What are integrated payments?
An integrated payments solution removes barriers between checkout and physical payments, allowing the free flow of payments and data. It merges channels, promising digital efficiencies to in-person merchants.
Why are SMBs turning to Independent Software Vendors for their payments?
In an increasingly unpredictable and complex world, merchants of all sizes are looking for agile partners that can help them to start, grow, expand or innovate their businesses. Smaller merchants increasingly look for partners who can help them manage their core business needs.
They find them in independent software vendors (ISVs), who can offer access to a whole solution ecosystem. This is often tailored to cater for their business vertical (vertical ISVs).
For SMB’s, payment processing is no longer regarded an independent process with a separate contract partner, but a subset of the business solution partner’s whole ecosystem. Therefore 60% of SMBs opt for an ISV’s own payment processing option.
This default payment infrastructure from the ISV in return is in most cases powered by a payment as a service provider (PaaS) such as stripe. PaaS providers are offering their customers (international merchants and ISVs) a highly flexible, scalable, and programmable payment infrastructure that these companies can easily tailor to their specific business scenarios.
They often leverage payment facilitation models to underwrite merchants directly or provide these services to their ISV partners in a white label model.
What are the benefits of integrated payments to ISVs?
1. Revenue generation
Integrated payments can allow ISVs to drastically grow the size of their market. They can roll-out their payment processing solution internationally, integrating into cloud connected processing partners.
2. Keeping up with consumer expectations
Integrated payments can offer never seen before flexibility in designing and orchestrating your own checkout process, making it easy to introduce new payment methods such as Buy Now Pay Later. Consumer have never expected so choice in payments as they do now in the post-Covid 19 landscape. Keep up with growing demand for new methods.
3. Better understanding of your data
In a world of eroding payments margins, the focus shifts towards the intelligent use of payments data to create added value for the stakeholders. ISVs can upgrade their payment processes through this data use and offer a more holistic payments experience. More data on your customers means more opportunity for personalised experiences.
4. Future-proofing your business
ISVs can utilize transaction data to upgrade the payment process and add value to their respective customers. By doing so they do not only avoid commoditization, but grow their merchant services business into financial services, for example treasury or business loans.
5. Keeping merchants happy
ISVs can connect their in-person payments with their ecommerce channel, using the harmonized data exchange to ultimately create better solutions for their merchants. Keep merchants happy with simplified solutions that allow them to spend less time on admin and more time catering to their customers.
So, how can Aevi help?
By digitizing the in-person checkout flow, Aevi allows our partners to drive efficiency, innovation, and better business insights, ultimately benefiting merchants to run their business smarter.
This allows ISVs to assume more control over their in-person payment process. Where this was often tied to the offering of their payment processing partners, Aevi provides them with the freedom to route transactions dynamically to their partner of choice and to add and exchange processing partners in their global processing portfolio, either via full or semi-integration.
Find out more about how Aevi serves ISVs.
