Etsy, the online marketplace for handmade goods and vintage items, is allowing sellers to process payments through credit and debit cards in local currencies, rolling out its Direct Checkout offering to Australia and 14 other markets.
Prior to the Direct Checkout service, users had to process payments through PayPal in American dollars. Payments can now be processed in an additional nine currencies, including Australian dollars.
Sara Wyman, international program manager of Direct Checkout, told StartupSmart implementing the new currencies was a top priority as offering local currencies was a major factor in the purchasing decisions of customers.
“Worldwide, we’ve noticed our sellers are very concerned about listing in currencies of their buyers,” Wyman says. “I think it’s going to be really important for Australian sellers. You guys have been asking for this product for a year, and we’re really excited about it.”
The new currencies will enable more than 90% of the 25 million users to purchase in their own currency.
Buyers will set one price, and Etsy will translate that into the 10 available currencies depending on a customer’s designated currency.
“We’ll change our currency conversion rates every hour, so they’re always up to date,” Wyman says.
He says the move to allow customers to pay via credit card was good news for sellers.
“We know from research that buyers are more likely to purchase again when they keep credit cards on file, and they spend more when they use credit cards.”
Australia is one of Etsy’s strongest markets, with a top five position in both buyers and sellers. Australian Etsy activity generated over 3 million orders between 2005 and 2012.
Rose is the current head of growth at Rampersand Ventures. She was formerly a reporter at StartupSmart.
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