The global e-commerce market has been experiencing rampant growth in the past few years. The market size will reach a total of $4.89 trillion in 2021, this figure is estimated to grow to $10.87 trillion in 2025. E-commerce has thrived in an age where most day to day activities are being spent online pressured by worldwide COVID-19 restrictions. However most e-commerce companies use traditional digital payments platforms that are built on outdated and expensive technology, limiting their potential for innovation overall.
Traditional technology stacks can’t perform all the types of transactions that are demanded by E-commerce platforms. For example micropayments and cross border transactions are some of the challenges that most e-commerce companies face while using traditional payment services. Once at scale achieving global reach can be also difficult when most payment providers operate locally. To enable a truly global payments solution into their business models e-commerce companies have to open several bank accounts, and engage with several digital payments providers, adding expensive complexity to their business models and user experience.
E-commerce companies can use Gaugecash in addition to or as a replacement of their traditional payment providers. The following are some of the benefits that E-commerce platforms can derive from a Gaugecash integration:
- Integrating Gaugecash enables e-commerce companies to settle purchases directly with each client, without the need of financial intermediaries, circumventing the existing traditional payment infrastructure and at the same time reducing costs for both e-commerce platforms and consumers. Being a Peer to peer (P2P) stable cash system Gaugecash allows for the automation of the transaction verification process, where most banks today still expend significant resources on expensive manual verification.
- With Gaugecash e-commerce companies can send and receive our stable crypto currency GAUC across the globe. For example an e-commerce platform based in Mexico could receive borderless payments from customers all over the world, increasing their customer reach.
- As an internet-native payment solution Gaugecash can be easily integrated into any online marketplace. With Gaugecash e-commerce platforms can develop complex transaction flows between buyers and sellers, and process payout to platform participants worldwide using the same network, at a fraction of the cost and without the need of financial intermediaries.
With lower fees, Gaugecash’s higher efficiency is likely to translate into wider reach. Merchants, who build those fees into their prices, might be more incentivized to offer their products online because of the much lower fees. Similarly, customers might decide to keep balances in Gaugecash and complete more transactions online without ever going back to fiat currency or feel the need for a credit card account due to the low transaction fees.
Integrating Gaugecash may provide access to new demographic groups. Crypto asset users often represent a more sophisticated clientele that values transparency in their transactions. One recent study found that up to 40% of customers who pay in establishments that accept crypto are new customers of the company, and their purchase amounts are twice those of credit card users.
Below you will find a specific use case from the emergent gig-economy industry:
Business Case: On-demand delivery service app
An app based on-demand delivery service that matches up merchants, delivery personnel, and customers, for example, would benefit massively from integrating Gaugecash.
These platforms have various stakeholders and multi-dimensional payment streams. Payment streams for such a service would include the platform paying the merchant, the consumer paying the delivery personnel, delivery personnel paying a share of revenue to the platform, and the platform paying staff and third-party service providers. For domestic or international on-demand delivery startups, that would mean multiple payments providers and banking partners.
Using Gaugecash, an on-demand delivery startup can implement an internet-native payments infrastructure that manages multiple payment flows,and processes complex global payouts at a fraction of the cost of traditional payment infrastructure.
