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PayDragon app simplifies impulse buys via iOS and Android devices

by David Needle

September 18 2012

PayDragon offers over 5,000 household items you can buy via your mobile device.
PayDragon offers over 5,000 household items you can buy via your mobile device.

You open the bathroom cabinet and see you’re running low on toothpaste. Will you remember to buy more? Not to worry, PayDragon has your back.

The new mobile service is designed to let you order a range of everyday goods from your mobile device with free nationwide two-day shipping and no minimum purchase.

PayDragon’s Checkout feature in its iPhone and Android app, lets smartphone or tablet users scan, search and shop for non-perishable grocery and household items, like chips, cereal, soap, shampoo, and purchase them from wherever you happen to be.

You can also search within PayDragon’s pre-scanned catalogue of thousands of items.

Free shipping makes ordering a relatively low cost item like toothpaste or peanut butter more reasonable, but there are no product discounts, PayDragon charges the full retail price for each item. What you get in return is convenience. You can, for example, order another tube of toothpaste by simply scanning the one in your bathroom.

“We think this is the first big step in getting consumers used to the idea that you don’t have to always go to the store,” said Hamilton Chan, Founder and CEO of PayDragon. “We’re able to turn your house into a shopping warehouse.”

Because there’s no minimum purchase or additional shipping charges, Chan calls PayDragon an “anti-shopping cart” experience that requires just a simple scan to complete an impulse buy from anywhere.

Cracking mobile commerce success

Studies have shown buyers often abandon an online purchase when confronted by the shopping cart showing additional charges such as shipping.

“Companies consistently underestimate how distracted people are on their mobile phone,” said Chan. “We think cracking mobile commerce is a different paradigm. You can get it done without the shopping cart and remove all the friction.”

PayDragon has yet to sign up any big established distributors or manufacturers for Checkout which covers over 5,000 household items (no perishables). The company is working off more of an old school model for now to prove the concept. Chan says PayDragon buys the items as people order them and arranges for the two-day shipping.

“Right now we’re doing the fulfillment ourselves, buying as the orders come in. We know where to go,” says Chan.

“We have a lot of experience working with large companies. It’s hard to get 5,000 different companies on the same platform, but we’re talking to them. Right now it’s almost like a proof of concept,” he said.

The Checkout feature extends PayDragon’s original mobile service which lets you order from restaurants and food trucks in advance. Checkout also features a rewards program where you earn discounts for purchases and referrals. 

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