To say that 2023 has been off to a busy start at Hokodo would be an understatement! Our product and engineering teams have been working tirelessly to complete a suite of new product features that will enhance the way that merchants are able to offer Digital Trade Credit and B2B Buy Now, Pay Later solutions to their customers. Check them out below.
New feature #1: Flexible capture start date
Our new flexible capture start date feature gives merchants greater control over when their buyers’ terms begin.
Why did we create this feature?
In some industries, it can take a long time to prepare and ship an order. In these scenarios, merchants need the terms they offer to buyers to start when the goods are delivered. If not, buyers can end up being charged before they receive their order.
Where does it work best?
This feature is highly relevant to businesses in the freight and logistics industry because there are multiple points in time when a forwarder might want to start the clock on payment terms – when the goods depart from their origin port, when they land at the port of their destination, or when they’re delivered to the shipper, for example. We can work with forwarders to determine the best point at which to start a shipper’s terms.
This feature will also be useful for manufacturing businesses, where extended lead times create the need for payment terms that start long after the buyer has placed their order.
New feature #2: Display maximum limit
With this new feature, we’re able to provide an estimate of the credit limit that we expect to be able to give to a buyer after completing credit review.
Why did we create this feature?
Some of our merchant partners told us that they would like to use Hokodo’s credit offering as a sales hook with which to obtain new business. However, for this to be effective, merchants would need to be able to provide prospective buyers with a credit limit estimation beyond the automated initial limit that is available prior to credit reviews.
Where does it work best?
Now, merchants can instantly access and share the estimated credit limit of any given buyer and use this information as a way to differentiate themselves from the competition.
Therefore, it’s particularly useful for merchants who do outbound sales. It’s also effective for those who see large transaction values and therefore require larger credit limit requirements.
New feature #3: Unprotected credit
With this new feature, merchants are able to designate part of an order as ‘unprotected’. By doing so, merchants are able to top up Hokodo’s credit limits if they want to.
Why did we create this feature?
Sometimes, a buyer’s credit limit from Hokodo is not high enough to cover an order they want to place. In the past, Hokodo would not be able to offer deferred payment on such an order. With unprotected credit, merchants are able to take on some of the risk and give larger limits so that buyers in this situation can check out successfully.
Also, we’ve heard from our merchant partners that it would be useful to be able to increase the value of an order post-sale. Until now, this required the creation of an entirely new order, but with unprotected credit, the extra cost can be added to an existing order at any time, and for any amount
Where does it work best?
Unprotected credit benefits high growth startups who are willing to take on a degree of risk so they can grow faster.
It’s also a boon for businesses that sell to a large number of small buyers. Such buyers may only receive small credit limits from Hokodo, so the merchant may wish to take on some of the risk in order to permit larger purchases and boost GMV.
Unprotected credit is an effective facilitator of order management in industries where there are often costs – such as taxes, import duties or unexpected extras – added after the initial order. For example in the food and beverage industry, where a restaurant may order 1 tonne of tomatoes but instead receive 1.05 tonnes and then need to be charged for the extra.
Meanwhile, in the freight and logistics industry extra charges are the norm, with shippers charged more when their goods spend longer than expected at sea or in a port.
New feature #4: Upgraded API endpoints for post sale management
Our upgraded API endpoints make it easier and more efficient for you to manage all Hokodo transactions. For existing merchant partners, the upgrade allows more flexibility and control. Merchants integrating with Hokodo for the first time will experience a quicker onboarding process, meaning that they’re able to offer credit to buyers sooner.
Want to see these new features in action? Book a demo today to find out how Hokodo's new product features could help you to sell more and grow your business.
