Challenge

Since its inception in 2019, PopChill has become a leader in Asia’s second-hand luxury sector, operating in Hong Kong, Taiwan, and Japan, with plans to expand into Singapore and other international markets. The platform offers over 100,000 luxury products and a “worry-free purchase” service that authenticates items before shipment, enhancing shopper confidence and simplifying the selling process. This innovative model earned PopChill a spot on Forbes Asia’s 100 to Watch list in 2024.

As PopChill rapidly expanded its global strategy, it faced several challenges. Selling luxury items internationally required strict compliance with diverse local laws and varying know-your-customer (KYC) requirements, thus complicating the payment process. Additionally, catering to different customer preferences necessitated seamless integration of multiple payment methods, adding further complexity.

The high value of transactions in the used luxury market inherently increases the risk of fraud, making efficient and secure fraud protection essential for PopChill. Establishing a robust fraud prevention mechanism typically demands a specialised technical team and considerable resource investment, posing a challenge for a fast-growing company balancing operational demands.

To address these issues and enhance internal efficiency, PopChill sought a comprehensive digital financing system to streamline all transactions and centralise customer data. This integrated solution aimed to simplify financial processes, and enable agile cross-border operations, enhancing real-time decision-making capabilities and positioning the company for sustained growth in the global market.

Solution

After extensive research, PopChill chose Stripe as its payments partner due to its status as a leading global payment solution provider supporting over 135 currencies and 100+ payment methods. Stripe’s stable product performance, competitive fees, rapid iteration capabilities, and comprehensive international payment tools were exactly what PopChill was looking for.

With Stripe Connect, PopChill easily integrated payments across multiple countries and methods, benefiting from the platform’s efficient cash flow revenue-sharing feature. Sellers can quickly allocate fees, apply discounts or coupons, and convert currencies using the payment and withdrawal dashboard. Additionally, PopChill uses Payment Links to facilitate quick payment collection.

PopChill also leverages Stripe Radar's anti-fraud service, which supports 3D Secure authentication, a multi-layered security measure that ensures transaction authenticity through rapid identity verification, risk assessment, real-time monitoring, and automatic detection. The system adapts to different countries, business models, and transaction types, minimising chargebacks while effectively managing fraud costs.

During implementation, Stripe’s open API facilitated a straightforward integration process, requiring no complex coding. Clear documentation and responsive support enabled PopChill's technical team to optimise payment interfaces efficiently. Remarkably, the two-month implementation period was completed in under one month, laying a solid technological foundation for the company’s rapid expansion.

Results

Since implementing Stripe as its core payment solution, PopChill has not only successfully overcome several business growth challenges but has also significantly improved user experience and risk management.

One-click checkout enhances buyer experience, while streamlined KYC simplifies seller registration

PopChill has leveraged Stripe to enhance its payment process, improving response times and creating a seamless experience for buyers and sellers. Users enjoy one-click payments that streamline navigation and reduce data entry. They can also manage multiple accounts with real-time access to payment records. Stripe has also helped PopChill navigate different KYC standards by automatically meeting international payment requirements, simplifying user authentication and compliance, and significantly increasing registration conversion rates.

Gross merchandise value increased significantly, enhancing user retention and repurchase rate

Implementing Stripe’s payment solution has propelled PopChill’s rapid transaction growth. Within six months of launch, gross merchandise value (GMV) in Hong Kong surged by 800%, accounting for over 10% of total revenue. This surge reflects increased user confidence and a rise in average order value. By optimising payment flow and diversifying options, PopChill has created a faster, more efficient shopping experience, significantly enhancing transaction efficiency and customer satisfaction. As a result, user engagement and repurchase rates have greatly improved.

Intuitive fraud prevention to protect against card theft and ensure transaction authenticity and compliance

By implementing Stripe’s advanced risk management products, PopChill has significantly strengthened its fraud prevention and risk control capabilities. Using Radar’s anti-fraud tools and big data machine learning, the platform effectively identifies and evaluates transaction risks to ensure both authenticity and compliance. With robust 3D Secure authentication, fraudulent transactions are automatically detected and blocked, resulting in a record of zero fraud cases to date. This not only enhances PopChill’s market competitiveness but also bolsters user trust and credibility.

Streamlined financial operations and built an efficient digital management system

Integrating Stripe has significantly enhanced PopChill’s operational efficiency. It has reduced capital management costs and enabled cross-border transactions without manual reconciliation, accelerating transaction processing and simplifying financial operations. This allows the finance team to focus on strategic decision-making rather than routine tasks. Furthermore, Stripe’s success in global cross-border payments provides valuable insights for PopChill’s international strategy, aiding in the development of a digital management system that effectively targets markets and supports sustainable growth.

Moving forward, PopChill aims to rapidly advance its business model while efficiently expanding its market reach. The company will continue collaborating with Stripe to optimise payment processes, improve user experience, and ensure transaction security. Additionally, PopChill is committed to strong ESG principles, promoting a circular economy and contributing to a secure, low-carbon society.