ELV - Elektronisches Lastschrift Verfahren

Getting ready to go live with an e-commerce site for German customers.

I have it set up to take what Worldpay call ELV (Elektronisches Lastschrift Verfahren) because I am aware that credit cards are not so popular over here.

My question is how much explanation do you think I need to give the German customers? Will they know the term ELV when they checkout as Worldpay only show buttons with literally Visa, Access, ELV etc.

I think I might put an explanation on the homepage - so are there other common terms people use here instead of ELV 'cos my German wife did not know of it? The actual checkout is dead simple (just BLZ and KontoNummer), but I want them to know that they can buy easily without a credit card from the start.

Hope that makes sense - thanks in advance to the ever helpful TT'ers out there.

If anyone know any websites that do have a clear "We take ELV" kinda message then do let me know so I can compare ideas! (i.e. rip them off if its good)

JE

Maybe Amazon.de helps:

Payment methods

You see the word "Bankeinzug" und will find further explanations there. In fact, evveryone in germany who is able to surf the net understands "Bankeinzug" or "Lastschrift"..

s'right - "Bankeinzug" or "Lastschrift" are certainly more common terms than "ELV". Don't worry too much about the credit card issue, however, as these are very commonplace now. I can't imagine many Germans (or at least Germans with internet access) who don't have one...

YL6

Actually, it is not that Germans don't have credit cards, it is that they are not comfortable with using them online. They would prefer to give their bank details...

Thanks for the answers above folks.

Well I live in the sticks and amongst my local German relations credit cards are rare as rocking horse shit - although admittedly so is internet access, powered transport etc etc.

Will indeed be interesting to see the take up off ELV against regular credit cards.

Whilst I have your attention (sorry) - do you guys also think it is worth my adding "Paypal" as a payment option? I can do it but its a little more aggro setting up and monitoring the extra system?

I know that Ebay in Germany is their largest market outside the USA (yes bigger than UK!), so assuming that Paypal accounts are also popular.

Also indeed for USA, Canada and UK customers - do they want Paypal as an option these days?

I think hardly anyone knows what ELV means, it's always the whole term Lastschriftverfahren/Bankeinzug. Paypal is increasingly becoming popular, I would use it.

Actually, only about one in seven Germans has a credit card. There's no need to have one - everyone uses EC cards, and the interest rates on a bank account overdraft are much lower than on a credit card.


Not really. If you search for a random item on eBay and look down the 'PayPal accepted' column, you'll find that only around 20 per cent offer PayPal. I am currently accepting PayPal for the freelance work that I do and I've had a couple of people using it. The main problem is the cost - I don't know the exact figure, but it seems that well over 5 per cent is kept by PayPal as their 'commission'. That adds up to a lot of money, and I'm probably going to stop offering it. Everyone, everyone in Germany can pay from their bank account (in my case via Überweisung) which is quick and, above all, free for both parties. But I guess you're paying for the Lastschrift transactions, so you'll have to compare the costs of that with PayPal's charges.

I agree with the above: Everyone I know pays for things via "Bankeinzug/Lastschrift". Some people use credit cards, but most are uncomfortable with giving credit-card details on the web. Don't know anybody who uses Paypal (at least I'm not aware of it).

Thanks for the feedback - looks like I am gonna be looking for your website "critiques" in the next couple of weeks before I try going live!

As for my costs all credit cards and ELV payments will be via Worldpay (not cheap but suits me for now for currency/technical reasons) - so I think will cost the same either way (just gonna check that now). Paypal will not cost me any extra so I may add to the options.

Then you may as well offer it - people who have used it before will perhaps feel more comfortable using it.

http://news.moneycentral.msn.com/provider/...0620&ID=4904598 interesting read about google thinking of starting a paypal type service.

Back home I think all my ebay transaction were over paypal, in germany not one, although I did set up the account again. Anyone contemplating using paypal should read the following site:
http://www.paypalsucks.com/

Must admit when I have used Paypal in the past because it is the only ebay option available I have found it incredibly complicated...setting up accounts, waiting for a special 4 digit number to appear on the card statement in the post etc etc. I think it has maybe got easier but sounds like ELV is the one I need to push 'cos it is very simple online (just the two bits of information needed).

Well I just got a german order on my site but the "payment failed". Spoke to the customer who said they only use "nachnahme" which is this dodgy system whereby you send them goods and then sit back and wait for the customer to pay!

Not for me I think - sounds like a total drama for a retailer. Gotta love this country.

Bankeinzug or Lastschrift.

Don't understand germans who don't have credit cards, invaluble at least for some urchases and you have at least till the end of the month to pay.

Not dodgy at all. Deutsche Post won't release the goods until the money (cash) is handed over to them, then they send it on to you. If they don't get the money you get the goods returned to you. Germans prefer this system because they know, at least they receive something before they part with the money (even though they may have just received a box full of air!).

It's also easy to do too. When you hand in the parcel for shipment you simply check the "Nachname" box and complete an Überweisungsform with your bank details, so the money is paid by DP direct into your account...It costs a couple of €€ to sort, but that is normally added to the customer invoice...

YL6

@YL6

I dont have an issue with the standard "cash on delivery" system (bit of a drag but its OK).

This joker wanted the other system where we send them the goodies with an Uberweisung included, then sit back and await payment from her bank. Bugger that - the admin alone would drive me spare.

I have had things sent to me this way once or twice by firms over here - but I dont fancy running my business like that. Total admin headache for €40 items.

But that's not "Nachnahme", it's "gegen Rechnung" and certainly a helluva risk with a new customer. No-one in their right mind would do this...

YL6

This is indeed very popular among us Germans. It is considered as the most customer friendly payment method. I always choose this when it's an option. Some shops reward customers with cheaper shipment costs when paying in advance, so that they don't use "per Nachnahme" or "auf Rechnung" so often.

But this is different again - "Zahlung gegen Vorkasse" - you order the goods, get the bill, transfer the money, then the vendor actually ships the goods when he has the money. Even more secure for the vendor, but can be risky for the customer if he doesn't know who/where he's buying from... Bit like Ebay really...

YL6

Yes. It was just additional info about what options some online shops offer. The first 3 sentences DO refer to "auf/gegen Rechnung"

Quick update on this for anyone vaguely interested in ecommerce over here!

German people do not use credit cards online. Fact. In fact looks like it is almost not worth even offering this option YL6!

Just redesigning things to offer Nachnahme, Zahlung gegen Vorkasse and all the other fun options :-)

Must say I am quite impressed with the German Uberweisung system. The payments from customers appear lightning fast when the customer makes a payment from their bank. Maybe when these are Sparkasse to Sparkasse it is quicker but I got one this morning that cleared in 2 hours!!! And it seems that same day clearance is not uncommon.

I think there is a law or regulation that requires banks to credit account-holders on the same day the money is received by the bank. So if the customer pays from an account at the same bank, obviously the bank receives the money immediately (because it already had the money in the first place), and therefore is required to credit on the same day (or to credit later, but with retroactive value date).