While the multiplicity of payment systems allows merchants to expand their target audience, it also creates multiple challenges for businesses:
- “Split” Management – Multiple payment gateways create a whole host of vendors, contracts, and interactions to handle. It takes a whole team of managers to handle the volume of work.
- Failure recovery logistics – When one gateway fails, the transaction must be redirected to a different gateway. Hence, failure recovery logistics need to be implemented to move forward with payments.
- Data fragmentation – Data comes from different sources, in different formats and standards, which takes more time to unify everything.
- Multiple gateway integrations – Different APIs require specific coding for each one, which becomes a burden on developers.
- Fraud Risks – Businesses become dependent on service providers and their compliance with security requirements.
Online payment gateways allow businesses to enter the global market and compete for foreign customers, however, the multiplicity of service providers puts pressure on management and developer teams, creating a demand for a more unified commercial payment solution – payment orchestration platforms.
What is a payment processing platform?
A Payment Processing Platform (POP) is a single source of truth and an integrated payment system that collects, integrates, and makes payment data available through a single system. Payment DashboardIn other words, a payment processing platform is a dashboard that allows you to manage multiple online payments instantly. Its functions include:
- Manage user and merchant accounts.
- Payment fraud detection services.
- Initiate, verify, route and process transactions
- Reconcile payments, invoices, settlements, reimbursements, and reporting.
The platform is a useful tool for any cross-border e-commerce or online service, as it can leverage a unified API for the payment orchestration platform, thus reducing the complexity of multiple integrations.
Payment processing platforms cover all possible forms of “financial interaction” in commerce. Take Corefy, one of the leading processing platforms; it offers solutions for e-commerce, forex, e-gaming, gambling, ISO/MSP, B2B SaaS, cryptocurrency, PSP, dating & adult, marketplace, and financial institutions.
No matter what type of business, the coordination platform will keep you updated on everything related to the business.
Benefits of Payment Arrangement Platforms
1. Scalability
With the help of payment organization, companies can expand their performance network, attract new markets and audiences.
The orchestration platform enables merchants to manage region-specific regulatory compliance, have local payment methods, and streamline payment processing. New payment options can be launched within short timeframes, accelerating time to market.
2. Dynamic steering
The platform automatically selects the payment path based on customers’ preferred payment options, transaction fees, gateway failure, processing speed, etc.
Payment organization provides more control over transactions and reduces downtime and failure rates.
3. Improve the shopping experience
Customers value a smooth shopping journey; however, if there are problems with the checkout process, more than 50% of customers are likely to abandon their shopping cart, resulting in financial loss rather than profit.
Coordination platforms provide shoppers with diverse payment gateway solutions, making the shopping experience convenient right through to checkout.
4. Low maintenance costs
Traditional payment systems, taken individually, are affordable and fairly cheap to maintain. But in the long run, with each new system added, the costs become much higher, beyond all possible limits.
The coordination system provides modern, secure infrastructure, intelligent rerouting, automated reporting and unified management through a single platform.
5. Improve security and safety
Payment processing companies work to improve transaction security and fraud control in accordance with local and international regulations. These systems include multi-factor authentication, credit card data tokenization, potential risk detection, risk management tools, etc.
Payment Coordination Platform Implementation Guide
Implementing a coordination system is a complex approach as there are many aspects to consider:
1. Job Requirements
As with any software, a unified payment management software requires a clear vision and requirements from the company. It is important to define the key aspects – which payment methods to accept, which regions and countries to serve, which currencies to accept, expansion needs, etc.
2. Platform
When choosing Payment Management Software Make sure it meets the basic requirements – a wide range of payment gateway solutions, integration with processors and acquirers, the ability to integrate new payment gateways, split payments and refunds, the ability to handle complex payment flows, etc.
3. Reliability of gateways and banks
When choosing gateways and banks, consider their costs, security, and reliability. It is beneficial to integrate with multiple gateways and banks to ensure a fast and secure payment process in the event of an unexpected outage of one of the service providers.
4. Security and Compliance
Payment security is critical to the overall performance of a business. The platform must follow the latest security standards, upgrades, and local regulations for its workflow.
5. Cross-channel support
A business presence typically involves different forms of interaction between businesses and consumers – mobile apps, brick-and-mortar stores, e-commerce stores, and social media sales. It is important to ensure that the platform provides cross-channel support for payment management, to deliver consistent performance across all points of business presence, and thus elevate shopper experiences.
summary
Using multiple payment gateways is essential in the world of commerce; however, the more payment gateways you use, the more difficult it is to manage… unless you implement a payment orchestration platform.
Payment processing platforms offer a simplified way to manage payments:
- Central platforms for multiple gateways
- Fast and secure payment process
- Timely reporting and automated data consolidation
- Intelligent routing and rerouting of transactions
- Unlimited expansion opportunities
- Cross-channel management
- Security compliance, and more.
Payment organization is a new form of payment management efficiency, don’t hesitate to introduce it to your business.