How safe are guest checkouts?

Guest checkouts allow online customers to buy products without the need to create an account. It’s sometimes referred to as an anonymous checkout.

Customers using a guest checkout need to provide only essential information, such as shipping and payment details. This makes it a streamlined solution that suits shoppers looking to benefit from a fast checkout process.

Unlike account-based purchases, guest checkouts will not store customer details for future use, focusing solely on completing the immediate transaction.

With consumers increasingly preferring faster, hassle-free transactions and seeking to ensure that privacy is prioritized, guest checkouts have become popular and are now expected to be available. By offering this option, merchants can meet the needs of busy or privacy-conscious shoppers while reducing cart abandonment and boosting conversions.

How does it work?

By avoiding the need to create an account, the guest checkout process offers a straightforward and streamlined purchasing process. The standard steps are:

1. Items are added to cart.
2. Contact and shipping information is entered.
3. Payment details are provided.
4. The purchase is confirmed and completed.

Because it skips creating an account, repeat shoppers using guest checkout will need to re-enter their data to make future purchases. In addition, while the merchant must collect all the details needed to fulfill the order, no data is retained.

For more details on how to create secure hosted payment pages for guest or account checkout, explore our hosted payments solutions.

Guest vs. account checkout

Both account checkout and guest checkout offer benefits to consumers, which is why offering both is the best way to ensure that all shoppers are satisfied with the purchase process. Offering both options allows sellers to cater to a broader audience by balancing convenience with customer loyalty. Those who value privacy may prefer to checkout as a guest, while frequent shoppers often appreciate the convenience of having their details stored and the account perks that are available.

Here's a comparison of the top pros and cons for these methods:

Guest checkout

• Fast, one-time process that requires no registration.
• Ideal for those who prioritize privacy (as no data is stored) and quick transactions.
• Best suits first-time buyers or infrequent shoppers.
• Return customers must re-enter payment and shipping details for each purchase.

Account checkout

• Requires creating an account.
• Saves the customer’s details for future purchases.
• Best suits repeat customers, who benefit from faster checkouts, personalized experiences, and access to perks like loyalty rewards and the ability to track orders.
• Protected through login verification to help prevent unauthorized access.

For more information on security and checkout options, see What is secure remote commerce? and Introducing checkouts.

Is guest checkout safe for consumers?

Guest checkout is generally safe, especially on reputable e-commerce platforms with robust security measures like encryption and tokenization. These methods scramble sensitive payment data or replace it with a token that ensures it need not be stored on the site’s servers, making it harder for unauthorized parties to access.

To ensure a safe transaction, consumers should shop only on sites that use a secure internet connection. This means that data is protected through encryption, ensuring that any information shared, like payment details, remains private and secure during online transactions. Secure website connections are shown by an "https://" (rather than "http://") prefix to the URL.

Benefits for merchants

Offering diverse checkout options, including guest checkout, can be highly beneficial for e-commerce merchants. Guest checkout reduces friction, making purchases faster and reducing cart abandonment rates.

Payment solutions such as PayPal are making guest checkouts even more streamlined. PayPal’s revamped checkout experience now features Fastlane, which allows for one-click guest checkouts. The platform can recognize 70% of guests as PayPal users, which cuts guest checkout times by 40%.

Privacy-conscious or new customers often prefer guest checkout, so offering the option increases the likelihood a sale to those who might be hesitant to create an account will be completed. That can drive repeat sales.

Guest checkout best practices

Here are some steps merchants can take to ensure a secure and efficient guest checkout.

• Multifactor authentication: MFA adds an extra layer of security by requiring a second verification step beyond a password, such as a code sent to a customer’s device.
• CAPTCHA: This key tool challenges users with tasks like recognizing distorted text, identifying images or clicking checkboxes to ensure that only real people can complete form such as a checkout.
• Secure payment gateways: Partner with trusted payment processors to handle sensitive payment information securely.
• Offer flexibility: Provide guest and account checkout options to appeal to different customer preferences.

Explore more tools that can help you reduce fraud risk with our Smart Journey demonstration.

Guest checkout offers convenience for one-off purchases, especially for privacy-conscious customers. It helps merchants reduce cart abandonment and cater to first-time buyers. However, it means merchants do not hold data for retention strategies and consumers lack access to benefits like loyalty rewards.

To secure guest payments and optimize your checkout process, start taking payments now with Worldpay's small business solutions.