JamDoughnut: High-converting Pay by bank option wins over shoppers
When JamDoughnut decided they wanted to prioritise an open banking payment solution, they had speed and simplicity front of mind.
“Our biggest volume is supermarket shoppers. They’re often using the app as they’re getting ready to pay. They need it to work quickly and not hold up the queue,” says JamDoughnut CTO Andrew Witzenfeld.
JamDoughnut allows customers to earn cashback or reward points with thousands of UK businesses. From groceries to ticketing, dining out to home improvement, there’s something for every shopper. The customer finds the retailer they want to buy from, creates a voucher to make a purchase, then receives instant cashback or points.
JamDoughnut got in touch with TrueLayer as their business was maturing and they wanted a partner that would help them in their rapid growth.
“The more we spoke to TrueLayer, the more confidence we had that they had the infrastructure to support us in both our current and our future plans.
Andy Witzenfeld, CTO
The challenge
JamDoughnut has large payment volumes, handling one transaction per second. Andrew knew they needed a consistently reliable payment method.
“We operate in a highly competitive marketplace. We want our service offering to stand out amongst our competitors. Using TrueLayer helps us do that.”
“Due to the nature of our business, if we experience any sort of downtime, even for a couple of minutes, you're talking about a couple of hundred transactions that we miss out on. That’s a couple of thousand pounds of revenue lost. And a few hundred angry customers.
Andy Witzenfeld, CTO
The solution
TrueLayer provide JamDoughnut’s Pay by bank payment option, currently processing 90% of their payments. They use TrueLayer's Hosted payment journey for their checkout experience and use the verification and payments API for refunds.
Consistently high payment conversion is also key, and Truelayer-powered payments convert more than 90% of the time, at the first time of asking.
This focus on the end-user has been key to the success of the Pay by bank option. For super savvy shoppers like Amy Grayland, the cashback incentives offered by using the Pay by bank option was a straightforward decision.
“I had used open banking before and I was familiar with it. So I knew it was simple, safe and easy.”
Amy started her instagram account (@_moneysavingamy) to share her savings wisdom with friends and family. She was surprised when she gained a significant following quickly after being shared by cleaning influencer Mrs Hinch.
“My followers love the open banking option on JamDoughnut. It’s quick and easy.”
That speed and simplicity are key to the 90% share of Pay by bank at checkout. And customers choose this option again and again.
“About 85% of our transactions are from returning customers who continue using the Pay by bank option.
Andy Witzenfeld, CTO
Smart incentives were the fuel in creating the large consumer adoption of open banking on JamDoughnut. The Pay by bank option, powered by TrueLayer, gives customers up to double the cashback or points compared to the card payment option.
For shoppers like Amy, this makes the Pay by bank option a no-brainer. A staunch saver, she wants cashback over points.
“I personally choose open banking because it's quick and easy. But also because I'll use this money to build up a pot that I'll use to pay for things like holidays and days out.”
On the business side, JamDoughnut found TrueLayer was hands-on during the integration process. Worried that integrations often mean being left with a documentation repository and a “do it yourself” attitude, Andrew was happy to find that TrueLayer’s approach was different.
“We were given an integration partner, Martina, who was always highly available and responsive, always keen to jump on a call whenever we had an issue. We had access to rich documentation as well. We felt like it was a two-way process the whole way through”
JamDoughnut received support throughout the integration with testing and access to a real-time reporting console. “This gave us that feedback immediately. We were able to understand what was working, what wasn't, and then make the relevant changes.”
The results
JamDoughnut users have responded positively to the TrueLayer integration. The combination of appealing incentives and a great user experience has led to the instant bank payment option dominating the checkout.
The success is driven by a focus on a strong and reciprocal relationship.
“Every time I speak to someone from TrueLayer, I hear about a new product or feature that's being worked on. It's really exciting to see how we can implement that in providing a better service for our customers moving forward,” says Andrew.
“We love working with TrueLayer because they deliver on their promises and we genuinely feel that through they are committed to building a relationship with us.
Andrew Witzenfeld