In an increasingly digitized world, Amazon turns back the clock with cash payments for online purchases with Amazon PayCode; a new way to pay for your online purchases — with cash.
The eCommerce giant has managed, once again, to get ahead of the competition by making it easier for its customers to acquire and pay for their products.
This latest innovation is available in twenty countries as of today, and it hopes to scale to many more in short order.
Thanks to Amazon’s arsenal of creative and convenient selling and buying tools, the list of retailers looking to take the leap and move their operations online is ever-expanding.
In turn, competition is fierce, and the only ways to remain relevant in the digital race are:
To quickly adapt to changes, and to remain ahead of your peers
Therefore, we will explain what this new form of payment is about, how it works and where it’s currently available.
What Is Amazon Paycode?
It allows customers to choose cash as the payment method for their Amazon orders. The user can pay at a participating Western Union branch. Upon payment confirmation, Amazon proceeds to ship the items.
This new checkout option provides online shoppers with the ability to pay for Amazon.com purchases at any one of about 15,000 Western Union locations. In addition to this, Amazon said that its Amazon Cash service is now available at over 100,000 cash-loading locations in the US. (Amazon Cash allows shoppers to load cash into an Amazon account.)
Shoppers don’t need to use a bank card to pay for online purchases, but can now choose the PayCode option at checkout on the Amazon US website. They then get a QR code that they present at a Western Union branch to pay for the items in their cart.
When it launched, Amazon said that PayCode customers were allowed 48 hours to pay for the items that they wanted to buy.
Amazon PayCode in The United States
Now that it has launched in the US, customers have only 24 hours to make that payment. According to Amazon, this is because there are shorter delivery expectations in the US compared to cross-border customers.
The US is a more developed market, so it doesn’t really need more support in terms of cash-based payments, but cash is still important. Based on data from the Federal Reserve Bank of San Francisco, To illustrate, Amazon quoted that 39% of payments made by customers in physical stores are cash payments.
Amazon offered the Amazon Cash service, which allowed shoppers to load cash onto their Amazon accounts through CVS, Rite Aid, GameStop and 7-Eleven, to name a few.
PayCode looks like a more convenient option, though, because customers can shop first, then pay exactly what they owe for the items in their carts. Furthermore, Western Union locations are closer to 80% of Americans.
Online shopping is not the luxury that it used to be. It is a huge benefit in these times of pandemic, and it is also better for budget shoppers. People can find better deals with the wide availability of online shops and the lower prices that they offer because of lower overhead.
In addition, with Amazon Cash and Amazon PayCode, shoppers can also save more by not having to make multiple trips to different retailers — they simply place a single order on Amazon and pay at a nearby Western Union branch.
How Does Amazon PayCode Work?
#1 – Check for Availability
Look for the option upon checking your item out. If available, you will see “Use Amazon PayCode” as one of the valid payment methods.
#2 – Verify Your Identity
You have to present some additional information so that Western Union can process the payment correctly (mainly, you will have to upload a photo ID).
Once this information is filled in, the price total purchase price will be updated in your local currency.
# 3 – Receive a QR Code
When the order is confirmed, you will receive a QR code and clear instructions on how to fulfill payment at a participating Western Union branch. You will use this code to verify your purchase and complete the transaction at the nearest WU location.
# 4 – Pay for Your Order
Visit the nearest Western Union branch, and inform the agent that you need to make a payment for an Amazon order.
You will need to present the photo identification you used to complete the order and the QR code that was sent to you in the previous step.
Once you make the payment, the agent will provide you with the receipt. It is important to save this receipt to prevent issues in the future.
Then, you will receive an email with the confirmation of the payment by Amazon, and this will proceed with the shipment of your order. You can check all the shipping information on the platform.
Important Amazon PayCode Information | Q&A
1. What is the maximum time to place the order?
The maximum time is 24 hours in the US, and 48 hours for the rest of the countries.
2. Are there extra charges for these types of orders?
For international orders, Amazon charges import fees and customs that are added at the time of order confirmation.
3. Are returns and refunds allowed with Amazon PayCode orders?
Yes. You can make the request through the web portal by choosing the Refund option by Amazon PayCode. Once Amazon receives the products you’re returning, you may retrieve your money in cash at the Western Union branch of your choice.
Don’t forget to bring your QR code and your photo ID with you.
Where Is Amazon PayCode Available?
The service is available in 20 countries as of today, including:
Barbados, Chile, Colombia, Costa Rica, Federated States of Micronesia, Hong Kong, Indonesia, Kazakhstan, United States, Malaysia, Marshall Islands, Mauritius, Pala, Peru, Philippines, Kenya, Taiwan, Tanzania, Thailand, and Uruguay.
Unfortunately, Amazon PayCode is not available in Spain yet. We will update this article accordingly should anything change in the future.
What Is the Difference Between Amazon Cash and Amazon PayCode?
The Amazon Cash functionality is not new, but it gained popularity in 2017. It too is an option that allows customers to upload cash to the platform to make purchases.
However, the main difference lies in the operation.
With Amazon Cash, you have to make the payment in advance before confirming the order.
Whereas, with Amazon PayCode, you first make the purchase and then you pay.
This new change in the rules of the game has generated much more interest and curiosity on the part of the users.
Another important difference between Amazon PayCode and Cash is that the latter uses an assortment of establishments to receive payments in cash, while with PayCode, only payments made at Western
Union branches will be accepted.
We have to keep in mind that the maximum amount of cash that can be deposited in your Amazon account is $500 USD dollars or $5,000 USD pesos.
What Is Amazon’s Goal with Amazon Paycode and Amazon Cash?
Amazon’s goal is to give its customers as many options and convenience as possible.
In fact, Amazon argues that in the future, cash transactions will not disappear. It will coexist with digital currency instead.
This is why Amazon launched PayCode, to offer an easy solution to customers who want to access the convenience of online shopping, but prefer to pay in person.
Whether it’s with PayCode, Cash, or traditional credit card transactions, Amazon continues its decades-long journey to constantly research and test new functionalities and options to expand its footprint in the global market.
Western Union on Amazon Paycode
Through their partnership with Amazon, Western Union is leveraging the same capabilities that they have invested billions of dollars in optimizing for the past several years. This partnership is therefore in line with their vision for the benefit of their customers as well as Amazon’s.
Final Thoughts
Amazon Paycode is a new business model, inviting new customers with different needs, and using different pricing as well — there is no additional payment from the customer to use the Western Union Payment method. It is also a huge innovation in terms of in-person customer experience with QR code technology and real-time notifications.
Western Union wants to become the platform of choice for partners like Amazon who want to expand globally. They believe that they are uniquely positioned in the market to help with this and drive long-term growth for themselves in the process.
What do you think of Amazon PayCode? Would you try or recommend this new payment method?
Guest Author:
Núria Civit of La Teva Web
La Teva Web is a web development and online marketing agency in Barcelona. They help companies to obtain greater visibility and results on the Internet, through the development of web pages or marketing tools such as SEO, SEM or marketplaces, such as Amazon.
