Shopify integration has been designed with the merchant experience in mind, and can be installed in just a few steps with no development work required,” Sami Ben Hatit, Hokodo’s co-founder and CTO, said in a press release.
“This will be welcome news to SME merchants who don’t have the technology resources to spare for a several weeks long integration,” he added in praise of one-of-its-kind integration.
Hokodo claims that Shopify merchants that use the latest integration have witnessed an increase of 40 percent in conversion rate and 30 percent in basket size. For B2B customers, the Shopify-Hokodo integration ensures a healthy cash flow on both the sides.
The integration is easy. A merchant with Shopify store just need to install Hokodo’s plug-in to offer trade credit with terms and conditions to their business customers. After visiting the Shopify store, a business customer can choose buy now, pay later option provided by Hokodo at the time of checkout.
Protection From Fraud
Hokodo offers customizable Application Programming Interface (API) to enable merchants run real-time eligibility checks to calculate and decide on buyer’s credit score and fraud risk. With an option to deter payments by up to 60 days, business customers can settle paymerts using mathods like credit card, direct debit and bank transfer. The payment mathod will be decided at the time of order confirmation.
While Hokodo will receive payments from business customers as per the terms mentioned above, its merchant partner will receive up front payment at the time of order delivery. With financial backing from Lloyd’s of London, Hokodo protects merchants from non-payments and frauds by business customers.
“We use a range of methods and sources to perform soft credit checks on your customers. This is translated into a credit score which we use to recommend credit limits and payment terms that can be used on a customer’s first purchase. You benefit from being able to offer trade credit online without the operational burden,” Hokodo explains its credit management feature.
