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4 min read

How to Use Email Magic Links to Onboard Users Faster

By

Jason Chee

What are Email Magic Links?

Magic Links are defined as:

A single-use URL that authenticates a user instantly when clicked.

So practically, what does this mean?

It means your users don’t need to use passwords anymore to log into a business. Instead, the authentication experience cuts out passwords and all you need is to click a link that is sent to your email.

From a traditional signup page perspective, the user experience is as follows:

1. User enters email

Magic Link signup screen

2. User is then sent an email which the user clicks to verify themselves

Magic Link email

3. User is logged in!

Magic Link verified screen

The value can be explained simply from the below:

Magic Link flow comparison
Magic Link flow comparison

Like other types of authentication products, there are pros and cons.

Pros of Magic Links

  • Fast, simple onboarding experience
  • Don’t need to build infrastructure for password storage
  • No password breaches
  • No customer support ticket requests for password reset flows

Cons of Magic links

  • Reliant on email deliverability
  • Only as secure as a user’s email address
  • Could end up in spam

Why use Magic Links to increase conversion?

When it comes to authentication, two main factors affect signup rates:

1. What type of authentication method is used i.e. passwords, social login, 2FA, Magic Links, etc. Each method has its pros and cons.

2. When it’s used in the customer journey i.e. when your customer first enters the site vs when they’re ready to pay.

Many authentication products on the market focus on authenticating users at the initial signup and login page; at the very beginning. We’ve all experienced this.

Why? This is because this is how traditional authentication has been done since the dawn of the internet. It’s common practice to ask users to signup before they can access a site. The main issue here is that users have the lowest buyer’s intent when asking to sign up at this initial phase.

This means they’re unlikely to signup straight away and this is indicative of 2%–5% signup rates for SaaS websites.

From a customer journey perspective, signing up users only target the initial acquisition phase.

Customer journey
Customer Journey

Today, it’s a different story.

With 1) the proliferation of many authentication methods available, 2) flexibility in building applications and 3) the need for online businesses to onboard users faster to stay competitive, this creates many opportunities for businesses to be creative about using authentication.

We believe authentication should and must be considered at different stages of the customer journey.

Introduce Magic Links.

At EZiD, our Magic Links allows users to signup and login at different stages of the customer journey, friction-free.

This allows your users to not only input their email when they’re more convinced, implementing Magic Links at the right time on the customer journey will significantly reduce friction and increase signups.

How can Magic Links increase user conversion?

By introducing Magic Links as an authentication solution at different parts of your customer journey, it allows your potential customers to interact with your website or app sooner so they can gain buy-in faster.

This way, they’re more likely to input their email address or other details.

If the main value proposition is behind an authentication wall, there is a lower chance they will convert to a customer unless it’s a frictionless experience.

Put authentication when users are more convinced of your product.
Put authentication where users are more convinced of your product

Examples of using Magic Links in each phase

Every business is different so no two customer journey’s will be the same. Below are some examples of how you could use Magic Links.

Acquisition Phase

  • In e-commerce, when sending marketing emails to your customers to upsell new products, embed a Magic Link into your CTA. This allows users to sign up instantly to your offer, without them needing to signup or login.

Engagement Phase

  • In an online B2C marketplace, remove signup and login entirely for new users to allow friction-free exploring. Only verify users (via a Magic Link) the second time they enter your site.

Monetisation Phase

  • For SaaS products, allow your users to only signup when they’re ready to pay. This is when they have extremely high intent. Think about when you first signed up for Uber or DoorDash.

Interested?

If you’d like to speak to one of our experts to know how our product can help, you can contact us here.

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