In the dynamic landscape of eCommerce, Payment Orchestration has become a strategic solution for businesses to optimize their payment processes and enhance customer experience. Our study found that 74% of eCommerce companies are familiar with this solution, which includes consolidating and managing multiple payment methods, providers, and acquirers within a unified platform.
By centralizing payment operations, merchants gain full control and flexibility over their operations. Payment Orchestration platforms streamline the complexities associated with payments, enabling brands to offer a wide range of payment options to customers while simplifying backend processes and facilitating secure transactions.
As global businesses are always looking for ways to improve their online presence and streamline operations, a key factor in achieving these goals is selecting the right Payment Orchestration Platform. In this article we’ll explore guidelines, considerations and tips to ensure that eCommerce businesses are making an informed decision when choosing their perfect solution.
Where to start?
When looking at Payment Orchestration, businesses need to take a strategic approach. By following a few simple guiding principles, they can set the stage for a successful implementation and sustained growth.
Analyzing the landscape and building a roadmap
Before choosing a centralized payment optimization solution, businesses need to consider the current environment within their specific industry and develop a realistic roadmap that aligns with the company’s future objectives. By doing so, they will be able to identify pain points and limitations they’re facing and recognize the areas where Payment Orchestration can add value. Whether it’s reducing the number of providers they are integrated into, navigating the complexity surrounding third-party service providers, improving payment authorization, or enhancing the customer experience, – a clear understanding of their current situation is essential.
Assessing the business case and return on investment (ROI)
By assessing the business case and calculating ROI, merchants can understand the potential impact of Payment Orchestration on their revenue and customer experience. While every business has unique needs and goals, our study shows that most eCommerce companies (56%) prioritize reducing the cost of accepting payments.
At the same time, businesses looking to expand internationally can benefit from a Payment Orchestration solution that offers acquiring connections in the regions they wish to expand into. At least 31% of our respondents emphasized the need to expand their market reach. The right Payment Orchestration platform can enable them to seamlessly accept payments from customers in different countries, ensuring a smooth and frictionless cross-border transaction experience.
A key driver for companies that are already globally established is minimizing the number of failed payments and increasing acceptance rates, which directly impact the bottom line. Research has shown that a staggering 59% of customers abandon their purchases after a failed transaction. This not only results in lost revenue but also leads to decreased customer loyalty and potential long-term damage to the brand’s reputation. Finding a Payment Orchestration solution that combines multiple payment options with favorable transaction routing will help businesses maximize conversion and boost revenue.
How to choose?
Once businesses have a clear picture of their goals and expectations, choosing the right Payment Orchestration platform is key to unlocking the full potential of eCommerce operations.
A solution tailored to merchants’ specific requirements
By opting for a provider that offers customization options, rather than out-of-the-box predefined solutions, businesses can seamlessly integrate a Payment Orchestration layer with their existing set-up and technology stack. Choosing a solution that tailors its functionality according to merchants’ preferences, will ensure a smooth transition to the new layer and allow them to prioritize their business objectives.
A robust Payment Orchestration platform should bridge the gap between multiple payment processors, acquirers, and alternative payment methods. This critical feature enables businesses to expand their customer base and effortlessly grow into new markets. Choosing a platform that fosters connectivity, even with potential competitors, can help merchants build a well-rounded payment ecosystem that opens up more growth opportunities.
Human touch is important
While most business decisions are typically data-driven, the human aspect of any payment solution matters just as much. Selecting a Payment Orchestration provider that offers not only access to extensive analytics, but also expert, human-powered support can bring personalized guidance, strategic thinking, and problem-solving capabilities that technology alone cannot replicate. The combination of advanced platform and human expertise can help businesses transform raw data into actionable insights, helping them make informed decisions and effectively optimize their payment processes.
Tips for sustainable success
Setting clear payment KPIs
To ensure that the chosen solution is sustainable and effective for the merchant, they need to establish clear KPIs that align with the company’s goals. By assigning internal resources to monitor and analyze these KPIs, merchants can track the performance of their Payment Orchestration solution and facilitate continuous improvement and optimization of processes.
Running an initial pilot
Before fully integrating a Payment Orchestration layer, it’s important to conduct an initial pilot run, which allows businesses to validate different business cases and address any challenges early on. Fine-tuning the solution during the pilot phase will secure a smooth and successful launch and long-term results.
Download our Payment Orchestration whitepaper to learn more about choosing the right platform for maximizing your revenue, minimizing expenses, streamlining operations, and creating a seamless payment journey.