For years, digital publishing has relied heavily on a one-size-fits-all model: the monthly subscription. While this approach has driven predictable recurring revenue, it no longer reflects how readers actually consume content.

Today’s audiences want flexibility. They don’t just “subscribe”; they dip in, binge, follow events, read seasonally and then drop off when they no longer find value in the content.

For digital publishing platforms, from e-books to journalistic web pages and educational content, the opportunity is clear: move beyond fixed monthly subscriptions and build flexible plans that match real reading behaviour.

Done well, flexibility doesn’t reduce revenue. It increases conversion, retention and lifetime value.

What’s in this blog:

Why the traditional subscription model is showing its limits

The monthly subscription model for digital publishing companies assumes users consume content consistently every month and that there are only two options: subscribe or churn.

In reality, reading behaviour is far more irregular.

A user might:

When the pricing structure doesn’t match usage patterns, users often opt out entirely rather than commit.

That’s where flexibility becomes a part of your growth strategy.

Flexible monetisation models that increase conversion

If the traditional method is no longer working for today’s consumer base, then what are the options?

1. Day passes and short-access tickets

Not every user wants a subscription. Some just want access now.

Day passes or 24-hour access models allow users to access the content they want during a specific moment of interest and to try the platform with minimal commitment.

This model works particularly well for:

Although this type of reader are not bringing in recurring revenue right away, you could miss out on a large audience base and, therefore, revenue, if you don’t offer this little to no commitment plan.

2. Event-based or content drops

Instead of selling time-based access, online publishing platforms can sell moment-based access.

For example:

This aligns monetisation with intent, not just time. It also creates urgency, a powerful driver of conversion.

3. Flexible subscriptions

Monthly billing is often the default, not the optimal choice.

Offering alternatives such as weekly subscriptions or quarterly or annual plans can significantly improve acquisition by reducing psychological friction and provide options that suit the readers lifestyle or financial situation.

Even when lifetime value remains similar, removing the “monthly lock-in” perception can lift conversion rates.

4. Pause instead of cancel

One of the most effective retention tools is surprisingly simple: the ability to pause subscriptions.

There are many reasons why a user may want to cancel, for example, they could be travelling or temporarily time poor, and they don’t want to waste their money on a service they can’t currently use.

In situations like these that are temporary, a pause option is much more beneficial. This small feature can meaningfully reduce churn.

5. Usage-based bundles and credit systems

For platforms with mixed content types, prepaid credit systems can be powerful.

For example, you could allow your users to:

This decouples payment from rigid time periods and instead aligns it with actual consumption.

Why flexibility increases revenue (not reduces it)

At first glance, more flexible pricing might seem like it risks lowering ARPU. It may seem counterproductive to allow your readers to pause subscriptions or only drop in now and then, but in practice, it often does the opposite.

Flexibility drives:

The result: a healthier revenue mix across short-term and long-term users.

Reducing friction at checkout

Although these flexible pricing options are worthwhile, they only only work if payment friction is low too. Long-winded checkout flows and payment failures will put anyone off continuing with your service.

A smooth checkout needs:

Without these, it doesn’t matter how flexible your service is; payment friction kills conversion.

The role of payment infrastructure in enabling flexibility

Behind every successful, flexible monetisation model is a strong payments foundation.

Platforms need systems that can:

This is where modern payment providers play a critical role, not just processing transactions, but enabling product strategy.

The most successful digital publishers are increasingly treating payments as a core part of the user experience, not a back-office function.

To summarise:

Digital publishing is shifting from static subscriptions to dynamic access models.

Readers don’t want to be locked into a single monthly commitment. They want control and flexibility in how they pay for content.

The next wave of growth in digital publishing won’t come from raising subscription prices. It will come from rethinking how access itself is monetised.

If you’re ready to upgrade your subscription model, take a look at how our solutions package is built for digital publishing platforms like yours.

The travel industry is one of the most globalised sectors in the world. But behind every booking is a complex payments journey.

From cross-border transactions and multiple currencies to high chargeback exposure and long booking windows, travel businesses face unique payment challenges that many providers aren’t built to handle.

That’s why choosing the right merchant account for travel isn’t just a technical decision — it’s a growth decision. The right setup can improve approval rates, reduce risk and support international expansion.

What’s in this blog:

What is a travel merchant account?

A travel merchant account is a type of payment processing solution designed specifically for businesses operating in the travel sector.

This includes:

However, keep in mind that there could be other travel business models not mentioned in the list above.

In simple terms, it allows travel businesses to accept and process payments online, often across multiple countries and currencies, while managing the higher levels of risk that go hand-in-hand with the industry.

Unlike standard merchant accounts, travel payment processing requires additional considerations such as fraud prevention, chargeback management and international payment acceptance.

Why is the travel industry classed as high-risk?

Travel is considered a high-risk industry by many acquiring banks and payment providers globally, not because it’s unstable, but because of how it operates at scale. These are the main reasons why:

  1. High cancellation rates: Travel plans can change quickly. Whether due to personal circumstances or global events, cancellations are common and often lead to refunds or disputes.
  2. Long booking windows: Customers frequently pay weeks or months in advance. This creates a longer exposure period where something can go wrong or the customer could change their mind, increasing the likelihood of chargebacks.
  3. High transaction values: Travel purchases are typically higher in value than standard ecommerce transactions, which inevitably increases both fraud risk and financial exposure.
  4. Chargeback behaviour: Many travellers go directly to their bank instead of requesting a refund, often because they don’t understand the difference between a chargeback and a refund. This leads to higher chargeback ratios.
  5. Cross-border complexity: Travel payments are inherently international. A customer in one country may book a service in another, using a card issued elsewhere, adding layers of fraud risk, compliance requirements and approval challenges.
  6. Currency and FX exposure: Handling multiple currencies can become an operational headache with inconsistent pricing experiences and additional risk if not managed correctly.
Asset highlighting the following statistic: Chargeback ratio for travel is up to 2% vs 0.5% in retail

How can travel businesses reduce risk and chargebacks?

All online businesses should be aware of the possible risks when selling online. That’s why we recommend that all online merchants adopt at least the basic fraud protection measures. Accordingly, high-risk businesses should be extra vigilant and take additional fraud protection measures if necessary.

Here are a few tips which can help prevent fraud and minimise the risk of chargebacks:

  1. Work with a specialist payment provider: Choose a partner with experience in travel payment processing and high-risk industries. They should understand the nuances of travel business models and offer tailored support with an experienced risk management team and comprehensive fraud tools.
  2. Leverage global acquiring: Access to local acquiring in key regions (such as the EU and APAC) can improve authorisation rates, reduce cross-border fees and minimise false declines.
  3. Implement strong authentication (3D Secure): Integrating 3D Secure is a must for every high-risk online business. It is an extra layer of protection in the payment process by verifying the customer’s identity, helping reduce fraud and shift liability away from the merchant.
  4. Monitor transactions proactively: Always monitor transactions and look out for any inaccuracies or red flags to prevent fraud before it escalates.
  5. Prioritise customer support: Fast, responsive customer service can significantly reduce chargebacks. If customers can easily request refunds or changes, they’re less likely to go to their bank.
  6. Stay ahead of industry trends: Payments and fraud tactics evolve quickly. Staying informed helps you adapt and protect your business. Nomupay's blog could be a great place to start – We have prepared a bunch of informative articles about fraud prevention and chargebacks, all of them can be found here.
Quote from Southampton Cruisecentre on their experience with Nomupay

Why global payment capabilities matter in travel

Travel businesses don’t operate in a single market — and neither should their payments.

Customers expect to:

Without the right international payment processing setup, businesses may face:

A global acquiring strategy helps solve this by enabling:

For travel merchants looking to grow internationally, this isn’t optional, it’s essential.

Final thoughts

The travel industry presents huge opportunities, but also unique payment challenges.

From managing chargebacks to navigating cross-border transactions, having the right travel merchant account in place can make a significant difference to both performance and scalability.

For businesses expanding internationally, payment infrastructure becomes a key competitive advantage.

At Nomupay, we work with travel merchants to:

If you’re looking to optimise your payment setup or expand into new markets, it may be time to rethink your approach to payments. Get in touch!

Nomupay and TProfile join forces to provide embedded seamless payments for global travel brands. 

We’re excited to announce a new partnership with TProfile, an award-winning travel quotation and booking platform. The collaboration will enable travel companies including retail, homeworking, tour and cruise operators to seamlessly embed payment processing directly into their booking flows, enhancing customer experience and creating new opportunities for revenue growth. 

Localised experience through a single integration 

Through this partnership, TProfile will integrate Nomupay’s payment solutions, allowing customers to pay travel deposits and balances securely via cards, digital wallets (Apple Pay, Google Pay), Pay by Bank and local alternative payment methods (APMs). This unified integration eliminates friction in the payment process and gives online travel agencies and travel advisors the flexibility to offer multiple payment options, all from within their TProfile-powered platform. 

Tony Evans, CEO of TProfile, said: “Our clients have been asking for a seamless, integrated payment experience that matches the quality of their booking and quotation journeys. Partnering with Nomupay allows us to provide exactly that and more — a secure, efficient and globally scalable payments solution that enhances customer trust and conversion using multiple payment methods. Importantly, for those businesses that want to use a monthly payment option, TProfile also facilitates pre calculation of monthly payments in line with the balance due dates, creating an easy pay method for customers.” 

Powering global expansion 

Nomupay’s acquiring network provides a global reach that ensures that TProfile’s customers, from boutique travel advisors to enterprise-level operators, can accept and manage payments across multiple regions through a single integration. 

Paul Farquharson, Head of Partnerships at Nomupay, said: “TProfile has transformed how travel brands communicate and sell, combining beautiful customer engagement with powerful automation. By embedding Nomupay’s payment rails, we’re helping travel businesses reduce operational complexity, accelerate cash flow and deliver a truly modern payment experience to their clients.” 

Together, we share a common vision of supporting innovation in the travel sector, empowering travel brands with technology that simplifies operations, drives efficiency and strengthens customer relationships. 

Subscriptions are the lifeline of streaming platforms. Whether you run a video streaming platform, music streaming platform or one of the many fast-growing gaming streaming platforms, recurring revenue is what keeps your business predictable and scalable.

But here’s the challenge: not all subscription payments that fail are truly “lost”.

In fact, a significant portion of failed payments can be recovered if you have the right tools in place.

This is where many streaming platforms are leaving money on the table.

What’s in this blog:

Why subscriptions fail in the first place

Before we talk about recovery, it’s important to understand why subscriptions fail. Most failures aren’t due to customer intent; they’re caused by avoidable payment issues such as:

For streaming media platforms operating at scale, even a small percentage of failed payments can quickly translate into significant revenue loss.

The good news? Many of these failures are recoverable.

How to recover payments

When a payment fails, the default response for many platforms is to cancel access or prompt the user to re-subscribe manually.

But this approach creates friction, and often results in churn.

Modern streaming platforms are shifting toward proactive recovery strategies that work in the background, improving the customer experience while protecting revenue.

Let’s break down how.

1. Smart reconciliation with auto-retries

Not all payment failures are permanent. In many cases, a simple retry at the right time can successfully process the payment. With optimum billing data, the payment can be taken again later that day or the following day, rather then being retried immediately. Why? Well, if a payment has been declined due to “insufficient funds”, the situation won’t change moments later.

This kind of intelligent retry logic can significantly increase recovery rates without any customer intervention.

2. Multi-card registration

Customers today often have multiple payment methods. If their primary card fails, they may still be willing (and able) to pay, but only if given the option.

Multi-card registration allows users to:

  • Store backup cards securely
  • Automatically switch to an alternative payment method if the primary fails

For video streaming platforms and music streaming platforms with global audiences, this flexibility can make a substantial difference in reducing involuntary churn.

3. Automatic card updates

One of the most common reasons for failed subscriptions is outdated card information.

Cards expire. They get lost. They get replaced.

Automatic card update services solve this by updating card details in real time through card networks, ensuring subscriptions continue without interruption.

This means fewer failed payments and fewer unnecessary cancelled subscriptions.

4. Recover revenue with pay-by-links

Sometimes, automation isn’t enough, and that’s where direct customer engagement comes in.

Payment link request before it has been sent

Pay-by-link allows you to:

  • Send a secure payment link via email or SMS
  • Let customers quickly update or complete their payment
  • Recover subscriptions without requiring full re-registration

This is particularly useful for live streaming platforms where timing matters, for example, when users want immediate access to an event.

5. Flexible billing schedules

Circumstances change, things come up and, sometimes, that can effect cash flow. By not providing any flexibility to accommodate this, you could risk losing the customer all together.

Flexible scheduling gives you the ability to:

This approach is especially valuable for gaming streaming platforms and other services with fluctuating usage patterns.

Turning payment failures into growth

The most successful streaming platforms don’t treat failed payments as the end of the customer journey. They treat them as a recovery opportunity by utilising the solutions mentioned above.

Let’s recap:

By combining the tools you can significantly reduce involuntary churn and discover hidden revenue.

But delivering this kind of recovery strategy at scale isn’t something you can do alone.

Not all payment providers are built to support the complexity of modern streaming media platforms. To truly recover lost subscriptions, you need a partner that understands:

A strong payment partner doesn’t just process transactions — they actively help you protect and grow your subscription revenue.

Final thoughts

In a competitive market where users can switch platforms in seconds, every recovered subscription counts.

The difference between losing a customer and retaining one often comes down to what happens after a payment fails.

With the right recovery strategies in place, streaming platforms can turn payment failures into a seamless experience and a powerful growth lever.

If you’re looking to improve subscription recovery and reduce churn, it may be time to rethink your payments strategy.

Southeast Asia is rapidly becoming one of the most dynamic payments markets in the world. So, if you’re not already considering expanding into the region…why not? For merchants in Europe and the United States with expansion into the region on their roadmap, it’s important you understand its unique infrastructure.

At the centre of its growth is the rise of real-time payment systems, supported by a distinctly wallet-first consumer behaviour, Government-led innovations and the increasing cross-border connectivity. Together, these forces are reshaping how money moves across the region and redefining what a successful checkout experience looks like.

A region built for real-time payments

Across Southeast Asia, governments and central banks have invested heavily in real-time payment rails. Systems such as PayNow in Singapore, PromptPay in Thailand and DuitNow in Malaysia have made instant bank-to-bank transfers a standard part of everyday commerce.

For consumers, this means payments that settle in seconds rather than days. For merchants, it offers faster access to funds, lower transaction costs and a credible alternative to traditional card networks.

Judith Loh, Nomupay’s SVP Sales for APAC, says: “What makes Southeast Asia particularly interesting to me is its pace of adoption. In many ways, the region has skipped a generation and moved straight from cash to real-time, mobile-first systems, bypassing traditional card infrastructure altogether. You can see that play out more broadly across APAC too where digital wallets made up 77% of ecommerce and 63% of POS value last year.”

This has created a payments environment that is not only modern, but structurally different from Western markets.

The wallet-first reality

To understand real-time payments in Southeast Asia, it is essential to recognise that consumers do not default to cards. Instead, mobile wallets and bank-linked apps sit at the centre of the payment experience.

Wallets such as GrabPay, GoPay and ShopeePay are deeply embedded in everyday life, from transport and food delivery to bill payments and peer-to-peer transfers.

The real-time payment infrastructure underpins many of these wallets. Users can top up instantly, transfer funds seamlessly and pay merchants via QR codes or in-app flows. The distinction between a bank transfer and a wallet payment is often invisible to the consumer.

For Western merchants, this creates a critical challenge. A checkout experience optimised for cards will feel unfamiliar and potentially inconvenient to local consumers.

“Supporting wallets and real-time payment methods is not an enhancement, it is an absolute must if you want to succeed in the region.” – Judith Loh

QR codes as a universal payment method

Many Western merchants were introduced to QR codes during COVID-19, when contactless experiences became a necessity. While some have continued to offer QR-based payments, others have largely reverted to pre-pandemic habits.

In Southeast Asia, however, the story is very different. QR codes were already gaining traction well before the pandemic and have since become a core part of the payments landscape rather than a temporary solution.

In markets such as Indonesia, Thailand and Singapore, QR payments now function as a universal acceptance method. From large retailers to small street vendors, merchants can accept payments by displaying a single QR code that connects to multiple wallets and bank apps. This has significantly lowered the barrier to digital acceptance and accelerated the shift away from cash.

For international merchants, QR-based payments represent more than just an additional option. They are an opportunity for a low-cost route to broad market access, but they also require rethinking the checkout experience, particularly in mobile and cross-border contexts.

Connecting payments across borders

Perhaps the most significant development is the growing connectivity between national real-time payment systems. Countries across ASEAN are actively linking their domestic schemes, allowing users to send money across borders using familiar apps and local currencies.

For example, connections between Singapore’s PayNow and Thailand’s PromptPay enable cross-border transfers that are near-instant and far cheaper than traditional international payments. Similar linkages are emerging between Malaysia, Indonesia and other markets in the region.

“I can’t stress enough how important this is for cross-border commerce. It reduces reliance on international card networks and correspondent banking, lowers foreign exchange costs and simplifies the payment experience for regional consumers.” – Judith Loh

In practical terms, a customer in Bangkok can increasingly pay a merchant in Singapore using their domestic banking app, without needing a card or navigating complex international payment flows.

What this means for western merchants

For merchants entering Southeast Asia, the rise of real-time payments is not just a technical detail. It is a strategic consideration that affects conversion, cost and customer experience.

First, localisation is essential. Supporting local payment methods, particularly wallets and real-time bank transfers, is key to reaching customers in each market.

Second, speed matters. Real-time settlement can improve cash flow and reduce operational friction, but it also requires adjustments to reconciliation, refunds and risk management processes.

Third, cross-border is being redefined. As regional payment systems become more interconnected, merchants have an opportunity to serve customers across multiple markets with fewer intermediaries and lower costs.

Finally, partnerships are critical. Navigating the fragmented landscape of payment methods, regulations and infrastructure often requires working with local payment providers or global platforms that aggregate these capabilities.

A new payments paradigm

“Southeast Asia offers a glimpse into the future of payments. It is a region where real-time infrastructure, mobile wallets and cross-border connectivity are converging to create a faster, more inclusive and more efficient system.” – Judith Loh

For Western merchants, success will depend on recognising that this is not simply an extension of existing payment models. It is a fundamentally different paradigm, shaped by local behaviours and government-led innovation.

Those who adapt to this reality will not only unlock growth in Southeast Asia, but also gain insights that may well shape their global payments strategy in the years ahead.

Looking to enter into the Southeast Asia market? Learn more about the market trends and customer preferences from our Local Payment Methods guide, or get in touch to see how we can help you achieve your expansion goals.

Profile of Judith Loh, with picture and background experience

If you're a digital content creator, chances are you’ve spent hours perfecting your content, but far less time thinking about how you actually get paid.

And that’s completely normal.

As much as you want to get paid, the payments infrastructure isn’t the exciting part of building a digital business. But they are the foundation of turning your creativity into sustainable income. Get them wrong, and you risk losing revenue, frustrating your audience or limiting your growth.

Let’s walk through the most common mistakes content creators make when setting up payments, and how to fix them.

1. Overcomplicating the payment experience

One of the biggest mistakes in digital content platforms is adding too much friction to the checkout process.

You don’t need to know every little detail about your customer. And you don’t need to make them sign up to an account. Long forms, too many steps or limited payment options can cause potential customers to drop off before completing a purchase.

Why it matters:
In digital entertainment, impulse often drives purchases. If the process isn’t seamless, users simply won’t follow through.

How to fix it:

The easier it is to pay, the more likely users will convert.

2. Ignoring global audiences

Digital media content has no borders, but many creators still set up payments as if their audience is local.

A digital business needs to be treated very differently to a little pop-up shop in your local town. You could be filming your content in the UK, and have viewers over in Hong Kong.

An image of a world map with a large dot over the UK connected to multiple smaller dots all over the world

Why it matters:
If you're building a digital content as a service model, your audience could be anywhere in the world. Limiting currencies or payment methods means leaving money on the table.

How to fix it:

Think global from day one, even if your audience starts small.

3. Not planning for recurring revenue

Many creators focus only on one-time purchases, missing out on the stability of subscriptions.

Now, I know we said above about offering guest checkouts, but the point is, your customers need options. If they’re loyal and keep coming back to your content, a subscription service is the ideal solution for both them for ease and you for recurring revenue.

Why it matters:
Recurring payments are the backbone of a sustainable digital business. They provide predictable income and increase customer lifetime value.

How to fix it:

Subscriptions turn casual buyers into loyal fans.

4. Poor pricing strategy

Pricing digital content is tricky. Charge too much and you scare users away. Charge too little and you undervalue your work.

Do your research beforehand to see what other creators are charging. There may be a bit of trial and error at the beginning, but it’s an important factor to get right.

Why it matters:
Your pricing signals quality and shapes how your audience perceives your brand.

How to fix it:

Pricing isn’t static. Treat it as something you refine over time.

5. Overlooking payment failures

Failed payments are more common than most creators realise and often go unmanaged.

There are multiple reasons for failed payments, and it’s not always because the customer doesn’t have enough funds. Being able to access tools from your payments provider to prevent and manage failed payments will be invaluable to your bottom line.

Why it matters:
In subscription-based digital content platforms, failed payments directly impact revenue and retention.

How to fix it:

Recovering failed payments is often easier than acquiring new customers.

6. Lack of transparency with fees

Hidden fees or unclear pricing can damage trust quickly. Nobody likes to see one price, and then get stung with a larger bill at the end.

Why it matters:
Trust is everything in digital media content. If users feel misled, they won’t come back.

How to fix it:

Transparency builds long-term loyalty.

7. Not thinking about scale

What works for your first 10 customers might break when you have 10,000. It can take time to build a digital business, but with the way the digital world works, you never know when you’re business is going to grow.

All it takes is one viral piece of content to take you from a small audience one day, to a global phenomenon the next – and you need to be ready for it!

Why it matters:
As your digital content platform grows, your payment system needs to grow with you.

How to fix it:

Planning for scale saves major headaches later on.

8. Treating payments as an afterthought

This is the root of most problems. Creators often focus on content first and bolt on payments later leading to inefficiencies and missed opportunities.

The payments system is what takes your content from being a hobby to a paid job. If you want to be a content creator full time, then you need to make payments part of your strategy.

Why it matters:
Payments aren’t just operational; they’re part of your user experience and growth strategy.

How to fix it:

The best content creators treat payments as a core part of their digital business.

Final thoughts

Whether you're building a digital content platform, launching a subscription service or monetising digital entertainment, your payment strategy can make or break your success.

The good news? Most of these mistakes are fixable.

By simplifying the experience, thinking globally and planning for growth, you can turn payments from a pain point into a powerful advantage.

And that’s when your digital content truly starts working for you.

Take a look at our page dedicated to your industry and let’s see how we can help you take your digital platform to the next level.

Hong Kong has always been a city where tradition meets innovation, and its payment landscape is no exception. From the popular Octopus card to a booming digital wallet scene, consumers here move fast, shop smart and expect seamless checkout experiences both online and offline.

If you’re a business looking to grow in Hong Kong, understanding how people pay can make a huge difference to your success. Let’s take a look at the how the market has evolved and which online payment methods you need to focus on.

What’s in this blog:

Hong Kong’s payment evolution

Hong Kong is known for its highly developed digital infrastructure and tech-savvy consumers. While the Northeast Asia region has long been a leader in e-commerce and sophisticated cross-border trade, Hong Kong has carved its own path when it comes to payments.

Historically, cards have dominated, and they’re still incredibly important today. Credit cards remain a trusted way to pay for everything from online shopping to dining out. But over the last few years, the city has experienced a strong push toward cashless, mobile-first payments, helped by government-supported digital initiatives and changing consumer habits.

The rise of cashless at Point of Sale

Across Northeast Asia, governments have encouraged the shift toward digital payments to reduce the reliance on cash, expand financial inclusion and support economic growth. Hong Kong has followed this trajectory with physical retail now seeing rapid adoption of contactless, QR-based and wallet-driven payments.

Today’s market trends

Here’s what’s influencing how Hong Kong shoppers choose to pay right now:

1. A contactless culture

Hong Kong embraced contactless payments long before many other markets. Octopus paved the way, making “tap-and-go” behaviour second nature. That expectation now extends to mobile wallets and cards.

2. Growth of mobile wallets

Mobile payments have surged, especially among younger shoppers and commuters. Many consumers now prefer the speed and convenience of wallets linked to their phones, prepaid cards or bank accounts.

3. Cross-border shopping

With strong trade and cultural ties to mainland China, Hong Kong consumers are increasingly comfortable with payment methods that are popular across the border, particularly for e-commerce and lifestyle spending.

4. Multi-method checkout

Hong Kong shoppers want flexibility. Merchants offering multiple payment options, such as cards, wallets and QR payments, see better conversion and higher trust, especially in online checkout flows.

The payment methods businesses must offer in Hong Kong

If you want to succeed in Hong Kong, these are the essential payment options to support:

1. Octopus

Still one of the city’s most iconic payment systems, Octopus started as a transit card (prepaid travel card) but has become a major digital wallet with millions of active users. It’s embedded into everyday life including transport, convenience stores, supermarkets, vending machines and growing e-commerce use.

Why offer it?

  • Mass adoption
  • Fast checkout
  • Strong trust and brand recognition
  • Perfect for micropayments and daily essentials

2. Credit & debit cards

Despite the rise of digital wallets, cards remain a cornerstone of payments in Hong Kong and is one of the highest card-penetration markets in Asia.

Why offer them?

3. Alipay

Alipay is one of the most widely used mobile wallets in the city. It offers QR-based payments, frequent promotions, transit integrations and is a key part of the local retail experience.

Why offer it?

  • Popular among younger consumers
  • Easy mobile-first checkout
  • Prominent in both online and offline retail

4. WeChat Pay

Thanks to Hong Kong’s close economic integration with Mainland China, WeChat Pay is widely used for shopping, dining, travel and is a must for serving both local users and Mainland tourists.

Why offer it?

  • Essential for cross-border shoppers
  • Strong adoption in hospitality and retail
  • Integrated into Hong Kong’s digital lifestyle

5. Apple Pay, Google Pay & Samsung Pay

Mobile wallet use is growing fast, particularly for card payments made through digital wallets on smartphones and smartwatches, so it’s essential to support the biggest global digital payment methods.

Why offer them?

What this means for businesses

To build trust and convert more customers in Hong Kong, businesses should aim to:

Final thoughts

Hong Kong is a dynamic, highly digital market where convenience, speed and choice shape how people pay. Whether you’re operating online, offline or both, offering the right payment mix is one of the most powerful ways to stand out, increase trust and capture more customers.

There are many moving parts that a marketplace needs to manage effectively to succeed – payouts being a huge part of that!

A study reported that 56% of sellers are willing to switch to a marketplace offering faster payouts. So if you’re treating payouts like a backend process rather than part of your strategy to have a competitive edge over the competition, you could end up losing out.

Let’s take a look at the key challenges payouts can bring a marketplace and how to overcome them.

What’s in this blog:

1. Compliance: Forever changing rules

Regulation is one of the biggest hurdles in any marketplace payout flow, and it only grows as you scale. KYC and KYB checks must be handled correctly to prevent fraud and meet local rules. AML screening needs to run continuously, not just at onboarding. Tax obligations differ across regions and financial authorities regularly update what they expect from platforms handling money.

The difficulty isn’t simply “ticking boxes”. It’s the never-ending nature of it. Regulations shift, territories have unique interpretations and a process that works in one country might be non-compliant in another. For many marketplaces, this becomes a maze of manual checks, duplicated effort and constant worry about whether something has been missed.

How to tackle this:

The best way to achieve this? Local experts who understand the market. They need continuous, proactive systems in place to adapt to the new rules, local laws and changing risk profiles.

By using a global payments provider, like Nomupay, who have specialists on the ground across Europe, MENA and Southeast Asia, you’ll have a team on your side helping you stay up to date with regional insights and implement the rules and systems you need to keep the regulators happy.

2. Payout fees: Hidden and out of control

If you’re not careful, payout fees can get out of control. Each step throughout the payout flow can incur a cost, including transfer fees, exchange rate margins, intermediary fees and operational costs. And when you’re running thousands or millions of transactions, especially when funds are being sent overseas, these costs will add up!

List of payout fees

What makes it a challenge is the lack of transparency. Costs are often scattered across providers, banks, FX partners and internal systems. Without proper visibility, margins slowly shrink, and teams only realise when it’s already become a strategic issue.

How to tackle this:

The more players involved, the more you have to pay out, so keeping operations as simple as possible with limited systems taking a cut, will only benefit your revenue. Using a payment provider that offers the whole package, from mass payment acceptance and payouts to reporting and fraud management, you can reduce operational costs and have all your invoices in one place for complete transparency.

Sending funds in local currencies can help to tackle FX fees, as well as provide a smoother experience for the recipient.

For a full rundown of payouts and their fees, check out our blog: The hidden cost of cross-border payouts.

3. Currency volatility & FX: Its unpredictable nature

For international marketplaces, FX is a daily reality. Exchange rates move up and down constantly, and even small fluctuations can have a big impact on seller earnings. That volatility not only affects cash flow but also trust. If payees don’t understand how rates are calculated or feel shortchanged, frustration builds.

Additionally, the FX component isn’t just about rates: there are timing issues (when to convert), strategies (hedging, multi-currency balances) and communication challenges (explaining to sellers why their final payout differs from expectations). This complex mix is difficult to manage, especially at scale.

How to tackle this:

Marketplaces can ease the impact of currency volatility by offering multi-currency balances so sellers can choose when to hold or convert funds, locking in FX rates at the moment of transaction to provide certainty and a smoother experience.

Working with providers that not only have access to a range of currencies, but also offer competitive and transparent pricing to avoid unexpected costs can be invaluable in such a volatile industry.

4. Settlement times: The waiting game

Fast payouts are no longer a “nice to have”. For many sellers, they are essential. For small sellers or gig workers, delayed payouts can be crippling; cashflow can make or break their ability to operate.

Traditional banking rails, especially cross-border, simply aren’t designed for speed. Intermediaries introduce delays. Fraud checks extend timelines. Lack of flexibility creates friction. Speed isn’t just a convenience; it’s a competitive necessity.

How to tackle this:

The fastest way to settle funds is to use local payment rails, local currencies and digital wallets. By relying on a global platform with direct access to local acquirers, you simplify the process and avoid the intermediary banks that often introduce delays. Using local currencies further reduces FX-related hold-ups, and local payment methods help bypass the slow processing times of traditional banks so your funds can reach its recipient quicker and smoother.

Step by step diagram for our Payouts process

5. Fraud: The cost of openness

Marketplaces thrive on openness. Anyone can sign up from professional sellers to one-off freelancers, start selling and get paid. Unfortunately, that also makes them ideal targets for fraudsters, including fake sellers, stolen identities, account takeovers, chargeback abuse and money laundering.

Fraud becomes especially dangerous at the payout stage. Once funds have left the platform, they’re notoriously difficult to recover. Marketplaces often rely on manual reviews or outdated tools, which can be both slow and ineffective. The constant balancing act between blocking bad actors and maintaining a smooth experience for legitimate sellers is one of the hardest operational challenges in the industry.

How to tackle this:

To tackle fraud effectively, marketplaces need a proactive approach that blends strong identity verification with real-time monitoring. Thorough KYC and KYB checks at onboarding help prevent bad actors from entering the system, while ongoing behavioural analysis and transaction monitoring can flag suspicious patterns before payouts are released.

6. Operational complexity: Manual headaches

Behind the scenes, many payout processes are held together by spreadsheets and legacy workflows. But as volume grows, complexity grows too. What worked for 500 sellers completely falls apart at 50,000.

Without strong systems in place, manual tasks like chasing missing bank details, resolving failed payments, re-issuing payouts and managing exceptions become an operational headache. These tasks not only waste time but also introduce risk with human error. As your marketplace grows, this manual complexity can become a serious bottleneck.

How to tackle this

The key to reducing operational complexity is automation and consolidation. By replacing manual reconciliation and data entry with automated workflows, marketplaces can cut errors and free up teams to focus on higher-value tasks. Using a single, unified payout platform also reduces fragmentation across systems, streamlines reporting and makes it easier to manage global payouts at scale. Together, these steps turn a previously time-consuming process into one that runs smoothly and efficiently.

7. Seller experience: Building or burning trust

For sellers, payouts are more than just another payment solution; they’re the crux of their business, meaning it’s a huge trust moment that proves whether your platform is right for them or not. A confusing fee, an unexpected delay or a failed payout can undo months of relationship-building.

Marketplaces increasingly differentiate themselves on experience, and payout experience is a major part of that. Sellers expect transparency, predictability and control. When they don’t get it, they naturally question whether your platform is the right place for them to build their business.

How to tackle this:

Clear communication, flexible payout options, multi-currency balances and transparent fee structures all contribute to a smoother, more trustworthy experience. It’s easier said than done, but if you can provide all of this, then you’re on to a winner.

With the help from a payment provider, creating this seamless experience can become a whole lot easier. That’s why choosing the right payment partner is so important.

Finding the right payment partner

One of the biggest steps in overcoming all of these challenges is finding the right payment partner who can support global marketplace payouts.

When looking for a PSP, the key things to consider include:

Choosing the right PSP can transform payouts from a constant challenge into a competitive advantage. If you’re looking for a partner designed specifically to help marketplaces grow across borders with simplicity and confidence, Nomupay delivers the local access, flexible and speedy experience, and unified solutions needed to make global payouts seamless.

Check out our payouts page for all the details.

Cross-border payouts can take your business to the next level, but only if they’re done right. Running your payouts inefficiently can cause you to lose money rather than gain – which is less than ideal.

An important factor to understanding is the cost of sending funds internationally and all the moving parts that come with it.

So, let’s take a look at the hidden cost of cross-border payouts to avoid you getting blind-sided by fees, exchange rates and everything in between.

What’s in this blog:

Why efficient cross-border payouts matter

Whether you’re planning to scale your business globally, or you’re already reaching an international audience, cross-border payouts are a fundamental solution that you need to get right, particularly if you’re running a marketplace.

Here are just a few reasons why you should consider payouts as a priority.

Expansion

For businesses looking to grow globally, smooth cross-border payouts are key. They make it possible to pay overseas suppliers and reach new markets without unnecessary friction. When you can pay people easily, no matter where you or the recipient is in the world, your business can expand faster and operate more flexibly.

Support a global workforce

Why restrict yourself with the team you hire! Talent is all over the world, and it’s important to have local expertise in each market you want to expand to. Being able to payout to your international workforce seamlessly is just as important as sending funds to clients.

Competitive edge

In today’s digital economy, speed and reliability matter. Companies that offer quick, transparent payouts stand out. Whether you’re an online marketplace, a gig platform or a global service provider, a seamless payout experience can build trust and loyalty among your international partners and customers.

Important factors in managing cross-border payouts

Before you take the plunge and set up cross-border payouts, you need to be aware of the logistics. Considering the following aspects should be included in your strategy.

Exchange rates

Foreign exchange (FX) rates can make a big difference to how much your business and your recipients actually receive. Even small fluctuations can add up over time. It’s important to understand how your provider sets exchange rates, and whether they use a mid-market rate (the one you see on Google) or add a margin on top.

Local regulations

Every country has its own financial rules, tax requirements and reporting standards. Staying compliant can be tricky, especially if you’re paying into multiple regions. Working with a payment partner who understands local regulations can save time, reduce risk and help you avoid unnecessary delays or penalties.

Time and costs

Cross-border transfers don’t always move as quickly as domestic ones. Traditional bank wires can take several days, and intermediary banks may charge extra along the way. Newer digital payout solutions, however, can move funds in near real-time and often at a lower cost.

What fees do you need to be aware of

When sending money internationally, there are often more players involved than you might think. Each step in the journey, from your account to the recipient’s, can add a cost, and these fees can quickly add up if you’re not careful.

Here are the main types of charges to look out for:

  • Transfer fees – This is the most obvious cost. Some providers charge a flat fee per transaction, while others take a small percentage of the amount you’re sending. Even if the fee seems small, it can make a difference if you’re sending large sums or frequent payments.
  • Exchange rate margins – Whenever money is converted into another currency, the exchange rate used matters. Some banks and payment providers add an additional margin rate, often hidden within the exchange rate. So it’s important to be aware of this upfront.
List of payout fees

Understanding where these costs come from helps you make smarter choices. By breaking down the fees and being aware of hidden charges, you can avoid unpleasant surprises and make your payouts more efficient and cost-effective.

How to keep fees to a minimum

The good news is that international payouts don’t have to be expensive. By being proactive and choosing the right tools, you can keep fees manageable and make sure more of your money reaches its destination.

Here are some practical ways to lower your costs:

A world map with local currency icons dotted around, all connected by dotted lines

Ultimately, the best way to lower fees is to stay informed and flexible. The more visibility you have over how and where your money moves, the easier it is to spot opportunities to save — and to make cross-border payouts efficient, transparent and fair for everyone involved.

Choosing the right payout service

So, we’ve talked about the benefits of using a specialist provider, but what does that actually mean in practice? The right partner can make all the difference between slow, costly transfers and fast, transparent global payouts that help your business grow.

When comparing providers, look beyond the headline fees. A great cross-border payout solution should offer:

We may be a little biased, but this is exactly where Nomupay fits in. Our payout solution is designed for businesses that want to move money globally without the usual complexity. With a single API and a Unified Platform, you can send payments to multiple markets, currencies and channels, all with transparency and control built in.

Nomupay takes care of the local details so you can focus on what matters most: growing your business and paying your teams, partners or customers quickly and fairly — wherever they are.

Buy Now Pay Later (BNPL) has become such an integral part of the e-commerce world. The popular payment method has continued to rise over the years, offering consumers the financial freedom they’ve now come to expect. It’s become so fundamental to the way consumers shop that 40% of shoppers will even postpone their purchase if BNPL isn’t an option.

And it’s growth doesn’t stop here. It’s predicted to

Younger shoppers are driving BNPL’s rise, preferring short-term, manageable installments over the long-term commitment of traditional credit. As much as 44% of US Gen-Z shoppers prefer its flexibility over credit cards.

From the merchant viewpoint, BNPL presents an attractive proposition, accelerate towards 900 million global users by 2027!

So, if it’s not a part of your checkout flow yet, why not? Let’s take a look at the key drivers for BNPL’s success.

What’s in this blog:

Low risk, high reward

not just as a payment option, but as a strategic tool for acquisition, increased order value and conversion uplift.

It is often seen as less risky than extending credit themselves, because the BNPL provider typically takes on the risk themselves. You, as the merchant, will benefit from receiving the full payment upfront while offering customers flexible installments, reducing financial exposure and simplifying cash flow management.

Driving revenue

In addition to smoothing the checkout process, the availability of BNPL options in e-commerce stores have shown an increase in customer loyalty and conversions wherein sales have increased by up to 30%.

With the draw of paying for purchases over time or via installments, customers are going beyond making that first initial buying decision and are increasing their average order value by 20-40%.

A stat highlighting that BNPL can increase conversions by 30%

In fact, in Asia-Pacific, BNPL accounts for approximately 36.4% of global provider revenue. That’s huge for a single payment method!

Optimised checkout: Speed and simplicity

With multiple BNPL options available to consumers through the likes of Klarna, Clear Pay, Affirm and PayPal's pay in 3 (UK) option, these payment methods are increasingly becoming the standard at checkout.

It enforces convenience, which is now an expectation, alongside auto-fill and real-time validation, with 76% of consumers saying a smooth checkout is very influential when choosing a merchant.

BNPL acts as a one-click checkout option for shoppers that either don't have the immediacy of funds or aren't willing to submit payment information across numerous sites. Ultimately, BNPL sits as a contender alongside of, and works with, e-wallet fast payment options, to provide a convenient and speedy way of checking out.

Growing demand for flexible payments

Stat highlighting that 61% of consumers will use a retailer offering BNPL

The demand for alternative payment methods is there, with BNPL being just one sector of this massively increasing market. In the UK alone, 61% of consumers say they are more likely to shop with a retailer offering BNPL. That’s a huge market you could be missing out on if you decide against offering it.

Consumers actively try to avoid entering their payment details online, surging the push for faster payment journeys and a streamlined checkout process. They will even abandon their shopping cart if you don’t meet these expectations. In the US, 18% of online shoppers abandoned an order solely because of a too long / complicated checkout process.

The statistics speak for themselves. Offering BNPL as an alternative payment option at checkout can be hugely beneficial to your business, increasing customer loyalty and boost conversions.

Are you ready to add BNPL to your checkout? Get in touch!

As your platform scales, paying out to multiple recipients becomes one of the most complex and time-sensitive challenges you’ll face. Whether you’re running a marketplace, gig economy app or booking platform, managing who gets paid, how much and when is no small task.

The good news? Setting up a reliable mass payout system doesn’t have to be complicated. With the right setup and tools, you can automate most of the payout process, keep compliance under control and deliver a seamless experience for your users.

Here’s step by step how to set up payouts, from building the foundations to running your first automated payout batch.

What’s in this blog:

Step 1: Define your payout model

Before you integrate anything, take time to map out how payouts will work on your platform. The key questions to answer are:

These decisions impact your compliance obligations, user experience and technical design. The more flexibility you have, such as offering users a choice of payout methods or timing, the better.

Step 2: Choose the right payment provider

Once you’ve defined your payout model, the next step is selecting a provider that can support it. Not all payment partners are built for mass payouts, especially if you want full control of them, so look for one that fits your specific needs.

Here are a few key things to consider:

Geographic coverage: Does the provider support payouts in all the countries you serve?

Payout methods: Can it handle both bank transfers and e-wallets, or just one?

Currency support: Will you be able to send funds in multiple currencies without heavy conversion fees?

Compliance and security: Does the provider manage KYC/AML checks for you, or will your team need to handle that?

API capabilities: Is there a developer-friendly API that can integrate easily with your existing systems?

List of things to consider when choosing the right payment provider for a sending payouts

Flexibility is the real differentiator. Some providers limit how long you can hold funds or how you manage disbursements. A platform like Nomupay, for example, gives merchants full control, allowing them to hold funds as long as needed and release them when and how they choose. This type of adaptability ensures that your payout process aligns perfectly with your business model.

Why not take a look at our payout solution to see if it will suit your needs?

Step 3: Get your platform ready

Now, the following steps, we can only advise on our own flow, so we’ll take you through how to get set up with Nomupay.

Once you’ve chosen your payment provider (in this case, us), you’ll need to get the essentials set up or prepared to make the payouts possible.

Step 4: Integrate with a payout API

You’re now ready to integrate! Once we’ve sent you your API credentials, the following steps will occur:

“Testing your payout flow is probably the most important step in the whole process. It provides valuable time to ensure you’re comfortable with using the API, raise any queries or concerns with the team and flag any issues before you go live. And we’ll be here to support you every step of the way!” – Robbie Wilder, Head of Integrations

Step 5: Set up payouts

Once your payout system is up and running, it’s time to set up the payout transactions. Through the payouts API, you can create instructions to tell us how much, when and via which payout method (bank transfer or e-wallet) you want your funds to be sent.

You can also create logic to set up automations for a much more seamless approach.

Step 6: Keep track of payouts

Setting up your payouts doesn’t end there. It’s important to monitor transactions, instructions and your available balance so you can track the progress of every payout and stay on top of any issues that occur.

Luckily, you can do all this via the Payouts dashboard in your Unified Platform.

Step by step diagram on how to set up payouts

In conclusion

Building a scalable payout system isn’t just about moving money; it’s about building trust, reliability and operational efficiency. By mapping your payout model, choosing the right partner, integrating a flexible API and automating smartly, you can streamline your operations and give your users the confidence that they’ll always get paid on time.

And when you’re ready to bring both pay-ins and payouts together under one seamless system, Nomupay can help you manage it all — securely, globally and on your terms.

From passionate players and global communities to endless digital content opportunities, the gaming industry is an exciting place to be. But when it comes to gaming payments, the fun often stops there.

Despite the rapid growth of the industry, which is expected to reach a global market size of $505.17B by 2030, the gaming online payments infrastructure is outdated. This creates a constant battle between the merchant and the financial institutions to keep their merchant account open, manage chargebacks and offer the right payment experience for their customers.

But why?

Let’s take a closer look at the main challenges and why payments in gaming are such a tricky game to play.

What’s in this blog:

Gaming merchant account shutdowns and freezes

Few things are more stressful for a gaming merchant than waking up to find their merchant account frozen. Unfortunately, it happens far too often.

Gaming is often classified as a “high-risk” industry by banks and payment providers. That means even small spikes in transaction volume, unusual traffic patterns or a handful of chargebacks can trigger account reviews or suspensions.

For gaming marketplaces and resellers, this can be devastating, halting payouts, blocking player transactions and damaging trust with your customers.

How to solve this

You can’t change your high-risk label, so the best way to prevent it from impacting your business is by finding a gaming payment provider that specialise in the industry. The right partner will have all the right tools specifically for gaming payments to help you minimise the damage often caused by your main pain points, including chargebacks, false declines and lack of alternative payment methods (APM) access.

Chargebacks and friendly fraud

Chargebacks are a familiar enemy in the world of gaming payments. Fraudulent purchases, friendly fraud and disputes over digital goods all contribute to high chargeback rates.

Because digital items can’t be returned like physical goods can, it’s harder to defend disputes. Also, players (or accounts) may make purchases without proper authorisation, especially in younger gamers, resulting in friendly fraud disputes when the card holder (or likely, the parent) doesn’t recognise the transaction.

Once too many chargebacks hit, merchants face higher fees, penalties or even termination by their processor.

How to solve this

Combating this ongoing gaming payment challenge requires smart tools and fraud prevention systems offered by a payment partner who understand the unique risks of the industry.

Gaming payment providers should offer chargeback alerts to ensure you stay on top of disputes and get them resolved before they become a chargeback. But if you want to go one step further to prevent disputes from happening, then clear payment descriptions to avoid confusion on the bank statement, and easy and clear refund policies will help do just that.

Example of a chargeback alert notification

Limited gaming payment methods and scalability

Gamers are global. In fact, there’s ~3.6 billion of them! And they all use different currencies and payment preferences, from local e-wallets to prepaid cards and account-to-account transfers. But not every bank or payment processor is ready to support that diversity.

Due to the industries high-risk label, many gaming merchants find themselves restricted to a few “safe” payment methods, like card payments, which can cut off huge chunks of potential customers. If your customers can’t pay the way they want to, they’ll simply move on to a competitor who lets them.

This lack of APM access makes it harder to scale internationally, especially in high-growth markets like Southeast Asia or Latin America where local payment options dominate.

Checkout from a gaming marketplace selling an avatar, with multiple APM options

How to solve this

Offering more than the traditional methods, even if it’s just one or two APMs, will go a long way. By adding one additional method, you could increase your revenue by 12%!

By focusing on the markets your target gamers are based will help you decide which APMs to fight for. For example, if you’re based in Hong Kong, you’ll need to offer AliPay, but if you’re processing in Malaysia, then GrabPay is a must. Find a gaming payment provider that can give you access to these local payment methods.

Hint: We offer more than 200 APMs, even to our high-risk merchants!

Payment friction and false declines

Fast-paced, high frequency microtransactions are pretty typical in gaming. But, unfortunately, these transactions can often be treated as suspicious.

This leads to false declines in gaming payments.

When a gamer is mid-game and tries to purchase something (skins, virtual currency, etc.), a declined payment breaks the flow. Gamers expect instant gratification and smooth experiences. A friction point can disrupt immersion, ruin the moment and lead to churn or abandonment.

How to solve this

When dealing with one acquirer, payment declines can occur more often. But when you use multiple acquirers, particularly local acquirers, you can reduce this risk greatly by having declined transactions re-routed until the transaction is a success.

In fact, you could boost your approval rates to 97%+ by opting for local acquiring for cross-border transactions. Find a payment provider, like Nomupay, that will help you access a global network and keep your gamers payment experience smooth.

The payout problem: Delays, fees and friction

If taking payments is one challenge, sending payouts can be an even bigger one — especially for gaming marketplaces and reseller platforms.

In gaming ecosystems, payouts are constant. Sellers, creators and affiliates expect fast, reliable payments, often across multiple countries, currencies and payout methods. But most payment systems weren’t built for that kind of complexity.

Delays in payouts can damage reputation and trust. Long settlement times or limited payout options frustrate sellers and partners, while manual payout processes drain time and resources from your operations team.

How to solve this

You need a payout partner that is built for gaming marketplaces. A solution that gives you all the control so you can direct when, how much and via which method the payout happens. For example, if you need to send funds to one account via bank transfer and another to an e-wallet, you need to be able to make that happen.

Step by step diagram for our Payouts process

What gaming merchants need from a payment partner

To thrive, gaming businesses need a payment partner who truly understands the industry’s pace and complexity. That means:

If you’re interested in seeing how we can provide all of this and help you overcome the typical challenges that gaming merchants face, take a look at our gaming page dedicated to you.

Choosing the right payment acquirer isn’t just about integration or fees; it’s about finding the setup that fits your business model. The decision impacts how easily you can expand, how smooth your customer experience is and even how much revenue you keep.

Some businesses value speed and simplicity, others need flexibility and local reach. Your choice will depend on things like where your customers are, how many payment methods you need to support, what resources you have in-house and your expansion goals.

Understanding the trade-offs between one global acquirer and multiple local acquirers is essential if you want to optimise international payments without overcomplicating your operations.

What’s in this blog:

Using a single global acquirer

Going with one global acquirer is tempting. It keeps your reporting in one place, simplifies integrations and gives you a single point of contact for support. For businesses just testing international markets, operating domestically or only selling in a handful of countries, it can be a very practical option.

Use case: A small business from the UK, testing the waters in one or two nearby European markets might choose a global acquirer. With a lean team and modest transaction volumes, the priority is keeping operations simple rather than chasing the best rates.

World map with two blue dots highlighting locations in central Europe. The larger one represents the acquirer and the other represents the location it is processing in

But there are challenges to consider:

If ease and simplicity are what you need right now, then one global acquirer could work well. But keep in mind, simplicity may come at the cost of lost sales, frustrated customers and ultimately lower revenue as you scale.

Using multiple local acquirers

On the other hand, navigating multiple local acquirers can feel more complex. There’s more negotiations to consider, more reports to analyse and more relationships to manage. But the trade-off is often worth it.

For businesses looking to expand internationally at scale or process a high volume of transactions in diverse markets, this is where local acquiring really shines.

Use case: An e-commerce retailer in Malaysia wanting to expand across Southeast Asia where there is a vast amount of local APMs and fragmented markets to consider. By adding multiple local acquirers to cover local payment preferences like, Touch ‘n Go in Malaysia and PayNow in Singapore, and unique regulations, the merchant can expect fewer cart abandonments, faster settlements and increased approval rates.

A world map with multiple large blue dots and smaller blue dots, sporadically connected. Representing multiple acquirers processing in different regions.

Working with multiple local acquirers allows you to:

Yes, the setup is heavier, but if growth is your focus, the benefits often outweigh the complexity.

The best of both worlds: Payment providers with multiple local acquirers

Here’s where things get interesting. Some payment providers, like Nomupay, connect you to multiple local acquirers through a single platform. That means you don’t have to choose between simplicity and performance. You get both!

Use case: A digital marketplace operating across 10+ countries needs local payment coverage to maximise acceptance rates but doesn’t have the bandwidth to manage multiple integrations. By plugging into a multi-local provider, they can offer the right payment methods per market while keeping a single integration and consolidated reporting.

A world map with one large blue dots and multiple smaller blue dots located in different countries, all connected to the larger one. Representing one payment provider who has connections to multiple local acquirers and process global payments

With this model, you’ll get:

It’s essentially global acquiring made smarter, with all the perks that local acquirers bring. For businesses scaling across multiple countries, this can be a powerful way to balance efficiency and customer experience.

FeatureOne global acquirerMultiple local acquirersNomupay
IntegrationSimple: one integrationMore complex: separate integrations for each acquirerOne integration that connects to multiple local acquirers
ReportingCentralised dashboard and unified dataFragmented reporting across providersUnified global data with all channels and APMs consolidated into one platform
FeesHigher cross-border feesLower domestic transaction costsDomestic-level fees via local acquirers, without added complexity
Settlement speedCan be slower in certain marketsFaster local settlementsFast local settlements through connected local acquirers
Payment methodsLimited support for niche/local optionsBroad support for local payment methodsWide support for local methods, delivered through one platform
Acceptance ratesMay be lower due to cross-border routingTypically higher with local acquiringOptimised: transactions routed to best-performing local acquirer
Customer experienceConsistent but not always localisedTailored to local expectations and preferencesLocalised experience at scale, without multiple integrations
ScalabilityExpansion limited depending on network connectionsExpansion requires adding new acquirers, more overheadScales globally with local-level performance
Operational complexityLow: one relationship to manageHigh: multiple contracts, support channels and processesLow: single provider manages multiple local relationships for you

The choice: Global or local acquirers or a multi-acquirer payment provider

It’s clear, there’s no one-size-fits-all answer. The right acquiring setup depends on how your business operates and what your priorities are.

Here are some questions to ask yourself when choosing:

So, in a nutshell, global acquirers offer simplicity, local acquirers boost performance and multi-acquiring providers combine the best of both. Choosing the right payment acquirer comes down to your business model, your customers and your growth plans.

Hopefully, this blog has helped you towards making a decision. If you’d like to find out more about how our multi-acquiring strategy can benefit your business, give us a call.

Cardinity has been a part of the Nomupay group since 2022, and we’re thrilled to announce that the Lithuanian-based payment provider is now officially joining forces with us.

Over the last year, we’ve been working hard to seamlessly combine our teams and technology to consolidate our solutions under one roof, bringing you enhanced features and expanded capabilities.

This strategic merger marks another exciting milestone in Nomupay’s mission to create a unified, seamless and scalable payment experience for businesses across Europe and beyond.

A shared vision for growth and innovation

Cardinity brings with it a wealth of expertise in online acquiring, a deep understanding of the European regulatory landscape and a loyal base of merchants across high-growth sectors.

Its commitment to secure, efficient and flexible payment solutions aligns perfectly with Nomupay’s vision of removing cross-border complexities and being the world’s preferred global payments partner. By combining our technologies, acquiring capabilities and local expertise, we’re better positioned than ever to help merchants accept payments with confidence, wherever they operate.

What does this mean for Cardinity merchants?

Cardinity merchants can expect the same quality service that they’re used to just under a new name, with no impact on their business.

With the added benefit of access to Nomupay’s suite of tools, features and payment methods, this rebrand will allow us to offer you improved payment solutions, greater global reach and continued reliability in processing your transactions.

Cardinity merchants will gain:

In the coming months, we’ll be working closely with Cardinity merchants to ensure a smooth transition. Our shared teams are committed to providing the same level of support you’ve come to expect – now with even more value.

You’ll also still be able to access your Cardinity portal here.

Looking ahead

This merger represents a powerful step forward as Nomupay continues to scale and strengthen its European footprint. Together with Cardinity, and following last year’s merger with Total Processing, we’re building a payment network that’s not only broader in reach but richer in capability.

Selling to international customers has never been more attainable. From e-commerce stores reaching customers worldwide to B2B companies managing global supply chains, the opportunities for merchants have completely opened up.

But growth and opportunity does bring more obstacles to overcome.

Cross-border payments are at the heart of international commerce, but between FX fees, currency conversion and compliance checks, they are often more challenging than they seem. For merchants, understanding how they work, what challenges they present and what solutions exist is essential for scaling globally. This blog breaks down everything you need to know.

What’s in this blog:

What are cross-border payments?

Cross-border payments, or international payments, are transactions that are sent from one country and received in another. These payments can occur within all industries including retail, travel, local authorities and even peer-to-peer transfers.

For example:

Unlike domestic payments, cross-border transactions involve different banking systems, currencies and regulations, all of which can add cost and complexity for merchants.

The difference between domestic and international payments

Alternatively to international payments, domestic payments are when both the buyer and the merchant are in the same country. These transactions are much more straightforward, with less banking systems and fees involved, but you can be limiting your business if you can only process domestic payments.

FactorDomestic paymentsCross-border payments
LocationBuyer and merchant are in the same countryBuyer and merchant are in different countries
CurrencySingle currencyInvolves at least one currency exchange
Banking systemsProcessed within one national payment systemMultiple banking systems involved; often requires correspondent banks
SpeedUsually near-instant or same-dayCan take 2–5 business days depending on method
FeesLow or minimal (domestic bank/card fees)Higher due to FX conversion, correspondent bank fees, and compliance checks
RegulationGoverned by local/national laws onlyMust comply with multiple jurisdictions (AML, KYC, tax rules)
ComplexityStraightforwardHigher complexity; more intermediaries involved
Merchant impactLower cost, faster settlement, predictableHigher cost, slower settlement, FX risk, more admin overhead

How do cross-border payments work?

Cross-border payments may seem instant to the customer, but behind the scenes they are more complex.

Since domestic payment systems don’t connect across borders, banks use other banks in different countries (called correspondent banks) to help move money internationally by holding accounts on their behalf.

Correspondent banks act as intermediaries between institutions that don’t have a direct relationship, ensuring payments can still reach their destination, but at the cost of extra time and FX fees.

Here’s a simplified breakdown:

  1. Payment initiation – A customer submits a payment in their local currency.
  2. Message sent – An instruction is created telling the customer’s bank to debit their account and credit the merchant’s account in another country.
  3. Correspondent banking – If the customer’s bank and the merchant’s bank don’t have a direct relationship, the payment moves through one or more “correspondent banks” that act as intermediaries.
  4. Currency conversion – The payment is exchanged into the merchant’s preferred currency at an agreed rate, usually with additional costs.
  5. Compliance checks – Each bank in the chain runs anti-money laundering (AML) and financial crime checks before releasing funds.
  6. Settlement – Accounts are adjusted: one bank debits funds, another credits them. The money itself doesn’t physically move; balances are updated across accounts.
Cross-border payment flow diagram

For merchants, this process can introduce delays, fees and foreign exchange (FX) risk, all of which directly impact margins and cash flow. This complexity means it’s critical to choose a payment provider that can streamline these steps behind the scenes.

Cross-border payment methods

When selling internationally, the payment methods you offer can make or break a sale. While card payments and global wallets are popular in some regions, customers in other countries strongly prefer local payment methods. For merchants, adapting to these preferences will greatly reduce cart abandonment and build trust with buyers.

Here’s why local payment methods matter:

For merchants, the lesson is clear: a “one-size-fits-all” approach to payments won’t work globally. To succeed in cross-border commerce, you need to tailor your payment offering to the preferences of each target market.

Challenges of cross-border payments for merchants

As we’ve already alluded to, cross-border payments are a must if you want your business to expand globally, however, merchants face unique challenges when accepting or making international payments.

These include:

These global payment challenges can create friction in scaling internationally if not addressed with the right solutions. For a more in-depth discussion on this topic, take a look at our blog that covers navigating global payment gateway challenges.

The solution? Local acquiring!

Cross-border payment FAQs:

How long do international payments take?

Timeframes matter when running a business. Here’s what merchants can expect:

Delays in receiving funds can impact cash flow, making settlement speed a critical factor for merchants choosing payment partners.

How do currency exchange rates impact cross-border transactions?

Exchange rates don’t stay still. They rise and fall in response to global market conditions. For merchants, that means the amount you ultimately receive (or pay out) can shift from day to day. Therefore, it’s advised to closely monitor exchange rates if you’re processing cross-border transactions.

How can businesses minimise risks associated with international payments?

The biggest way you can reduce the risk of cross-border payments is by using a reputable payments provide that has access to the markets you want to process in. You’ll want a PSP that is:

Looking to simplify cross-border payments? Nomupay helps merchants expand globally with local acquiring and tailored payment solutions. Arrange a call to see how we can improve your international processing and scalability.

Nomupay is delighted to announce a new strategic partnership with Telsolutions, a UK-based leader in customer engagement and communication channels.

Established in 2004, Telsolutions has become a trusted provider of communication channels across a wide range of sectors, including local authorities, energy and utilities, hospitals, parking and revenue and debt collection.

For nearly two decades, Telsolutions has helped organisations streamline customer communications and improve collections through its innovative multi-channel platform. To continue with their success, Telsolutions were on the hunt for a reliable payments partner that could deliver convenience and flexibility while also offering long-term stability and room for growth.

A future-proof payments solution

What makes Nomupay a great partner for Telsolutions? It comes down to speed, simplicity and flexibility. With fast onboarding, easy integration and a dashboard that’s intuitive to use, Telsolutions’ clients can start benefiting straight away. From Open Banking and card payments to Apple Pay, Google Pay and even cross-border transactions, Nomupay makes it easy for organisations to collect payments quickly and securely, no matter how their customers choose to pay.

“We’re proud to be selected as Telsolutions’ payments partner. By uniting Telsolutions’ innovative multi-channel engagement platform with Nomupay’s unified payments ecosystem, we’re empowering local authorities, enforcement agencies, utility providers, and more to offer their customers simpler, more flexible payment options. Together, we’re streamlining collections, reducing complexity and costs, and unlocking new opportunities for growth.”

— Simon Lowe, Senior ISV Partnerships Manager, Nomupay

Together, we have also introduced new functionality into the payments flow:

This strategic partnership goes beyond simple payments integration. By working together to enhance payment link functionality, we’re enabling Telsolutions’ clients to collect more efficiently, reduce costs and deliver a better overall customer experience.

“Telsolutions have built a reputation for excellence in local government and enforcement communications and services.  The use of open banking payments is no longer a trend, so offering this frictionless option to help customers to pay bills and invoices is now essential. 

“Open banking payments with Google and Apple Pay are now out performing  traditional payment options. Working with Nomupay has been a great new partnership to deliver these services with reliable technical support at short notice.”

— Daniel Pearce, Director of Business Development, Telsolutions

Supporting growth across key sectors

This partnership marks an important milestone in Nomupay’s mission to make payments simpler, more accessible and more connected. By combining Telsolutions’ expertise in customer engagement with Nomupay’s robust payment infrastructure, organisations across the UK can now provide their customers with a wider choice of payment options, while maintaining control, flexibility and visibility over their collections processes.

Together, Nomupay and Telsolutions are building the future of payments and communications, helping local authorities, utilities, hospitals and more better serve their communities.

Navigating payments in Southeast Asia isn’t easy. With a fragmented landscape of currencies, regulations and consumer preferences, delivering a smooth payment experience can be a real challenge for the hospitality industry. 

That’s why we’re excited to announce the next milestone in our partnership with HotelTime Solutions. This collaboration has allowed HotelTime to launch localised payments in Southeast Asia.  

Together, we’re making it easier than ever for hotels to manage payments seamlessly across all guest touchpoints. 

Who is HotelTime Solutions? 

A brief introduction to our partner: HotelTime Solutions is a leading cloud-based platform for hotels, restaurants, spas and event venues.  

Their vision aligns with ours perfectly. Our mission is to simplify global payments; their goal is to deliver best-in-class software that streamlines operations and helps hoteliers do what they do best. Together we aim to provide great guest experiences from start to finish. 

A growing presence in Southeast Asia  

HotelTime already supports over 640 hotels across 20 countries and is continuing to expand rapidly across Southeast Asia, with a dedicated local team in Thailand leading the way.  

By leveraging our local licences and adding our payment solutions to their PMS, we’re proud to support HotelTime with their global expansion, starting with an additional hotel within their Thai client base. It doesn’t stop there either; by enabling the platform to offer fully localised payment experiences for their hotel partners, they’re set for further expansion across Hong Kong, Malaysia, the Philippines and Singapore. 

Since gaining access to our wide range of payment methods from credit cards to popular and local e-wallets, HotelTime’s customers can now offer guests the flexibility to pay how they want, all while keeping operations simple and centralised. 

End-to-end solutions from booking to checkout 

HotelTime’s cloud-based PMS now includes integrated payments through Nomupay, bringing hoteliers a truly end-to-end platform. From managing bookings to accepting payments, everything is designed to improve operational efficiency and enhance the guest experience. 

Together, we're delivering a true omnichannel payment solution. Whether a guest is booking online through OTAs or a hotel’s own website, or making in-person purchases at the hotel, Nomupay’s platform ensures a smooth, unified payment experience. 

This partnership is a huge step forward in digital transformation for the hospitality industry in Southeast Asia, and we’re thrilled to be on this journey together. 

Shopify is one of the easiest e-commerce platforms to set up for your business; you don’t need to have any programming or design skills. It also has a variety of themes and apps for customisation and management.

Looking to set up an e-commerce store? Open your e-store on Shopify with these simple steps:

1. Sign up for a Shopify account

With Shopify, it's easy to create a simple online store as you don’t need to get a server and a developer to customise and maintain it. So, the first step is to go to shopify.com and click Start your free trial. You will only need to enter some basic details about your store and yourself, and your account will be ready in no time.

2. Start adding your products

If you're not ready to choose a theme for your website and come up with a domain name yet, start by adding products you're going to sell. Just click the button Add product and fill in all the necessary fields. Alternatively, you can import products from a CSV file. There are some product details which you should never forget to add, such as good-quality product images and detailed product descriptions including colours, sizes, materials and other essential characteristics.

Add product on Shopify

3. Choose a domain for your online store

Now it’s time to select your domain name. Bear in mind that your domain name should be easily recognisable by your customers. To purchase a domain through Shopify, click Add domain and then Buy new domain. It can be renewed every year.

If you have already purchased a domain from another provider, don’t worry, as you can easily connect it to your Shopify store. After clicking Add domain, you will also see buttons Connect existing domain and Transfer domain. The latter means that you can transfer your existing domain to Shopify. For more information, check this Shopify guide.

4. Choose a theme and customise your online shop

After adding the products and choosing a domain name, you can customise your e-shop and its design accordingly. On the main admin page of your Shopify account, find and click on Customize theme. There you will be able to select a free or paid theme for your online shop, choose colours, insert your logo, change the header, footer and more. Moreover, you will be able to preview how your website looks on both desktop and mobile.

Choose theme in Shopify

5. Add all the necessary pages and policies

What is left to add to your website now? Policies. You should not forget to add all the essential pages:

To perform better in search engine results, your Shopify store needs, not only detailed product descriptions, but also well-optimised content pages. They will make your website more discoverable. To create a page, go to your Shopify admin panel, choose Online store -> Pages and click on Add page.

6. Integrate a payment gateway

Nomupay offers a payment gateway which can be easily integrated with your Shopify store setup so that you can seamlessly accept payments online.

You can find a complete guide on how to integrate Nomupay as your payment provider with Shopify here.

If you have followed all the steps in this guide, you are all set up and ready to accept payments on your website.

To get more information and help with your Shopify online store, go to the Shopify manual.

Get to Know Your Customer Day is an event that occurs quarterly (on the third Thursday of January, April, July and October) to encourage businesses to build stronger relationships with their customers. It serves as a reminder for businesses to take time to better understand their customers’ needs, preferences and feedback. It is a great reminder for businesses to connect with their customers on a deeper level. The closest day is October 17.

Here are a few ideas on how to make the most of this day:

In Summary

Building strong relationships with customers leads to higher retention, a better understanding of their needs and, ultimately, long-term business growth.

Usually online transactions are processed successfully, but sometimes payments can fail. The payment processing flow includes multiple role players and each can be responsible for a transaction failure.

Online card transaction failures are usually beyond merchant control. However, there are certain actions a merchant can take in order to complete a transaction or prevent transaction failures in the future. This post will describe the usual reasons why online card payments fail and what to do to either prevent a payment from failure or process the payment successfully.

Who are responsible for online payment failures?

Firstly, let's cover who is involved. The online payment processing flow includes four main players – buyer (cardholder), merchant, acquirer and issuing bank. Each can be (knowingly or unknowingly) responsible for stopping a transaction from being successfully processed. So, how can each be responsible for payment failure?

CardholderHuman errors during input. Probably the most common reason why transactions fail – buyer fails to enter correct card data.
Issuing bankCan fail the transaction if it violates cardholder’s rights. Also, if issuing bank notices signs of potential fraud or there are technical reasons that interfere with the transaction.
MerchantMerchants are rarely responsible for payment failure. However, merchants can have an indirect impact on transaction failures. For example, if the issuing bank does not approve the merchant’s business type.
AcquirerReasons why the acquirer would be responsible for payment failure are mostly related to technical issues. For example, incorrect configuration with the merchant account.

Basically, the payment processing flow is merchant and acquirer vs. cardholder and issuing bank. When a cardholder attempts to buy something from a merchant's website (initiates a transaction), both the merchant’s and acquirer’s best interest is a successful transaction. While the issuing bank is responsible for protecting their client’s (cardholder’s) funds and rights.

How to identify reasons for payment failures?

When a transaction fails, the merchant should receive an error code (called “Response codes“) and name of the error. Each response code identifies a reason why a transaction failed so that a merchant can act accordingly to fix it. Merchants should note that response codes are sent by issuing banks. Acquirers do not determine these decline codes, and only display them in your merchant account.

Payment response codes that are down to the cardholder or issuing bank are usually numbered similarly (for example, 3000, 3001, 3002<…>3099). Error codes that are down to the acquirer or other reasons are usually very different (for example, 9999 or 6000). Basically, this can help identify whether payments fail due to the acquirer and merchant or cardholder and issuing bank issues.

Sometimes merchants can receive “Do not honour” response codes. Learn more about them in our 'Reasons for Do Not Honours' blog.

Understanding the response codes and their names can help you identify who to contact to resolve the payment failure.

Why do online card payments fail?

As mentioned above, online payments fail due to cardholder errors, issuing bank interests or acquirer issues. Below we will review common reasons for payment failures.

Cardholders

We're all human and often make mistakes so it's not surprising that the most common reason why transactions fail is probably cardholder errors. Cardholders might fail to enter the correct details: card number, CVV code, expiration date or their name. Whenever a buyer fails to correctly input their payment information at the checkout, the merchant receives an error code. Such errors are usually easy to solve – just contact the buyer informing them that they failed to input the correct card details.

The good news is that buyers usually recognise that they entered incorrect information and correct themselves on the next payment attempt. Usually, cardholder errors are resolved on their own. However, if the buyer tends not to try again, you can always follow up and ask them to try again.

Response codes resulting in cardholder errors can also help you identify potential fraud. Codes like “Hot card, pick up” or “Special pick up” can indicate stolen or lost cards being used. If you get a lot of errors resulting in buyers failing to enter correct card data, this might mean that the fraudster is attempting multiple transactions. The merchant should check subsequent transactions for any signs of fraud.

Issuing bank

Card-issuing banks are responsible for ensuring a safe and transparent online payment environment. Their goal in the payment processing flow is to ensure that the cardholder acts within their rights and that their rights remain intact. The issuing bank connects the merchant and cardholder’s bank account, thus they check the payment elements related to both the merchant and cardholder.

The issuing bank is likely to fail a transaction if there are any uncertainties or possible signs of fraud. For example, the issuing bank is the one responsible for declining a transaction if there are insufficient funds in the cardholder’s bank account. In addition, it checks whether the cardholder is able to conduct a transaction – a payment might fail if it interferes with the withdrawal limits or other restrictions set upon a card.

The issuing bank also has fraud prevention policies. If there are signs that a transaction might be fraudulent, the issuing bank might attempt to fail the transaction. Such error codes require special attention as it is direct proof that your business might be under fraud risk.

In some cases, issuing banks might reject a transaction due to their unwillingness to work with the merchant or website (based on the Merchant Category Code or issuer’s acceptance policy). In addition, there might be other reasons why the issuing bank would decline a transaction. For example, unspecified reasons or connection errors. In such a case, you should contact the bank to learn more about why the transaction has failed.

Acquirer

Rarely do error codes occur due to the acquirer. When an acquirer accepts a merchant for payments, they are sure that the merchant is eligible to process payments. However, similarly to the issuing bank, the acquirer is responsible for the online payment ecosystem.

For example, acquirers usually have rules configured to fight fraud. If a transaction does not comply with the rule, it might be declined. In addition, the acquirer might sometimes face technical difficulties that would prevent a transaction from being processed successfully.

The acquirer is in the merchant's side of the field. If you receive errors that are strange and stand out from the issuing bank or cardholder errors (as mentioned, they are usually similar), contact your acquirer immediately.

An online shop without a payment processor is just a simple website filled with beautiful pictures of products, therefore, for most, payment processing is just a tool that allows merchants to run an online business. It’s a mandatory part of any functional business. But it's also so much more than that!

For example, if you are in a local market and all you have on you is your credit card, you won’t go to the merchant that only accepts cash. You will choose a seller with a POS card terminal. Therefore, just because you can accept a payment, does not mean people will actually buy from you.

Taking this analogy to your online business, just because you accept credit cards, doesn't mean that's suitable for everyone. You should adapt to the payment needs of a customer. Merchants should think of payment processing not only as a tool to sell products, but also as a part of their business growth.

Let me show you four ways how payment processing can scale your business.

1. Expand your market

Choosing a payment processor that allows you to accept payments globally will allow you to scale your business. Being available to a broader audience will bring more clients. More clients mean more sales. More sales mean more revenue. Sounds like a dream, right?

This is especially applicable to small businesses. Finances are a more delicate topic for such businesses. Usually, small businesses decide to save money and offer payment methods for local customers only. This decision puts unnecessary bounds on their online business. Being open to global markets from the start benefits them in the long run. Let’s face it, pretty much every business wants to prosper for a long time. You can never know when your business will receive global recognition, but you want to be able to monetise it when the opportunity arises. Furthermore, by only focusing on a local market you risk being a small business forever.

In addition, global payment processors use payment methods that are recognisable everywhere. Offering a familiar method on your online shop will most certainly reduce cart abandonment rates and, as a result, increase your sales. 

In a nutshell, accepting payments from all around the world with a global payment processor will scale your business by expanding your market, reducing the cart abandonment rate and thus increasing your sales. 

2. Provide reliability

Most merchants tend to choose a provider with the cheapest pricing. There’s a reason people say “you get what you pay for”. I am not saying that cheap = bad. What I am saying is that it’s not the only feature you should be looking for. Having cheap pricing will save you money per transaction, but what is more important – having transactions go through successfully. When a problem occurs and payments don't go through, you might experience more loss than what you would gain with low fees. Therefore, choosing a technically reliable provider should also be a top priority. 

While you might not be an expert in evaluating whether the payment processor is technically reliable or not, you can choose a provider with high-quality customer support. Problems with transactions most likely will occur. So when they do, you want to solve them ASAP. Every hour spent with payments being declined on your website can damage your revenue and reputation. With a single declined transaction you risk losing a client for good. Having a processor that offers quick, high-quality customer service is key to solving problems quickly. 

Ensuring reliability for your payment processing allows you to scale your business by preventing declined transactions. A single declined transaction can mean a lost client and less sales in the future.

3. Offer recurring payments

When choosing a payment processor you shouldn’t only think about the whys but also the hows. Choosing a convenient payment model is crucial if you want to scale your business. 

Subscription-based commerce is on the rise and is projected to reach a market size of $1.5 trillion by 2025. Subscription models guarantee regular communication with your customers, strengthening the connection between you and your customers over time. In addition, when offering subscription-based products or services, you can be sure of more stable revenue streams. Focusing on retaining your clients is a safer bet. Building a loyal customer base rather than focusing on new client acquisition is a more reliable revenue stream with the least possible risks.

A drawback is that acquiring a customer for subscription-based payments is a harder task than offering a one-time payment. You must consider the effort it takes to encourage customers to commit to more than a single payment. Thus, you should try to reduce the fear of commitment. A good example is making recurring payments easy to pause and cancel, or giving the ability to alter the volume of goods received. A customer is more likely to pay once than commit for a period of time, thus showing freedom in changing their plan conditions reduces the fear of committing to a subscription.

Recurring payments can scale your business by deepening the relationship between you and your clients, thus allowing you to build a loyal customer base.

4. Accept more payment methods

As we have already mentioned, when there aren't a variety of payment methods for a buyer to choose from, it can result in a lost sale. All your marketing efforts will be in vain. If a customer is interested in your website and products, only technicalities will prevent them from making a sale. Therefore, providing multiple payment methods is a way of increasing the chance of accepting your customer's preferred payment method. Most payment processors apply pricing per transaction, so you only have to pay the fee when you make a sale with their method. Implementing multiple methods usually only costs time. Which we believe is a worthwhile investment. Transaction costs that the processors apply shouldn’t matter much if they enable you to make a sale. 

In addition, every now and then new payment methods hit the market as innovative, sometimes faster and better than others. Being open to payment trends is the key to scaling your business.

Integrate alternative payment methods now, experience the benefits later. If you don't match your client’s desirable payment method, you prevent potential sales.

Sometimes, whether the fault of the merchant or not, a customer is not happy with their purchase or cannot recognise a transaction in their bank account. If the issue cannot be resolved with the seller directly, the customer has the right to contact their bank and request an official refund. This is known as a chargeback. Before getting to chargeback reasons, here is a brief introduction to what a chargeback is:

What is a chargeback?

A chargeback is a payment refund officially claimed by a cardholder from their bank or card issuer. Your customer may dispute a card transaction, and the bank may immediately credit the disputed payment amount to the customer’s account. As a merchant, you need to be prepared for the risk of chargebacks.

Check out our blog for more information on what a chargeback is here.

Why does a chargeback occur?

Understanding the causes of chargebacks is the first step in knowing how to avoid them. Sometimes the chargeback can occur due to fraudulent activity, other times it can be down to friendly fraud, and you need to be prepared for all instances.

Here are the most common causes of chargebacks:

If your customer files a chargeback, we will receive a notification on your behalf and inform you about it. You can also receive chargeback alerts to get an early notification about a potential dispute; that way you can handle it before it becomes a chargeback to avoid the fees.

If you decide to dispute the chargeback, it's advisable to collect as many details about the disputed order as possible. This way you will get the chance to win the chargeback. Note that it is the customer’s issuing bank who makes the decision.

As the number of online shops and online sales volumes have grown exponentially since the beginning of the COVID-19 pandemic, fraudsters have also become more active. There has been a significant increase in friendly e-commerce fraud, phishing activities and identity theft.

Therefore, merchants should be very cautious and monitor orders carefully. Just by tracking customers’ behaviour, you will be able to notice any inconsistencies in their data or suspicious activity. There are many signs of fraudulent activity; here are a few scenarios you should be aware of to spot of e-commerce fraud:

First-time shoppers

Pay special attention to customers who purchase in your e-shop for the first time. Thoroughly check the information they provide during registration, including the name, phone number and address. Did the customer provide a real name and surname? Is the shipping address real, and does it coincide with the billing address? Are there any suspicious quantities of products in their order? If the provided information looks fake or suspicious, conduct further authentication steps to verify their identity.

Suspicious email address

Make sure that the email address provided by a customer exists. Fraudsters usually use a fake email address. You can use Google to check whether the email can be found online. If the email address looks suspicious, try to contact the customer before shipping the products to the indicated address.

Different shipping and billing addresses

Fraudsters tend to fill in their addresses in the shipping field and the address of the legitimate cardholder in the billing field. Check the countries which are indicated in the billing and shipping addresses. Pay special attention to the order made for a foreign shipping address if most of your customers are located in your country. Note that in order to stay anonymous, fraudsters usually use postal boxes for their orders.

Payments made at night

Pay special attention to a purchase made at night. Check the time zone of the country that the order came from. Fraudsters tend to operate when merchants are less likely to notice any suspicious payments.

Suspicious order amount

An unusually high order amount can be a sign of fraudulent activity. Similarly, a very small order should attract your attention if it is followed by a sequence of large orders. It's also worth paying attention to a customer who makes purchases often.

Inconsistencies in customer’s data

Check all the transactions which were made with the same payment card but for different shipping addresses. You should also be very cautious with orders made with different payment cards but for the same address. Check the transactions conducted with different cards for the same IP address.

Do not disregard any indication of suspicious behaviour of your customers. You should be alert and quick to act in case of any fraudulent activity. If you need any assistance with your payments, feel free to contact us or check out what fraud tools you could gain by processing with us. For more information on keeping your business safe, why not take a look at our blog on how to secure your website from payment fraud.

One-click payments sound easy and effective, right? But what exactly are they, and how can they be used in e-commerce businesses?

What are one-click payments?

So firstly, let’s define the concept and learn how to use this payment feature. One-click payments are essentially what it says on the tin – payments made with just one click of the mouse or one tap of the finger if you are using a smartphone or a tablet. However, only registered users or returning buyers can use this feature. This means the ones who have already made a purchase on your website and saved their payment data. After making an initial purchase and agreeing to use the one-click payment feature for future payments, your customers will be able to shop with just one click.

To get a better grip of the whole one-click payment process, let’s look at it step by step:

  1. Your customer signs up on your website and makes the first purchase. At this step, the customer has to agree to save their payment data for future purchases using the one-click payment feature.
  2. The card details that they enter (card number, first and last name of the cardholder, CVV2/CVC2, expiry date) for the initial transaction are tokenised.
  3. The reference ID of the first payment is stored on the system.
  4. Next time the customer buys from your online store and clicks on the Pay with Card button, the system uses the reference ID of the initial transaction and charges their card.
  5. And that’s all! With only one click, your customer completes a payment.

Are one-click payments secure?

Even though all the sensitive card data is tokenised, you may still be wondering if one-click payments are actually secure. Nomupay always strives to ensure the highest payment security. That is why each website using Nomupay must have an SSL certificate. It helps transmit all the shared data in a secure way. Additionally, all the shared information is always tokenised and a payment ID is created which is later used for one-click payments. It means that no untokenised data is saved.

Which online businesses can benefit from using the one-click payment feature?

  1. Mobile apps for in-app purchases. If you don’t want to interrupt the flow in your mobile app and redirect your user to external websites/apps, then having a one-click payment option is very useful. Users can make a payment without having to leave your app and entering credit or debit card data again.
  2. Online games. True gaming fans will appreciate how convenient and easy it is to buy anything in-game with one click only. With a single click payment feature, your users will be able to make payments with just one click of the mouse, without pausing the game and additionally entering the payment data.
  3. Membership-based businesses. Most buyers will agree that extending the membership with just one click rather than providing all the same data again is way easier.
  4. General e-commerce stores. Returning customers will appreciate the convenience and the easiness which comes with one-click shopping.

The benefits of one-click payments

Now we've covered what it is and who can use it, let's cover the benefits of one-click payments:

If you are looking for a solution which would make the payment process even more effective and fast for your customers, one-click payments could be a great option. Not only does this feature simplify and make the checkout process quicker, but also increases sales and, therefore, your profit.

If you are looking for a secure and reliable payment service provider that offers a one-click payment feature, let's have a chat.

As everyday life shifts more and more into the online world, dating has travelled to the web as well. Nowadays, finding a date on an app/website is more common than meeting someone “the old-fashioned way”. There is plenty of different types of dating-related websites/apps, but some of them could be quite ambiguous offering misleading services. So, firstly, let’s find out what can constitute an online dating business.

What is considered to be an online dating merchant?

The most common online dating businesses are the following:

Dating apps/website creators usually take into consideration various different factors, such as users’ sexuality, race, religion, location, profiles, personality test or even taste in music or Facebook connections. Generally, a dating app/website will use at least one of the previously mentioned factors in order to help users find dates easier.

Why are online dating businesses considered high-risk?

If you have ever used an internet dating app/website or you own an online dating business, you will be aware that there are some extra features/services that can come with an additional price. Usually, memberships or premium features (e.g. viewing additional profile information) come with added costs. Ordering paid features seems simple for the end-user, but implementing online payments for internet dating businesses can turn out to be rather complicated; since they are considered to be high-risk, many payment service providers can be reluctant to work with them.

The main reason why online dating businesses are high risk is the increased likelihood of chargebacks. Often, in online dating, customers feel disappointed because they can’t find what they were looking for or the app/website didn’t meet their expectations. In such cases, they are likely to file a chargeback which makes the merchant responsible for their unsatisfactory experience. A high number of chargebacks might also mean that some users have forgotten to cancel their ongoing membership and instead of asking for a refund, they file a chargeback.

How can online dating merchants protect against fraud and reduce the number of chargebacks?

Looking to keep your business and customers protected? Here is a list of tips which can help to reduce fraud and chargebacks:

To sum up, modern life is shifting into the online world in every aspect, including dating. That is why internet dating websites and apps are on the rise at the minute. Owning a dating website/app is a profitable business model, but it comes with a number of risks, the biggest one being chargebacks. However, there is a great variety of measures which can help online businesses avoid chargebacks and possible fraud. For instance, choosing a payment service provider with an experienced risk management team will make fraud/chargeback monitoring much easier.

If you are looking for a payment service provider which can help you with fraud and chargeback prevention, check out our fraud tools for more information.

An online business without card payments is like a car with three wheels – it does not run properly. Your e-shop might not last long with only bank transfers and cash on delivery while your competitors accept card payments. So, you should not hesitate to implement this option in your online shop as well. 

Let's take a look at the main reasons why card payments are necessary for your online business.

Card payments increase sales

Credit and debit cards are one of the most popular payment methods online. By offering this payment option on your website, you get more customers by default. If your website is convenient and easy to purchase on, the customer will likely come back again. As a result, you boost customer retention. More returning customers and growing sales volume lead to an increase in revenue.

Card payments encourage impulse purchases

No doubt you have made purchases which were not planned beforehand. This is called impulse buying. If something has caught your eye in an online shop, and you see that you can quickly pay by card, why not satisfy your cravings? Your customers think the same way. Impulse purchases can be quickly done with credit and debit cards, bringing you more customers and sales.

Customers buy more when they pay by card

When buyers pay by card, especially by credit card, they do not notice how quickly they spend money. They tend to buy more and spend more. Therefore, you should not miss the opportunity to make use of them.

You ensure better customer experience

No doubt, the easiest way of paying online is with a card. Customers do not need to log in to their bank accounts or e-wallets but only need to enter their card details once. If your provider supports one-click payments, then shopping becomes even more convenient for your customers. They will not need to enter their card details again for further purchases. As a result, you provide the best customer experience and attract more returning buyers.

Funds can be charged periodically

If you have a subscription-based or membership-based business, you cannot go without recurring card payments. With recurring billing, you don’t have to struggle with sending bills and emails reminding your customers to pay. Hence, you need to choose a payment gateway that offers recurring payments for your subscription or membership services.

Card payments are easy to track

If you open a merchant account for your e-commerce website, you also get access to your own dashboard. There you can track all your customers’ payments. It helps you with accounting, reporting and managing your cash flow.

You receive payments immediately

Card payments are quick. You don’t need to wait several days for your customers to receive an invoice and make a bank transfer. When a customer pays on your website with a card, you immediately see this payment in your merchant account. Hence, all your funds are in one place.

Your business looks trustworthy

By indicating that you accept Visa and MasterCard payments on your website, you help your business be recognised as legitimate and reliable. Credit and debit card payments build customers’ trust in your website.

Customers can make mobile payments

Customers can quickly pay by card on the go in your mobile application. Even if you don’t have an app but only a website, card payments are still more convenient than other methods on mobile. Considering current trends, mobile payments can be a profitable investment for your business.

Don’t let your competitors win your sales

Customers want to make quick purchases without too much effort, so they will choose an e-store that can provide such an experience. It means that you might lose those customers who like your product but dislike the payment process. Instead, they will choose your competitors who accept cards. So, maybe it is a chance for you to start processing credit and debit cards and strengthen your position on the market?

For more details on accepting card payments and how it works, you can check out our card payment guide.

If you are a newbie in the e-commerce business, starting an online shop might be quite daunting at first glance. But don't panic, we're here to help. Below you'll find a list of the five most common mistakes when starting an e-commerce business and some tips on avoiding them.

Miscalculation of your stock

Inexperienced sellers often miscalculate their stock and are unable to see if they have product overflow or underflow. The biggest problem appears if the products have expiration dates (e.g. food or beauty products) and they are not sold in time. In that case, the company is very likely to suffer loss. If your stock is too low, you can also lose potential profit and customers. Once your e-shop visitors see the note “out of stock”, they will have to go shopping elsewhere.

HOW TO AVOID: Of course, it is impossible to calculate exactly how and what kind of products you are going to sell. However, you can always learn from the best practices which will help you evaluate your stock correctly. A few tips:

Mismanaged product delivery

Another common mistake is mismanaged or not carefully arranged product delivery. A modern buyer is quite demanding and wants to receive a high-quality product quickly and efficiently. If you make your buyers wait for a long time or don’t offer enough delivery options, they will be left disappointed.

HOW TO AVOID:

Not enough attention to advertising and social media

It was noticed that many new online shops and other online businesses don’t invest in ads or don’t do it correctly. Ads are extremely important for beginners who don’t have a stable client base. Advertising is one of the most effective ways to introduce your product/business to the public and attract new customers. You can run ads on different platforms, but contemporary buyers find ads on social media the most attractive.

HOW TO AVOID:

The website is not user-friendly

The fourth mistake is not making your website user-friendly and attractive. As previously mentioned, a buyer wants to find what they are looking for very quickly and simply. An aesthetically pleasing design will attract more website visitors and, therefore, potential buyers. However, it's not enough to just make the website look beautiful. It's even more important to make the structure of the website easy to understand and navigate. Visitors will not last long on your website if they can’t browse smoothly and quickly. So, once again, you face the possibility of losing potential buyers.

HOW TO AVOID:

Not enough payment methods

The last mistake is wrongly chosen payment options. In order to please modern buyers, you have to keep everything (including the payment process) simple, fast and easy to understand. If a buyer doesn’t find his preferred payment method, it is possible that they will just abandon their shopping cart. This is why you have to make sure to offer the right payment methods.

HOW TO AVOID:

Opening an online store and starting to accept payments online doesn't have to be a difficult process with the right understanding and tools. Being familiarised with possible risks and learning ways to avoid them, you'll find starting an e-commerce business much easier.

Also make sure to follow our blog because we have many more great tips waiting for you.

Millions of people worldwide prefer buying goods and services without stepping out of their homes. The number of e-сommerce websites is constantly increasing as well as the need for secure online card payments. E-shops are not difficult to set up, but every seller has to deal with the challenge of ensuring data protection and winning customers’ trust. Websites can achieve this by using SSL.

What is SSL?

SSL (Secure Sockets Layer) certificate is a reliable and efficient method to maintain privacy, security and buyer’s confidence in your online shop. It is a standard technology for establishing an encrypted link between a web server and a client (a web browser).

SSL connection protects online transactions and ensures that confidential and sensitive information (e.g. credit card information, user login credentials, personal data) is encrypted and transmitted securely.

Why do I need SSL?

Information sent from your customer to you and vice versa is transmitted from one system to another. Sensitive information such as credit card or personal data can be available to third parties if the connection is not encrypted.

  1. As a seller, you need SSL to keep the data encrypted and protected from any middle man so that nobody except the intended recipient could understand it.
  2. You can also be sure that the intended server receives the information and not a fraudster.

Important: SSL is now a must!

If you are planning to sell products or services online, you have to implement SSL on your website. There are two primary reasons why. First of all, as mentioned above, it protects all the sensitive data transmitted between you and your customer. Moreover, since July 2018 Google Chrome flags all websites without SSL as Not Secure. This will certainly harm your website’s ranking and push your potential customers away.

How does SSL connection work?

The SSL connection is established with the help of three keys: the public, the private and the session key.

  1. Your customer’s browser connects to your SSL-secured web server (website).
  2. Your server sends a copy of its SSL Certificate with the server’s public key. The browser checks that the certificate is not expired or revoked, and that it is used by the website that it has been issued for. It also checks whether the certificate was issued by a trusted certificate authority.
  3. The browser creates and sends a symmetric session key using the server’s public key.
  4. Your server decrypts the symmetric session key using its private key and starts the encrypted session.
  5. The server and the browser encrypt all transferred data with the session key.

If a browser identifies that the certificate is expired or not valid, it will warn the user/customer that the website is not secure.

How can I make my online shop secure?

  1. You must create a Certificate Signing Request (CSR) on your server. It is a file that contains your details which is later submitted to a Certificate Authority. Your server creates a private and a public cryptographic keys. You should not disclose your private key by any means.
  2. You should submit your CSR to a Certificate Authority (CA) and get an SSL certificate. A CA issues digital certificates to organisations or legally accountable individuals. There are many certificate issuers; however, web browsers trust only those CAs that they have on their list.
  3. After the CA issues an SSL certificate, you should install it on your server.
  4. Your SSL certificate must be tied to an intermediate certificate which is already on the trusted list of your customer’s web browser.
  5. Your web server is now able to establish an encrypted link between the website and your customer’s web browser.

What does an SSL certificate include?

A typical SSL certificate contains your domain name, company name, address, city, state and country. It also includes the expiration date of your certificate and information about the CA that has issued it. Note that since February 2018 the maximum duration of SSL certificate validity is set to two years.

How can buyers identify secure online shops?

The first sign of absence of SSL is the warning instantly shown by Google when a visitor opens an unsecure website. If your website is protected, it normally displays a lock icon and begins with https rather than http. In order to build customer confidence in your website, you can display a trust seal on your website as well to show that it was verified by a Certificate Authority.

Running an e-commerce business can be easier with the help of such security measures as SSL. It guarantees the security of your transactions and boosts your sales by building more trust in your online shop. In addition, you can activate 3D Secure to prevent fraudulent activities in your online store.

An ordinary consumer usually doesn’t know the difference between a refund and a chargeback and can even use the two terms interchangeably. However, experienced merchants know that the difference between these two concepts is actually huge and one of them is definitely the lesser of two evils. So, firstly let’s discuss each term separately and only then compare them and see their main differences.

What is a refund?

A refund is a specific type of payment when the amount of money that was used to purchase goods/services is returned to the customer. It is most likely that the customer makes the request for a refund from the seller, however, in some cases, the merchant can initiate the refund too. Refunds can be either full or partial.

Refunds are usually carried out in this order:

  1. Firstly, a customer buys a product/service.
  2. Then the customer receives the product/service but is unsatisfied because of a specific reason.
  3. A customer contacts the seller, requesting a refund.
  4. The seller (merchant) voluntarily issues a refund.

To avoid any refund-related disagreements or miscommunications, we strongly recommend adding a return policy on your website.

What is a chargeback?

A chargeback is another specific payment type when the customer asks their card-issuing bank to return a specific payment. If the customer is for some reason unsatisfied with the purchase or doesn’t recognise a specific transaction, they have the right to request a chargeback from their card issuing bank.

When a customer decides to file a chargeback dispute, the problem is taken to the issuing bank instead of the merchant. The card issuing bank then has to decide if the chargeback was legitimate or not. Usually, the bank immediately returns the money to the customer and only then starts the investigation. If the merchant has evidence that the transaction was legitimate, goods and services were delivered, etc., it is possible to dispute the chargeback.

The most frequent cases when chargebacks occur:

What is “friendly fraud” and is it the same as a chargeback?

”Friendly fraud” is commonly referred to as a type of chargeback when a buyer pretends not to recognise a particular transaction and, therefore, initiates a dispute at his card issuing bank. Because of customer protection laws, filing a chargeback has become very easy to do. Usually, all you have to do to initiate a chargeback is to call your bank. Some people also call this phenomenon “cyber shoplifting”.

What are the differences between refunds and chargebacks?

Now both terms are clear, let´s see what their main differences are.

So, it means that handling a chargeback requires way more resources: time, money and human resources.

Let's take a deeper look into these difference:

In case of a chargeback, you lose all three. You lose time because you need to cooperate and prepare necessary evidence if you want to dispute a chargeback. You lose money because the card-issuing bank instantly takes money from you to cover the disputed transaction, you also face additional chargeback fees and the customer has no motivation to return the product (so you are unable to resell it later). And of course, dealing with a chargeback requires human resources, because you or your employees will have to handle the chargeback.

As concerns refunds, you also lose all three, but on a much smaller scale. It takes very little time to issue a refund – it usually can be done with a click of a button. Also, you will face much less money loss, because no additional fees will be applied and you will get your product back (in most cases). The only thing you will need to cover is the administrative costs, such as restocking costs. And, of course, handling a refund needs far less human resources.

In the meantime, refunds are not controlled by the card networks. If you exceed the chargeback limit, your merchant status can change from low to high-risk, or, even worse, your account can be suspended or terminated.

These are the chargeback limits applied to Cardinity merchants:

VISA – 1% (100 chargebacks)

MasterCard – 1.5% (100 chargebacks)

Can a chargeback and a refund happen at the same time?

Unfortunately, yes, they can. It can happen in a situation when a customer contacts both the merchant and the issuing bank, and a merchant issues a refund even though the chargeback process has already started. Always try to avoid this kind of situation and if you’ve been informed about a new chargeback, remember there’s no use issuing a refund.

As you might have understood by now, it is always better to issue a refund instead of dealing with a chargeback. This way you will avoid unnecessary expenses, wasting time and other resources. Chargebacks can be a headache for the merchants, but Nomupay will always try to help you through the whole process. If you want to stay informed, you can also check out our blog post to understand more about what a chargeback is or read in more detail about the chargeback process from start to finish.

Does blockchain optimise online payments? Blockchain technology has taken the world by storm since its invention in 2008. The finance world has been the biggest industry to benefit. The entire cryptocurrency market cap is at a stunning all-time high of nearly $2.95 Trillion. By now, the popular Bitcoin cryptocurrency is accepted by big names including Microsoft, AT&T and, oddly enough, even the Miami Dolphins.

The tech is taking over because it encodes data within a digital ledger that logs every transaction and can not be faked or modified. When used as a currency, blockchain and decentralised ledger technology (DLT) stops counterfeiting without the need for central administrators like financial institutions. 

But is the technology improving traditional payment methods or is it on its way to replacing them entirely? And what drawbacks could we see from a world of cryptocurrency payments? 

Blockchain vs. traditional payment methods

The big benefit of blockchain tech is cutting out the middleman. Banks were traditionally needed to administer and verify transactions. With blockchain, they are unnecessary to complete a transaction. Blockchain-powered payments could be both faster and come with lower fees than payments including banks. And cutting out banks is a pretty big disruption for the world of payments. 

Cutting out the middleman from the payment process offers faster and cheaper transaction methods. However, banks offer additional layer of security. They are usually regulated and supervised by multiple set of rules and associations. While Blockchain also offers security of payments, integrity of payments is another thing. Without the middleman blockchain payments can be prone to illegal activities also. Banks for traditional payment methods protects the international online payment environment from criminal activities, while protecting interests of merchants and customers.

The industry is taking this game-changer seriously: 90% of the European Payments Council members believed that blockchain tech would “fundamentally change the industry by 2025”, according to a CBInsights report, and they weren't wrong. Before crypto, banks did not have any incentive to lower their transaction fees, which set the industry up for disruption. Cross-border transactions accounted for $224 billion in payments revenues in 2019 alone, so there was a lot on the line.

So, Bitcoin is fast, cheap and effective. But is it better than the payment methods we already use? 

Card payments vs. Cryptocurrencies

cryptocurrency vs card payments

Bitcoin payments come with one core disadvantage for users. Unlike credit card payments, cryptocurrency transactions can not be cancelled or refunded. This puts customers at a greater risk of losing their money due to fraudulent transactions or theft, and the impact can be big. One scammer even claims to have stolen $1 million over 14 months through phishing attacks.

In addition, the tertiary benefits of credit or debit cards — reward programs. The ability to borrow money and widespread integration with other services will be lost to Bitcoin devotees. On the other hand, so would the problems that come with cards. Like late fees, negative credit score impacts or extra charges for international payments.

One final downside to the technology is its environmental impact: Bitcoin’s total annualised carbon footprint back in 2022 was 68.98 Mt CO2, which was around the equivalent of the country of Israel’s carbon output. That power consumption will continue to grow as the value of Bitcoin rises due to greater adaptation. 

In 2015, a single Bitcoin transaction used power equal to 1.5 days of the average American household’s electricity usage. That’s already a lot, but today, the same transaction has ballooned to the power consumption of an average U.S. household over 38 days. Given this power usage to transaction ratio, Bitcoin would simply be unsustainable as the core of our whole financial system.

Blockchain is here to stay, but won’t take over

Bitcoin transactions are gaining popularity, and offer a fast, inexpensive alternative to card payments. 

Even if it will never take over the entire financial system, the technology is rapidly becoming a meaningful component of it. Towards the end of 2024, the market cap reached a massive $3.4 trillion, 88% growth YOY.

Their potential for disrupting payments is exactly why banks and retailers are increasingly interested in owning stock in crypto startups or learning how to accept them as payment. By getting in early, banks can hedge their bets and get a piece of a growing industry. Small business owners can also accept Bitcoin with the right service — some startups are helping retailers by offering cryptocurrency transaction method integrations for e-commerce platforms including Shopify and WooCommerce. 

While blockchain optimise online payments for certain factors including speed and ease of use, they come with some downsides for consumers. Such as the inability to get refunds, as well as a downside for the financial infrastructure in the form of unsustainable power usage. Blockchain won’t be going away any time soon, but it won’t be turning the financial system completely on its ear, either.

Would you buy anything on a website which Google flags as Not Secure? Probably not - You don't want your most sensitive data to be leaked by cybercriminals or any third parties. Google tries to protect you and asks you to leave such websites. Thus, if you are a seller and do not want to unintentionally force your customers out of your site, make sure to install an SSL Certificate.

What is an SSL Certificate?

In brief, SSL or Secure Sockets Layer is a standard technology for establishing an encrypted connection between a web server (your website) and a client (your customer’s web browser). The updated and more secure version of SSL is called TLS (Transport Layer Security). Website owners can obtain SSL Certificates from trusted Certificate Authorities. For more information on how to obtain and implement SSL on your website, you can check out our previous blog article.

Important: Make sure you enable TLS 1.2 or later versions.

Now you know what it is, let's take a look at four benefits that SSL provides.

Protection from data leakage

SSL helps you protect your online shop from hackers and identity thieves. When a website is SSL-secured, the transmitted information is encrypted, making it very difficult to be stolen by third parties. In fact, the data becomes meaningless to anyone except for the intended recipient. Thus, with Secure Sockets Layer, you can minimise data breaches and cybercrimes.

In addition, if you are planning to accept card payments on your website, SSL is definitely a must for you. Credit card data is one of the most important and the most vulnerable information that users fill in on different websites. So, it is necessary to encrypt.

Building customers’ trust

Information security is vital to everyone these days. Potential customers will recognise your website as secure and reliable if they see a lock icon and https instead of http in the address bar. They will know that you care for their security, and it will build customer trust and your brand’s reputation. On the contrary, when visitors are warned by a browser that a particular website is not secure, they tend to leave such a website. An increasing bounce rate and a short session time may cause substantial damage to the website’s ranking and traffic.

Improvement of SEO and ranking

SSL can improve your website’s ranking on search engines. Since July 2018, SSL has become obligatory for all websites, not only e-commerce ones. If your website doesn’t have an SSL Certificate, it may not only lose its ranking position but also push your visitors away. Chrome now flags all non-secure websites and encourages users to leave. So, if you don’t want to dig yourself into a hole, install an SSL Certificate.

Visitors seeing that your website is protected will stay longer there. It is one of the primary factors that can improve your SEO. Additionally, an SSL may increase your site load speed which is also one of Google’s ranking factors.

Focus on business

With SSL, you do not have to worry about the data transfer security and can fully concentrate on doing your business.

An SSL Certificate is a must for your website without any doubt, and it certainly does a great job of securing data transfers. Nonetheless, it does not ensure your website’s absolute protection; therefore, you should consider ways of preventing other security issues including malware attacks.

CAPTCHA forms are a common feature of many websites and can protect your website from bots.

If you’re a regular internet user, then the chances are you’ll have come across a CAPTCHA form when accessing websites.

Commonly used when you sign-up for a new service, make an account, log in or leave a comment, CAPTCHA forms are a common way of preventing spam and bots from sabotaging a website. 

If you’ve got your own website or blog, then CAPTCHA forms can help to transform the user experience, security and quality of your website and users. Here’s everything you need to know about them.

What are CAPTCHA forms?

CAPTCHA is an acronym that stands for “Completely Automated Public Turing test to tell Computers and Humans Apart”…a bit of a mouthful.

What this basically means is that CAPTCHA forms are designed to distinguish a human internet user apart from a computer or robot. 

Once you’ve designed and built your website and decided on website features such as menu navigation, colours and fonts, you might think your website is complete. Including a CAPTCHA form can boost your website security and the overall experience you provide for users. 

CAPTCHA forms are added to websites to make sure that only users who are real-life humans can undertake certain actions, such as logging in or leaving a comment and prevent bots from making it further into your website.

The original CAPTCHA tests would show a panel of slightly obscured letters, users would then have to type out the letters they saw in order to continue.

In recent years, however, CAPTCHA tests have evolved and now users will often be presented with a grid of images where they have to select the ones that depict a certain object. 

How do CAPTCHA forms work on a website?

CAPTCHA forms work by relying on the fact that even in today’s digital age, computers lack the sophistication that humans have when it comes to processing visual data.

Human brains are able to identify patterns and see hidden shapes and images. For example, have you ever looked up to the sky and started to see shapes and objects in the clouds? A computer simply can’t do that. 

Computers and robots can recognise shapes and numbers when they’re clearly displayed but not when they become slightly distorted in a CAPTCHA form. This makes it hard for computers to recognise it, but easy for legitimate users.

The good news for website owners is that most website builders have plugins and apps available that allow you to easily add a CAPTCHA form to your website. 

WordPress has various CAPTCHA plug-ins including WP Captcha to help you keep the security of your website up to scratch. You can check out this list of the best WordPress CAPTCHA plugins to help you out.

Popular e-commerce website builder, Shopify, also has its own CAPTCHA plugin, whilst Google has created its own reCAPTCHA service. 

Google’s reCAPTCHA software works by analysing a user’s behavior from the minute they land on a website. Filling out CAPTCHA forms can be time-consuming and can sometimes result in users leaving a website before they complete their tasks. 

reCAPTCHA, therefore, analyses how human-like a user’s behavior is and if it deems it to be fine, it won’t serve up a full CAPTCHA form. Instead, users will just be presented with an “I am not a robot” box to tick. 

Whether you’re a small business just starting to build a website or you’re an established online brand looking to tighten your security, CAPTCHA forms should be included in your list of essential website features. 

The guys over at TsoHost are well-versed in how important CAPTCHA forms can be when it comes to preventing malicious interference in your website: 

“Malicious bots will spam your website forms with messages and advertisements that interfere with genuine user interactions. If your website targets a particular audience and you make use of comment forms then enabling CAPTCHA is a basic way of preventing comment spam”. 

In the payment industry, bots activity can seriously mess with your website data. CAPTCHA is a security measurement that we strongly recommend to our clients to secure their website from potential payment fraud.

Benefits of CAPTCHA on a website

CAPTCHA forms help to block bots and hackers from accessing your website data and help to keep your website security as tight as possible. 

Some of the main benefits of including CAPTCHA forms on your website include:

CAPTCHA form disadvantages  

Of course, nothing is perfect, and whilst CAPTCHA forms can provide multiple security benefits to your website, they do have their limitations. 

The main disadvantage of CAPTCHA forms is that they interfere with the user journey and experience of your website. Asking a user to fill out a CAPTCHA form can sometimes result in them leaving your website early. Some users find CAPTCHA forms annoying and would rather leave the website altogether than fill one out. 

Another disadvantage of CAPTCHA forms is that they aren’t the most accessible website feature. For the most part, users need to have sight in order to successfully complete the form, something which can alienate users who rely on screen readers to surf the web.

On the whole, however, the security benefits that CAPTCHA forms offer far outweigh the disadvantages, and with them appearing on more and more websites, users are getting used to completing the form in order to progress.

In summary

CAPTCHA forms are a common way of helping to secure your website from hackers or spammers and whilst some users find them annoying, they actually help to create a better user experience across the whole website.

As bots and cybercriminals become more sophisticated with each passing year, security systems need to keep up which is where CAPTCHA forms can be a key tool to have up your sleeve. 

If you haven’t already installed a CAPTCHA form on your website then it’s time to seriously start thinking about getting ahead of the bots and installing one. Your website and users will thank you for it in the long run.

No matter what we do, cybercrime and payment fraud will always be around, but luckily there are various steps you can take to help secure your e-commerce website.

The e-commerce industry is booming. With more online stores available than ever before, online shoppers have access to everything they could ever want with just a click of a button.

As the industry grows, so too does the prevalence of online hackers and e-commerce fraud. Just like your e-commerce business, e-commerce fraudsters operate 24/7. 

If you own an online store, then it’s essential that you secure your website from hackers who can steal from you and your customers, damage your reputation and alienate your customers.

What is e-commerce payment fraud?

With 77% of US companies claiming to have been a victim of payment fraud when using digital payment systems, it’s clear that payment fraud isn’t something you can ignore or cross your fingers and hope won’t happen to you.

E-commerce payment fraud is criminal deception that occurs when a commercial transaction takes place over the internet and often results in financial or personal gain for the fraudster.

When a customer buys a product or service from your website a Card Not Present (CNP) purchase takes place. Rather than being handed a physical credit card as you would be in a bricks and mortar store, you have to trust that the person authorising the transaction is, in fact, the approved cardholder.

E-commerce payment fraud is growing in popularity in part thanks to how easy it is to undertake. Prior to the internet, fraudsters had to physically steal people’s credit cards. Not any more. 

A simple visit to the dark web will land them on multiple websites selling stolen credit card details. Scary stuff…

There are multiple types of payment fraud in operation targeting online retailers including stolen credit card information, phishing and card testing. 

How to secure your website from payment fraud

To help reduce the risk of payment fraud impacting you and your customers, here are seven things you can do to help secure your website:

1. Conduct regular security audits

If there’s an issue with the security of your website then you need to make sure that you spot it before fraudsters do. That’s why running regular security audits is so important.

Some of the key things to check when running security audits include:

Ensuring that you have an SSL certificate running on your website is one of the most crucial steps to securing your website. 

According to the team at SecurionPay, an SSL certificate will “help you to encrypt information that goes through your website including sensitive data and credit card details that is often shared at the checkout process. 

“Having the padlock icon visible in the URL bar next to your web address instantly tells customers that your website is protected and safe to use. This will help to grow your reputation online and build your credibility.” 

2. Use a trusted e-commerce platform 

When setting up your online store always opt for a trusted e-commerce platform to build your website on.

There are multiple e-commerce platforms available that offer you a whole host of services including a secure website. A few examples of e-commerce platforms are Shopify, WooCommerce and Venditan, all of which have various payment plans available depending on your budget. 

3. Keep your systems up to date

If you use any plugins on your website (and we’re betting you do) then you need to make sure that these, along with any other systems or platforms you use to manage your website, are kept up to date. 

Cybercriminals are clever and many make use of various technologies to identify weak points in your website’s security, one of which is out-of-date plugins or operating software. 

A little bit of regular software maintenance can go a long way to helping to protect both you and your customers. 

4. Choose a trustworthy payment processor

Payment processing is a rather difficult process. To successfully establish this process, e-commerce businesses have to integrate a payment processor, like Nomupay.

A payment processor initiates the payment process and transfers the data for a successful transfer between merchant and customer to be completed.

The data payment processors handle is very sensitive. Any fraudster that can get access to this data will do serious damage to both customers and merchants. 

Thus choosing a trustworthy payment processor can be crucial to prevent e-commerce payment fraud.

Shameless plug...Check out our fraud tools to see how we keep our merchants safe.

5. Avoid storing sensitive customer data

Hackers can’t steal something that you don’t have, meaning the less sensitive customer data you store, the less likely you are to undergo a privacy breach. 

Only ask customers to input the minimum sensitive data required to complete the purchase and avoid storing or even asking for irrelevant details. 

If your customers’ data is stolen from you, it will cause a massive dent to your online reputation. 

6. Install an anti-fraud tool

Whilst there are multiple things that you can and should be doing to help protect your website from payment fraud, there are also various fraud prevention software tools available to help you out too.

Some tools offer simple functions such as validating email and billing addresses whilst others offer more robust protection including chargeback guarantees, manual reviews, and auto-decline for high-risk transactions.

When it comes to protecting your website from payment fraud, knowledge really is power, and whilst cybercriminals might be getting smarter, so should you. 

Now that you have a better understanding of what payment fraud is, hopefully, you feel empowered to protect your website, customers and reputation from online fraudsters. 

E-commerce transactions will always come with a certain degree of risk, but by upping the security levels of your online store, you’ll be helping to keep that risk to a minimum – something your customers will thank you for. 

Fraud and chargebacks are often directly related, as chargebacks may be caused by fraudulent activity. However, this is not always the case. This blog post will help you understand the difference between fraud notifications and chargeback notifications and know when you may receive one or the other.

What is fraud?

In the financial industry, fraud refers to illegal transactions, i.e. payments made without the real cardholder’s permission. For example, a cardholder accidentally lost their card and a fraudster found it and used the card on a merchant’s website. If the card had been reported lost or stolen, the payment would have been declined with the reason Pick up card or Hot card, preventing the fraudulent activity.

When do merchants receive fraud notifications?

There are various factors which the issuing banks would consider as signs of fraud. Issuing banks then send fraud notifications to merchants to warn them of potential risks. Fraud notifications are usually sent in the following cases:

What to do if you receive a fraud notification?

A fraud notification is not a chargeback, but it may become one if certain measures are not applied. You should regard it as a sign that a certain customer may be involved in fraudulent activity. We recommend contacting the customer about the issue and getting as much information about the transaction as possible. If you are sure that the transaction was indeed fraudulent, refund the amount to prevent chargebacks. Here are the most important steps that you should take after receiving a fraud alert:

Sometimes a fraud notification may come prior to a chargeback notification. You cannot dispute fraud notifications, as they serve only as a warning, but you can dispute chargebacks. 

What is a chargeback?

When a cardholder notices a payment in their bank statement which seems suspicious or unknown, they can dispute the payment, i.e. file for a chargeback. A chargeback is a payment refund officially claimed by the cardholder from their card issuing bank. The issuing bank investigates every chargeback to decide the outcome. If the chargeback claim seems valid, and the cardholder did not make the payment, the cardholder receives the funds back. If the payment is proven to be valid, the merchant keeps the funds. 

When do merchants receive chargeback notifications?

There are various reasons why a customer may ask for a chargeback. Visa and Mastercard mark chargebacks with different reason codes. We recommend you to read about Mastercard chargeback reason codes and Visa chargeback codes.

Nomupay receives a notification about a chargeback on the merchant’s behalf and forwards the details to the merchant. The issuing bank withdraws the disputed funds from the merchant’s account. The merchant can initiate a chargeback resolution process to prove that the disputed payment was valid. More detailed information about chargeback notifications can be found in our support system.

What to do if you receive a chargeback notification?

It is very important to note that Nomupay, as a payment processor, neither initiates chargebacks nor participates in the decision-making. We do not have any influence on the outcome. However, when we receive the notification on your behalf that your customer has filed a chargeback, we immediately inform you.

You have the right to prove that the transaction was valid, or you can ignore the chargeback and automatically lose the disputed funds. If you decide to prove that the payment was valid, you must gather compelling evidence and provide it to us so we could forward it to the issuing bank. All the data about the customer and the purchase should be included in one file. It should be clear who the customer was, and which website they paid on.

To sum up

Fraud notifications are merely a sign that there might be something wrong with a particular transaction, whereas chargeback notifications inform you about the real problem that has already happened. By paying special attention to fraud notifications, you can prevent chargebacks. Be alert and take all the necessary steps to protect your online business. Stay in touch with us for more insightful articles!

Is your website built on WordPress? Then you can use WooCommerce to create your online shop! What is WooCommerce? It is a popular, free, open-source e-commerce platform for WordPress websites. WooCommerce online stores are simple to install and manage. Therefore, if you are planning on launching a new e-store or moving your physical store online, here’s a quick way to do so.

Take the steps indicated in this blog post below and you will build your WooCommerce store in no time:

Choose a hosting provider

Unlike Shopify, WooCommerce does not have an in-house hosting solution. You will need to search for a provider that offers web hosting for websites built on WordPress. As you will be accepting payments on your website, you also need to install an SSL certificate. Note that TLS versions below TLS 1.2 are no longer supported.

Create your WordPress website

First of all, go to wordpress.com and sign up with a new account. You will need to come up with a domain name for your website or use your existing one. If you create a new domain name, think about what represents your products or services best, or what problems they solve for your customers.

If you have already purchased a domain name, you can either transfer it to WordPress or connect it with WordPress but manage it from your current provider.

When you finally create your account, you will be logged in to your admin area. You will be able to customise and design your website as you wish.

Choose a theme and add pages

It's easy to customise your WordPress website and add titles and menus, as well as widgets. You can choose from a variety of free or premium themes. Also, you should not forget to add all the necessary pages:

wordpress website

Install WooCommerce on your website

Create an account on woocommerce.com. You will see three ways of installing the plugin:

The easiest way of adding WooCommerce to your website is by finding the plugin in your WordPress dashboard. Click on Tools, Plugins and then search for WooCommerce. Once you’ve selected the plugin, click on the Install button and then Activate.

WooCommerce provides different extensions to enhance the functionality of your e-store. Thus, you can select plugins for shipping, subscriptions, memberships, bookings and, most importantly, payments.

Integrate the Nomupay payment gateway

If you opt to use Nomupay as your payment provider, you'll gain access to our payment gateway. Thanks to our integration team, the process is seamless. Get in touch and our experts will advice you on the next steps.

Alternatively, your development team can take a look at our docs to get an understanding of how the process works.

Woohoo! All the steps are complete, and you can finally start selling in your WooCommerce online store. Don’t forget to check out more information on the WooCommerce website.

Usually, online merchants prefer a fast, simple and easy integration process. In order to simplify the whole integration process, we have prepared a vast variety of integration methods: a wide selection of modules for the most popular e-commerce systems, well-documented API documentation and SDK libraries.

Below you'll find the most popular e-commerce systems we integrate with.

1. Shopify

If your e-commerce website is made on Shopify, then you can use Nomupay to accept card payments from your customers. Some facts about Shopify:

Find the payment module for integration of your Shopify store with Nomupay here.

2. WooCommerce

Another one of our integration possibilities is a payment module for WooCommerce. Some facts about WooCommerce:

Find the payment module for integration of your WooCommerce store with Nomupay here.

3. Magento

Nomupay has a payment module for e-stores built on Magento. Some facts about Magento:

Find the payment module for integration of your WooCommerce store with Nomupay here.

There are many other integration possibilities with Nomupay. For more information, arrange a chat with our specialists today.

The topic of e-commerce is becoming more and more popular in various types of media: you can attend a number of e-commerce seminars and conferences, read blogs or watch videos giving insights or advice on selling online/having an online shop. It's also noticeable that many physical stores are making their way into the online world. No-one would argue that having an online shop is not profitable nor popular, but many are still struggling to figure out the best way to start an online shop. So, we’d like to discuss 5 main factors which you should consider before you start selling online.

Choose the most suitable e-commerce platform

Nowadays there is a vast variety of e-commerce platforms. Before choosing the right platform, it is advisable to make sure that the platform is easy to use. That way your job of managing the store will become simpler and more effective. Also, it is a must to check if the platform can be optimised for mobile. More than 60% of online searches are made using mobile devices, so if your online shop is not suitable to use on a smartphone, you will lose potential buyers.

If this decision seems difficult at first, you can try renting an online shop. You will be able to try different platforms without serious commitment and once you feel ready you can create your own e-commerce website.

Decide what you're going to sell

This decision is probably one of the hardest. You can try to find a new exciting niche in the market and offer your original product. However, in order to succeed you have to constantly keep track of the newest trends in the market (local or international) and pick the best time to get started. We recommend avoid entering markets with product/service overflow because you will face more intense competition and it will be rather difficult to establish yourself in an already overfilled market.

Alternatively, you can try selling your hand-made products, for example, handicrafts or unique desserts. A modern buyer usually looks for authenticity and high-quality products, so if you decide to sell your hand-made products, you will have an advantage over your competitors. The buyer will be able to see a real human behind your product, making your brand more trustworthy and helping you please a modern buyer with endless options.

Take care of the security of your online shop

There are still some people who view shopping online as something risky and tend to shop the old-fashioned way. Because of that, you have to do everything possible to enhance the security on your e-commerce website. Not only does poor website security scare potential buyers, but it can also cause serious damage to you as an e-shop owner. If you don’t make your e-commerce website as secure as possible, you put all the shared data at risk (credit/debit card data, addresses, etc.) One of the most important security measures is an SSL certificate, which helps to transmit all the information in a secure manner. If you’d like to accept credit/debit card payments, it is a must to install an SSL certificate.

Make your website design user-friendly and aesthetically pleasing

Another undoubtedly important aspect of any e-business is the design. High-quality, modern design of a website will attract more attention and will make potential buyers trust your brand more. However, the overall design of the website is not the only thing that matters. Pay extra attention to the pictures of the products – they should be exceptionally high-quality and show how the product looks in real life. Considering the type of products that you sell, you can also think about including short 360-degree videos (it works incredibly well for clothing, footwear, etc.)

If you want to turn your website visitors into real buyers, make sure your website is user-friendly. Buyers will be unsatisfied if they are unable to find basic functions, such as a search bar or filters. People tend to get impatient when searching/buying, so a slow and ineffective website is likely to be abandoned.

Pick the most suitable payment methods

Choosing the right payment method makes the whole payment process fast and effective. You should use payment methods that are popular in your area or market. Also, check which payment methods can be integrated into your e-commerce payment gateway. If your business type requires recurring payments, make sure to select a payment platform with this feature. When planning to sell internationally, it is very recommendable to integrate local payment methods to appease consumers from all around the world.

Having completed these five main steps, you will have a strong foundation for future success of your online store. Once you secure a strong start, it will be easier to deal with further challenges. 

A chargeback occurs when a cardholder contacts their card issuing bank and claims that a particular transaction on their bank statement is not valid. The aim of the cardholder is to receive their money back. There are several reasons why a cardholder may file a dispute, and they are discussed in a separate article, so check it out as well.

This article focuses on the chargeback process and the possible outcomes, so let’s look at it in detail.

  1. A cardholder disputes a transaction.
  2. The card issuing bank receives the dispute information and decides whether the dispute is valid or invalid.
    • If the issuing bank decides that the dispute is not valid, the chargeback process ends.
  3. If the dispute appears to be valid, the issuing bank credits the disputed transaction amount to the cardholder and informs the merchant's acquiring bank of the dispute.
  4. The acquiring bank receives the information about the chargeback and informs the merchant about it.
  5. The merchant has the right to prove that the transaction was valid. However, they can also ignore the chargeback and automatically lose the disputed funds.
  6. If the merchant decides to prove the validity of the transaction, they must gather and provide compelling evidence. The evidence may include the whole communication with the customer, tracking numbers, delivery receipts and other documents.
Chargeback flow diagram

Chargeback resolution

  1. The merchant sends the evidence to their acquiring bank.
  2. The acquiring bank then transmits it further to the cardholder’s issuing bank.
  3. The decision who wins the chargeback is entirely in the hands of the issuing bank. Therefore, it is vital for the merchant to collect and present all the data that will confirm the legitimacy of the transaction.
    • If the issuing bank comes to the conclusion that the evidence provided by the merchant is sufficient, the merchant wins the chargeback and retains the money.
    • If the issuing bank decides that the merchant’s evidence is inadequate, the cardholder wins the chargeback and the funds remain with them.

Pre-arbitration and arbitration

Every step in the chargeback process has its set time frames. Even though the merchant should act as quickly as possible, the investigation may take a longer period of time. It should also be noted that a merchant may receive a chargeback even if the transaction was made several months ago. So, be always prepared to take risks and learn how to prevent chargebacks from happening.

Make sure to keep in touch with your payment service provider during the chargeback process and provide all the essential information about the disputed order.

Borders are no longer an obstacle when it comes to reaching your customers, but the same can’t always be said for payments.

Whether you're a SaaS provider expanding to new markets, an e-commerce store shipping worldwide or a B2B platform enabling international transactions, navigating global payment processing can be complex and challenging without the right tools and support. But, don’t worry, that’s where we come in!

In this blog, we’ll explore the key challenges businesses face when managing international transactions, currency conversions and regional regulations. And, most importantly, how to overcome them with the right strategy, technology and processing solutions, including the right global payment gateway.

What’s in this article:

5 challenges for your global payment gateway

Let’s begin with the key pain points that go hand-in-hand with global payment processing:

1.    Fragmented payment infrastructure

Not all regions share the same level of maturity and reliability in their payment infrastructure. In some regions, large numbers of people are still unbanked. In others, security rules, fraud risk triggers and the systems used, like local bank rails versus global networks, can differ entirely.

These differences can make payment processing feel disjointed, leading to more failed transactions, longer settlement times and operational difficulties.

2.    Authorisation and settlement pitfalls

Global payment gateway challenge - No local presence can be detrimental to your acceptance rates

When it comes to accepting global payments, if you use international acquirers, then the transaction may get flagged or declined by the local banks. Why? Because the bank might see the transaction as suspicious or outside its usual risk parameters. Therefore, no local presence can be detrimental to your acceptance rates.

Even when the payment does go through, getting the money isn’t always instant. Settling funds across countries can take several days, and in that time, you’re often at the mercy of fluctuating exchange rates or delays from intermediary banks. On top of that, each step along the way might incur a fee.

3.    Increased fraud and chargeback exposure

When it comes to cross-border payments, fraud risk goes up and approval rates often go down. That’s just the reality of dealing with international transactions. Banks tend to be more cautious when they see a payment coming from another country, especially if it doesn’t align with the customer’s typical behaviour.

Two common triggers are:

4.    FX volatility and hidden costs

Accepting payments in multiple currencies is a smart move if you’re looking to grow globally. It makes things easier for your customers and helps boost conversions. But it can bring even more challenges.

Exchange rates fluctuate constantly, and if there’s a delay between when a transaction happens and when the funds settle, that difference can quietly chip away at your margins. On top of that, some payment providers add hidden markups to their FX rates, so what looks like a standard transaction fee can actually cost more than you’d expect.

5.    Regional regulations

Every country has its own payment rules; ignoring them can shut your business out of lucrative markets. Here are the main regulations you need to consider:

Strategies for solving global payment gateway challenges

Navigating the complexities of global payments isn’t just about understanding the challenges. It’s about finding the right systems and partner to provide the best global payment processing solutions to handle these challenges.

Here’s how Nomupay can help your business process international payments smoothly, securely and profitably with our global payment gateway:

Selection of global acquirers

Connect to multiple acquirers

Nomupay is licenced in multiple countries throughout Europe, MENA and Southeast Asia to provide our merchants with the local presence they need to accept global payments. On top of that, we are connected to more than 300 acquiring partners to expand our network (and yours) worldwide.

Smart dynamic routing

Our acquiring-agnostic gateway will dynamically route transactions through our local acquirers where possible. This improves approval rates and reduces the risk of legitimate payments being flagged or declined.

Smarter fraud prevention

Our payment gateway provides access to more than 120 fraud tools that will help you adapt to regional risk patterns. This includes tools like dynamic 3D Secure, behavioural analytics and blocklists (e.g., IP addresses, geo-locations, email addresses, etc.) to help with detection and prevention, no matter where you’re processing payments.

Multi-currency and local payment methods

We support more than 130 currencies and over 200 alternative payment methods to truly give your customers the freedom to pay how they want. No hidden fees either, our FX rates are transparent, so you’ll never be surprised.

A range of alternative payment method logos including Apple Pay, Google Pay and PayPal

Local experts

We have local experts throughout the countries we hold licences to provide merchant support on regional regulations, local trends, licencing requirements and more.

Discover your global payment gateway solution

Just because global payments increase the amount of obstacles you need to overcome, doesn’t mean you should avoid them. Expanding globally is an opportunity, but only if your payment infrastructure is built for scale, resilience and regulation. By understanding the core challenges of international transactions, currency management and compliance, all business models can deliver seamless customer experiences while protecting margins and reducing risk.

If you want to dive deeper into how a global payment gateway works or if you’re ready to integrate a payment gateway into your website, we’ve got the blogs for you.

So, are you ready to take your business global? Get a global payment gateway provider that goes beyond processing and provides regional expertise, a local presence to smart route transactions and compliance intelligence. Get in touch!

A collaboration ready to expedite global e-commerce growth!

We’re thrilled to announce our latest strategic partnership with Venditan, a technology-focused e-commerce solutions provider that delivers success for independent retailers and distributors. This powerful collaboration will see Venditan integrating directly into the Nomupay platform, unlocking our full suite of cutting-edge payment solutions for their users.

Together, we share a bold vision: to empower e-commerce merchants with seamless, end-to-end solutions that fuel limitless global expansion. With Nomupay’s advanced payment capabilities and Venditan’s game-changing e-commerce websites that are managed through their own platform, we will transform how our clients grow their day-to-day operations, making international growth more accessible and effortless than ever before!

What does this partnership bring to the table?

This collaboration is groundbreaking. By leveraging Nomupay’s global acquiring power, extensive alternative payment methods and deep local market expertise, Venditan will be equipped to help businesses scale internationally with ease. Plus, their existing clients can now tap into new markets without barriers.

John Coyne, Managing Director of Venditan shared his excitement:

"At Venditan, we’re passionate about enabling businesses to expand globally with our powerful, all-in-one commerce platform. Partnering with Nomupay ensures our clients gain access to world-class payment infrastructure, setting them up for success in international markets."

With this integration, Venditan customers will experience frictionless payment acceptance and cross-border transactions like never before. Our comprehensive suite of solutions, featuring seamless payouts, payment reconciliation and checkout optimisation, delivers a fully unified experience, streamlining the entire payment journey.

Nomupay’s Head of Partnerships, Grant Evans, echoed this enthusiasm:

"This partnership is a natural fit. Both Nomupay and Venditan are dedicated to simplifying global expansion for enterprise-level merchants. By joining forces, we’re empowering Venditan’s customers with a unified payments platform that removes complexity and enables them to scale confidently in new markets."

This is just the beginning! We can’t wait to see the incredible impact this partnership will have on e-commerce businesses worldwide. Stay tuned, big things are ahead!

For more information about Venditan, visit https://www.venditan.com/ 

The way small businesses accept payments in Türkiye is about to get a major upgrade! Nomupay has teamed up with NearPay, an SDK-based SoftPOS solution, to introduce enhanced contactless POS technology to the Turkish market. This powerful partnership is set to transform how micro and small businesses operate by making digital payments more accessible, seamless and cost-effective.

Turning smartphones into contactless POS terminals

Imagine running a business and being able to accept payments with nothing more than your smartphone—no extra hardware, no complicated setups. That’s exactly what NearPay’s SDK-based SoftPOS solution enables. By integrating this technology into Nomupay Türkiye’s payment ecosystem, we’re giving businesses the ability to accept contactless payments directly from their NFC-enabled Android devices.

For businesses, this means lower costs, fewer barriers to accepting digital payments and a smoother checkout experience for customers. It’s a win-win for everyone involved!

A milestone moment for digital payments in Türkiye

The official launch event, held on February 17th at the Wyndham Grand Istanbul Levent Hotel, marked a significant step forward in Türkiye’s digital payment landscape. The signing ceremony was attended by Nomupay Türkiye General Manager, Ergi Şener, and NearPay Founder and CEO, Mohammed Alban, both of whom emphasised the groundbreaking potential of this collaboration.

Şener highlighted how this partnership is about more than just payment processing:

"We see this project not just as an innovative payment solution but as a key milestone in the digital transformation journey of micro and small businesses. This journey extends beyond digital payment integrations—our project will also grant businesses access to a broader ecosystem. With NearPay’s reliable, fast and user-friendly SoftPOS technology, businesses will not only process payments more efficiently but also benefit from additional services such as inventory management, order tracking, sales reporting and fraud prevention—all integrated within a single application."

The first phase of this rollout will bring SoftPOS to yellow taxis in Türkiye, but that’s just the beginning! Together, we plan to extend this technology to various other industries, helping small businesses across different sectors streamline their operations and tap into the power of digital payments.

Şener added: "This innovation does more than just simplify payments—it provides micro businesses with a powerful competitive advantage. Without requiring additional hardware, businesses can now accept payments directly through their own applications.

"We see this technology as much more than a payment solution; it is a gateway for businesses to seamlessly integrate into the digital world."

Why are we so excited to work with NearPay?

NearPay is already a trusted name in payment technology, processing over 100 million transactions annually across seven global markets, including the U.S., Europe and the Gulf region. With a staggering $1.5 billion in yearly transaction volume, the company is now setting its sights on Türkiye—a market primed for digital transformation.

NearPay’s Head of Europe and Türkiye, Ece Berkol, shared why this move is so important:

"Despite its readiness and openness to digitalisation, there is still significant room for growth in digital payment systems. NearPay aims to be one of the leading players driving this transformation."

The SoftPOS technology has already simplified payment processes for micro and small businesses worldwide, and the company aims to contribute significantly to Türkiye’s digital payment infrastructure through this partnership.

Berkol emphasised the many advantages of NearPay’s solution over traditional payment systems:

"With its fast and easy setup, NearPay allows businesses to start accepting payments almost instantly. It offers a secure payment infrastructure, certified with PCI DSS security standards, ensuring that all transactions are protected. Another key advantage of NearPay is its flexibility and mobility—payments can be accepted from anywhere via a smartphone or tablet. Additionally, NearPay provides a cost-effective alternative to traditional POS devices, making it an ideal solution for businesses of all sizes."

Get ready to upgrade your business

This is just the beginning of a new era in digital payments for small businesses in Türkiye. Whether you're a taxi driver, a market vendor or a small shop owner, our SoftPOS solution is designed to make your life easier.

The future of payments is here—let’s embrace it together!

For more information about NearPay, visit www.nearpay.io.

Nomupay, TerraPay & KlickEx Pacific join forces to revolutionise money transfers to the Pacific Islands.

We're excited to announce that alongside our subsidiary, KlickEx Pacific Limited, and the global money movement company, TerraPay, we have launched a strategic partnership to deliver seamless and affordable money transfer services to the Pacific Islands.


This collaboration aims to enhance financial inclusion and provide accessible remittance options for individuals throughout the region and beyond.


Through this partnership, TerraPay will expand its global network, leveraging our innovative payout technology and KlickEx’s established presence across the Pacific. This allows TerraPay to streamline payouts and enable funds to be distributed directly into digital wallets. This will further empower individuals to support their loved ones and facilitate economic growth in the Pacific region.


Sheshagiri (Sukesh) Malliah, Vice President – Asia Pacific at TerraPay, expressed his enthusiasm for the new corridor, stating, "We are delighted to introduce a new corridor in the Pacific, further expanding our global footprint. Partnering with Nomupay and KlickEx is an exciting opportunity to reach even more customers and provide them with exceptional remittance services."


Peter Burridge, CEO at Nomupay said, "Our partnership with TerraPay is a significant step forward in our mission to help businesses scale globally. By expanding our network and integrating advanced payout technology, we’re delivering seamless, secure payouts that break down traditional barriers. This collaboration underscores the value Nomupay’s technology offers to global payment service providers, showcasing our commitment to driving innovation and supporting growth across diverse markets.”


Ben Kealy, CEO at KlickEx, shared his thoughts on the partnership too, stating, "We are thrilled to partner with TerraPay and enable their customers to send money transfers into the Pacific region. This partnership allows us to expand KlickEx beyond Australia and New Zealand, complementing our growth strategy and providing even more value to our customers."


This partnership underscores the collective commitment of Nomupay, TerraPay and KlickEx to fostering financial inclusivity, empowering communities and driving innovation across the Pacific Islands and beyond.

DUBLIN, under embargo until 06:00 at Xth MONTH 2024

NomuPay has completed a third investment round of $37m, bolstering the firm’s ambition to open up the notoriously complex Asian market to international acquirers, merchants, Payment Service Providers (PSPs) and Independent Sales Organisations (ISOs). The final $12m tranche of the September fundraise was led by Endeit Capital, with Uneti Ventures (backed by early Adyen employees) participating. Existing investors continued their support, contributing $25m over the last 18 months.

The payments business in Asia is highly fragmented. Differing local regulations and myriad payment method preferences mean growing companies require multiple relationships to cover the region, leading to significant back-office complexity and reduced transparency of real costs.  Access through a single, integrated platform, alleviates this to support growth.

Peter Burridge, CEO of Nomupay, says, “At present, so many organisations are beholden to the dominant global gateway acquirers, known as ‘Monos’. In many cases, these platforms only provide access to certain countries, only facilitate certain payment methods, and necessitate that customers use their gateway.

“Global and regional enterprises scaling in the Asian market need a more sophisticated and less prescriptive approach. At Nomupay, it is our goal to become the go-to payments platform to unlock Asia for companies globally and vice versa.”

Answering demand from Europe and the US, Nomupay’s Unified Payments (UP) platform will enable online, POS and payout capability in multiple Asian, European and Middle Eastern markets simultaneously through a single API.

The gateway-agnostic omnichannel acceptance and disbursements offering will also address the need for easy scalability due to its single back-office platform. NomuPay leverages AI to provide robust data management and reporting capabilities as well as enhanced business strategy decisions through provision of greater insights.

Organic growth for 2025, buoyed by strong M&A activity and indirect growth

The latest round follows successful series A rounds of $53.6m from Finch Capital and other investors in 2023, bringing the total to just under $90m to date. Steady investment has seen Nomupay exceed 100% growth per annum over two years and the company is expected to reach profitability in 2025.

Jonne de Leeuw, Partner of Endeit Capital, says, “Nomupay has recognised and addressed a major deficiency in the payments landscape and is bringing both innovation and access to the EMEA and APAC markets, while unlocking further potential through local licenses and vertical focus.

“We are very pleased to participate in the development of NomuPay, and support the ambitious team as they continue to grow and scale. The business has significant global potential, and we look forward to playing our part in its success.”

Providing the service for partners has been a core part of Nomupay’s trajectory and success to date. Investments will strengthen operations within Asia and globally, helping partners and merchants protect and expand their customer relationships in new markets.

Jeroen Netten, Uneti Ventures, says, “This is the first time I have come across this unique agnostic approach to enabling growth expansion for other acquirers.’’

Experienced new hires with local market expertise have been enlisted to focus on and further drive organic growth. These include seasoned sales leaders Judith Loh (ex-Worldpay) and Alson Lau (ex-BBSML).

This will boost already strong organic growth to date, and ongoing, successful M&A activity, which includes the acquisition of Manchester-based Total Processing in 2023.

Expansion plans include additional markets, local hires and partnerships in Singapore, Indonesia, Japan and Vietnam, adding to existing local presence in the region in Kuala Lumpur, Singapore, Philippines, Hong Kong and Thailand.

For more information, checkout TechCrunch's article.

Expanding your business globally requires understanding the preferences of new audiences, especially when it comes to payment methods. Localising payments not only meets these demands but also boosts authorisation rates and reduces declined payments. This is where local acquiring come into play. So, let’s explore what local acquiring is and why it's necessary for your business.

What we’ll cover:

What is acquiring and how does it relate to payments?

Before we dive into local acquiring, let’s quickly revisit what payment acquiring entails. Acquiring is a major part of the payment processing system. When your customers make payments, their transactions are sent from their issuing bank through a payment gateway to an acquiring bank (your business’s bank) which authorises and confirms the payment.

Acquiring is the process that allows your business to process customers' debit and credit card transactions. The acquiring bank, working with a payment processor (like us!), determines the cost of processing payments and settles the final amount into your business account.

What is local acquiring?

Local acquiring operates exactly like regular acquiring, with the key difference being that the acquiring bank is located in the same region as the issuing bank, even if the business operates elsewhere. This small distinction can have a significant impact on your business:

The benefits of local acquiring

  1. Increases authorisations: When acquiring and issuing banks are in the same region, your customer’s cards are more recognisable, which leads to higher acceptance rates at checkout and fewer failed transactions.

2. Fewer cross-border fees: Cross-border fees, including interchange, scheme and processing fees, are higher when processing transactions overseas. By using local acquirers, you can save on these costs, boosting your revenue and improving cash flow.

3. More sales: Local acquirers typically offer a broader range of payment methods within their region. This caters to your customers’ preferred payment options, increasing satisfaction and reducing the likelihood of purchase abandonment at checkout.

Local acquiring in a post-Brexit & post-COVID world

Implementing a local acquiring strategy is more important than ever before. The COVID-19 pandemic has accelerated the growth of e-commerce, making cross-border commerce essential. In 2022, the cross-border e-commerce market share increased to 22%, valued at US$156 trillion. Not going global limits your business opportunities, and local acquiring ensures you do it right.

Brexit has also impacted UK merchants, as EU regulations on interchange fee caps no longer apply. This allows card schemes like Visa and Mastercard to increase transaction fees for UK businesses accepting payments in the EEA, EU and overseas. These changes make the cost-effectiveness of local acquiring more significant.

How can Nomupay help?

Setting up local acquiring often requires creating individual accounts in each market, leading to multiple agreements and time-consuming processes.

However, by partnering with Nomupay, you can integrate local acquiring all over the world. With our own licences in multiple countries and connections to local partners, you’ll easily gain access to global markets, enabling you to process payments seamlessly while managing everything through a single partner. This approach saves you time, reduces paperwork and allows you to focus on expanding your business.

Get started with Nomupay today and let’s take your business to the next level!

The online landscape is a double-edged sword for merchants. It offers incredible reach and growth potential, but it also comes with inherent risks. Fraudulent transactions can eat away at your bottom line and damage customer trust.

That's why payment providers, banks and card schemes work tirelessly behind the scenes to implement robust security measures. From fraud scoring systems to 3D Secure authentication, these measures are designed to protect your business and ensure smooth transactions for legitimate customers.

However, even the most sophisticated security systems can sometimes create unintended obstacles. One such example is the use of Virtual Private Networks (VPNs) by customers.

What's in this article?

The high cost of fraud

Fraudulent transactions are a major financial burden for online merchants. According to Juniper Research, losses from online payment fraud are expected to exceed $362 billion globally over the next five years.

But merchants aren't just losing money to fraudsters; they're also dealing with chargebacks, extra security costs and potential hits to their reputation. This highlights the importance of addressing potential security vulnerabilities and minimising declined transactions due to enhanced security measures.

The VPN challenge

Many customers, particularly in the GCC region, use VPNs for work or personal reasons. While VPNs enhance online privacy, they can sometimes trigger false positives in fraud prevention systems. Since a VPN masks the user's true location, a payment gateway might flag the transaction as suspicious, leading to a decline.

This scenario highlights the importance of striking a balance between security and customer experience. Declined transactions due to VPN usage represent lost revenue opportunities for your business. Here are some ways to mitigate this issue:

Solutions for minimising failed VPN transactions

 While declined transactions due to security measures can be frustrating, it's important to remember that these systems are in place to protect your business from financial losses. Instead of viewing declined transactions negatively, there are a few solutions to reduce the impact:

Clear communication is key: Educate your customers about potential issues with VPN usage during checkout. A simple but clear notification on your website informing them about temporarily disabling their VPN for a seamless transaction can go a long way.

By implementing these strategies, you can ensure that your security measures are effective without creating unnecessary hurdles for legitimate customers. Remember, every declined transaction represents a lost sale and a potentially dissatisfied customer.

The bottom line

Fraudulent transactions are a constant threat, but they shouldn't come at the expense of legitimate sales. By adopting a balanced approach to security and user experience, you can create a secure and frictionless shopping experience that fosters customer trust and boosts your bottom line.

NomuPay X CatalystPay

We’re happy to announce that we have partnered with CatalystPay, a leading payment services provider, to amplify its global payment capabilities and further enhance its multi-acquiring strategy. Through this partnership, we’ve helped CatalystPay hit a significant milestone in its mission to provide comprehensive, seamless payment solutions to clients.

The goal of CatalystPay is to simplify and optimize payment processes for businesses, ensuring they have the flexibility and efficiency needed to thrive in a fast-paced market, whether this means strengthening their presence in existing markets or facilitating entry into new ones.

Danny Makin, Chief Commercial Officer at NomuPay, commented: “We are thrilled to partner with CatalystPay in this strategic collaboration. By leveraging our local acquiring licenses and payment solutions, we are confident that this partnership will significantly enhance the global reach and capabilities of both companies. Together, we are poised to deliver exceptional value to our clients, providing them with the tools they need to thrive in today’s dynamic market.”

Teaming up with NomuPay has facilitated CatalystPay’s expansion beyond the EU and EEA, entering new markets in Turkey and Southeast Asia for the first time by leveraging our local acquiring licenses across these regions, and providing more reliable and localized payment solutions. This expansion enables them to offer better and more cohesive processing services and merchant accounts within these growing markets.

Stefan Zisov, Chief Operations Officer at CatalystPay, expressed his enthusiasm: “This partnership with NomuPay is part of our medium to long-term strategy of expanding our global reach and solidifying our multi-acquiring strategy. By integrating NomuPay’s innovative payment solutions, we are positioned to offer even better flexibility and efficiency to our clients, to help enable them to scale their operations seamlessly across new markets.”

Additionally, through this partnership, CatalystPay is expanding its access to 40 countries and territories, and can now accept more than 133 currencies, as well as settle in local and major currencies, ensuring smooth and efficient financial operations for its global client base.

NomuPay’s partnership will further improve CatalystPay’s capabilities to offer faster processing times, competitive pricing, and enhanced transaction security.

About CatalystPay

CatalystPay is a leading payment services provider known for its exceptional customer service and comprehensive payment solutions.

Serving a diverse range of sectors including e-commerce, SaaS, travel tech, and more, CatalystPay is delivering on its mission to make payments easier and more intuitive, CatalystPay is developing an all-in-one platform that simplifies payment processes, empowering businesses to manage their operations effectively and drive sustainable growth.

For more information about CatalystPay, follow us on LinkedIn.

Gaining access to consumers all over the world has never been easier thanks to the growth of global e-commerce and increased online activity. But, although reaching international audiences is now possible, you still need to have the right fundamentals, ensuring the online payment process is smooth, to truly gain global growth.

That’s where a global payment gateway comes in.

Without it, you may see a decrease in authorisation rates, which won’t do your reputation, your customer’s experience or your bottom line any good.

So, if you’re planning to scale internationally and explore new markets, choosing the right international payment gateway provider is key to handling cross-border transactions smoothly.

In this blog, we’ll explore the basics of the payment gateway for global processing, its benefits and what to look for when selecting the best payment gateway for your website.

What’s in this article?

What is a global or international payment gateway?

Just like a generic payment gateway, a global payment gateway is the bridge between your online store and the financial institution that processes your international customers' payments. It securely authorises credit card transactions and ensures that funds are transferred from your customer's account to yours.

What sets a payment gateway for international payments apart is its ability to:

Choosing a global payment gateway with a strong network of international acquirers improves authorisation rates, reduces fees and removes friction from the customer journey to help you break through any international barriers and accept cross-border payments.

How does it work?

Let’s break down the steps involved in processing international transactions through a payment gateway:

  1. Customer makes a purchase: This step needs little explanation; the customer simply enters their payment details on the checkout page.
  2. Encryption and transmission: The payment details are encrypted to protect sensitive information. Then, they're transmitted securely to your payment gateway.
  3. Authorisation: The payment gateway sends the encrypted information to the acquiring bank (the bank that processes your transactions) or payment processor. The bank then verifies the transaction details with the customer's bank. Using local acquirers can reduce decline rates and transaction costs.
  4. Approval or decline: The customer's bank either approves or declines the transaction based on available funds, fraud checks and other factors.
  5. Transaction response: The response (approval or decline) is sent back through the payment gateway to your website and displayed to the customer.
  6. Funds transfer: If the transaction is approved, the funds are transferred from the customer's bank to your merchant account.
Payment process diagram including payment gateway and merchant account

Benefits of a global payment gateway

If you’re looking to future-proof your business, upgrading your payment gateway to accept global payments may be the right choice. Let’s take you through the benefits to see how an international payment gateway can help:

Reach global markets

With an international payment gateway, you can accept payments from customers worldwide, regardless of currency or location. This opens up a whole host of opportunities to tap into new markets and diversify your consumer base that may not have been accessible otherwise. By eliminating barriers related to payment processing overseas, businesses can attract customers from anywhere in the world.

Increased revenue

Accessing global markets means accessing more potential customers. The ability to accept international payments in multiple currencies and from various regions enables businesses to capitalise on international sales opportunities. This can result in increased revenue streams and overall business growth.

Competitive advantage

In today's interconnected world, businesses need to compete, not just locally, but globally. An online payment gateway for international customers gives businesses a competitive edge, enabling them to offer seamless payment experiences worldwide. This can set them apart from competitors who may not have the same level of international payment capabilities.

Scalability

Global payment gateways are designed to handle high volumes of transactions, making them scalable solutions for businesses looking to grow internationally. Whether a business is processing a handful of cross-border orders or thousands per day, an international payment gateway can accommodate the scalability needs of businesses as they expand into new markets.

Secure transactions

Global payment gateways often come hand-in-hand with advanced security features to protect your customers' payment information, reducing the risk of fraud. For example, here at Nomupay, our gateway comes with a fraud suite consisting of 120 fraud tools, including chargeback alerts, 3DS2 authentication, AVS checks and smart detection tools.

Fingerprint recognition, facial recognition and one-time passcode icons

Convenient management

Most global payment gateways also come with user-friendly dashboards that allow you to track transactions, manage disputes and generate reports easily. Our Unified Platform dashboard does just that and more, allowing you to analyse real-time insights and create custom reporting to spot behavioural trends to help you make smarter business decisions.

Choosing the right global payment gateway

Now that you understand how they work, you might wonder which one is the best global payment gateway provider for your business. Here are a few factors to consider:

For a full list, check out our blog on things to consider when choosing a payment gateway.

A global payment gateway is essential for businesses looking to expand internationally and accept payments from customers around the world. By understanding how it works and choosing the right provider, you can streamline your payment process, increase sales and provide a better experience for your customers.

If you’re ready to scale your business and open up to new markets, now might be the perfect time to take a look at the payment gateway you use. To learn more about how we can help you expand, get in touch with one of our specialists.

To recap, here’s an overview of the top FAQs about global payment gateways

Which is the best payment gateway for international transactions?
The best international payment gateway depends on your business needs. Look for providers that offer multi-currency support, access to local acquirers, low transaction fees and excellent fraud prevention tools.

What is an international card payment gateway?
It’s a payment solution that lets businesses accept global card payments, supporting various card networks like Visa, Mastercard and local payment options.

How do I choose the best international payment gateway for my website?
Look for seamless integrations, currency compatibility, strong security features and transparent pricing.

Are you looking for more stability within your business? Would you like to have predictable income? Then understanding recurring revenue is essential to reach your goals. In this blog, we'll explore what recurring revenue means, examples of recurring revenue models and their benefits and challenges so that you can leverage it effectively.

What’s in this article?

What does recurring revenue mean?

So, what exactly is recurring revenue? It refers to the predictable income a business generates at regular intervals from ongoing subscriptions, contracts or memberships. Unlike one-time sales, recurring payments ensure consistent cash flow, fostering long-term financial stability. It's the essence of subscription-based businesses and an increasingly vital component across multiple industries.

Types of recurring revenue models

To expand on the definition, let’s take a look at some of the most popular types of recurring revenue: subscription-based model, Saas and membership. Take a look at the examples of recurring revenue models to see which is the most suitable for your business.

Subscription-based model

Customers pay a regular fee for access to a product or service, such as software, streaming platforms or meal delivery services. Two well-known examples include Netflix and Hello Fresh. Subscription-based models have seen a huge increase over the last few years since Covid-19, with consumers and merchants adapting to the change in the market and payment preferences.

Checkout page for a subscription service - An example of a recurring revenue model

SaaS (Software as a Service)

Users subscribe to cloud-based software on a monthly or yearly basis, accessing updates and support throughout their subscription. SaaS subscriptions are widely used within work environments, such as Microsoft 365 and Salesforce.

Membership model

Memberships can be more than just paying for a service; it can be a community. Customers pay a recurring fee for special perks or exclusive content or access, commonly seen in gyms, online courses or premium content platforms. It's all about feeling valued and connected, and every time a customer renews, it shows they're happy with what they're getting.

Benefits of recurring revenue

There are many advantages of recurring revenue. Let’s take a look at the ones that will benefit your business the most:

Challenges of recurring revenue

Like anything to do with business and payments, recurring revenue can come with its challenges too:

Recurring revenue FAQs

What’s the difference between monthly recurring revenue and annual recurring revenue?

Monthly recurring revenue (MRR) represents the predictable monthly income from subscriptions, while annual recurring revenue (ARR) reflects the total annual income from subscriptions, often calculated by multiplying MRR by 12. To go into detail, check out our blog on how recurring revenue can grow your business.

How can I track my recurring revenue?

You can track your recurring revenue effectively by:

Recurring revenue is an essential pillar of sustainable business growth. By embracing recurring revenue models, merchants can reap the benefits from enhanced cash flow to improved customer loyalty. However, navigating the complexities of recurring revenue requires diligence, adaptability and a customer-centric approach. By implementing best practices, businesses can thrive in an increasingly subscription-driven economy.

But now you know what it is and the benefits of recurring revenue, next up, let’s work out if a subscription-based model is right for your business.

One business strategy that has gained significant traction in recent years is the subscription-based business model. From streaming services to meal kits to software-as-a-service (SaaS) platforms, it’s safe to say that subscriptions have taken over and are transforming the way consumers access products and services. Over the past nine years, the subscription economy has grown by 435% and will continue to grow with projections to reach a massive $1.5 Trillion by 2025!

But is a subscription-based business model the right fit for your company? Before diving headfirst into this type of recurring payment, it's crucial to carefully evaluate whether it aligns with your business goals, offerings and target market. In this blog, we'll explore the key considerations to help you determine whether a subscription payment solution is a strategic fit for your business.

What’s in this article?

What is a subscription-based business model?

Let’s begin with the basics. A subscription-based business model is a type of recurring revenue model where customers pay a regular fee at set intervals, typically monthly or annually, in exchange for ongoing access to a product or service.

Unlike traditional one-time purchases, these models focus on customer loyalty to keep them around long-term. Thanks to its convenience for customers and predictability for merchants, it has gained huge popularity in a range of different industries, including e-commerce, entertainment and SaaS.

The benefits of a subscription-based model

There are numerous benefits associated with adopting subscription billing, so before you consider whether it is suitable for your business, let’s see what you’ll get out of it:

How does subscription billing work?

Subscription billing software automates recurring payments, manages subscriber accounts and tracks billing metrics. It helps businesses set flexible pricing and handle subscription changes like upgrades, payment breaks or cancellations smoothly.

To fully understand how it works, we’ve covered how to accept subscription payments and then how to manage them.

How to accept subscription payments

To accept recurring payments online, you'll need a subscription payment gateway integrated into your website. A payment gateway suitable for subscriptions will securely process recurring transactions, encrypt sensitive payment information and ensure compliance with industry regulations, such as PCI DSS (Payment Card Industry Data Security Standard).

Here's how to get started:

How to manage subscription billing

Once you’re all set up to accept subscription payments, next  is knowing how to manage them to ensure smooth operations and maximise revenue. Here are some best practices for managing subscription billing:

For more tips, you can check out our blog on managing recurring payments.

Example of how to add a new payment date during a recurring payment solution

Are subscription payments right for you?

Now you have all the information on what a subscription-based business model entails and how to take subscription payments, it’s time to evaluate your own business model to see if it could be a beneficial option for you.

Understanding your customer base

What do your customers need or want? What keeps them coming back for more? The success of a subscription model hinges on having a loyal customer base that values recurring access to your products or services. Consider whether your offerings lend themselves to ongoing usage, and if they do, whether your customers will benefit from the convenience of subscription-based access.

Product or service viability

What do your customers need or want? What keeps them coming back for more? The success of a subscription model hinges on having a loyal customer base that values recurring access to your products or services. Consider whether your offerings lend themselves to ongoing usage, and if they do, whether your customers will benefit from the convenience of a subscription platform.

Revenue predictability and stability

Subscription models offer the advantage of predictable revenue streams, which can be appealing to businesses seeking stability and steady growth. However, it's essential to weigh this against the potential challenges of acquiring and retaining subscribers, as well as managing churn rates.

Customer acquisition and retention costs

Although trying to gain new customers can work out more expensive than retaining current ones, building and maintaining a subscriber base can also require investments in marketing, customer acquisition and retention efforts. It’s important to evaluate the upfront costs associated with acquiring subscribers and whether you have strategies in place to minimise churn and maximise customer lifetime value.

Flexibility and scalability

One of the benefits of subscription models is their flexibility and scalability. They allow you to experiment with pricing, packaging and features to optimise value for your customers. Assess whether your business can adapt to changing market demands and scale its subscription offerings accordingly.

Operational considerations

Implementing this payment model can involve operational adjustments, including subscription billing systems, customer support infrastructure and subscription management processes. Ensure that your business has the resources and capabilities to effectively manage these operational aspects.

Competitive landscape

Are your competitors utilising subscription payments? To remain relevant within your industry, determine whether a subscription-based model sets you apart and addresses unmet customer needs. Consider how your offerings differentiate from existing subscription services and whether you can carve out a unique value proposition.

Although it’s important to consider whether a subscription billing system is right for your business model, its’ safe to say there are so many benefits in implementing one.

If your business is ready to embrace subscription payments, we have the recurring payment solutions to help. Check out our payment offering, reconciliation tools and reporting dashboard, or have a chat with one of our experts to see what we can do for you.

Looking for ways to increase your recurring revenue? Why wouldn’t you be? Recurring revenue is essential for sustained growth and success. Whether you're a subscription-based service, an e-commerce platform or a SaaS provider, optimising your payment reconciliation process is key to unlocking the full potential of your business.

In this guide, we'll explore how you can enhance your recurring revenue flows and streamline your online payment reconciliation with key tools and strategies.

What’s in this article:

How to increase recurring revenue

So, without further ado, let’s get straight to it with our top tips on how to increase your recurring revenue.

Optimise pricing strategies

Conduct thorough market research to ensure your pricing plans are competitive yet profitable. Consider offering tiered pricing options to cater to different customer segments and maximise revenue potential.

You could go one step further and utilise dynamic pricing strategies to adjust subscription fees based on factors such as usage, demand or customer behaviour. Dynamic pricing algorithms can help optimise revenue by automatically adjusting prices to maximise conversions and revenue.

Improve customer retention

32% of customers will stop shopping with a brand after a single bad experience, so it’s important to focus on delivering exceptional customer experiences to increase loyalty and reduce churn. For example, you can implement loyalty programs, offer personalised recommendations and provide proactive customer support to build long-term relationships.

Most importantly, be flexible with payments. You’d much rather have a customer pause their subscription than cancel it altogether. If you can offer them the freedom to alter their plan, including the date they pay or the amount they pay, you’re much more likely to retain their custom.

Expand product offerings

If you want to appeal to a wider audience, diversify your product or services to increase upsell and cross-sell opportunities. Continuously innovate and introduce new features or packages to encourage existing customers to upgrade their subscriptions.

Avoid failed payments

Managing failed payments is a critical aspect of optimising recurring revenue streams. Despite best efforts, failed payments can still occur due to a number of reasons such as insufficient funds, expired credit cards or technical issues. Effectively handling failed payments can help minimise revenue loss and improve customer satisfaction. Keep reading for tips on how to combat this.

Nomupay’s payment reconciliation tools

The most important tip is to have a payment reconciliation process in place to increase your collection rates. At Nomupay, we offer an array of payment collection tools designed to prevent late or missed payments and maximise recurring revenue. So say goodbye to manual tasks with our automated reconciliation features:

Auto rebiller - If a payment fails first time, the auto rebiller is a handy tool that will keep trying until the payment is successful. Sometimes there's a limit on how many times it can try, which is when you can send pay by links instead.

Multi-card registration: With this setup, if the default card expires, the system will automatically attempt alternative registered cards until a successful payment is processed, reducing churn significantly.

Two failed payments, one successful payment thanks to re-billing - an automated payment reconciliation tool

Pay by links: If a payment has been missed, you can send a gentle reminder via SMS or email in the form of a payment link. This allows the customer to easily make the payment at their earliest convenience. You could even send them when they are due to avoid the payment being late at all.

Network tokens: Cards expire or get lost, but there’s no reason why this should affect you getting paid. Network tokens uses information provided by the card scheme networks to ensure your customer’s details are always up to date with the latest card information.

Optimal billing times: With valuable insights into your payment data, helping you to track key performance metrics and identify trends, our intuitive dashboard can help you make data-driven decisions, such as when the best time is to take the payment to increase the chance of success.

Testimonial from Invevo

Maximising recurring revenue requires a strategic approach to pricing, customer retention and payment reconciliation. By leveraging advanced tools and techniques, such as Nomupay's automated payment reconciliation software, businesses can streamline their operations, reduce costs and unlock the full potential of their recurring revenue streams. Invest in the right tools today and pave the way for sustainable growth and success tomorrow.

If you're looking to boost your business and streamline your cash flow, accepting recurring payments might just be the key. Whether you're running a subscription-based service, selling membership plans or offering monthly services, setting up recurring payments can make your life a whole lot easier. Let's dive into the world of recurring payments and learn how to implement them effectively.

What’s in this article:

Recurring payments overview

First things first, let’s quickly recap what we mean by recurring payments. Simply put, they're payments that occur on a regular basis, like weekly, monthly or annually. Instead of your customers having to manually make a payment each time, recurring payments automate the process, saving time for both you and your customers.

For a more in-depth explaining, you can check out our ‘What is a recurring payment?’ blog.

Things to consider when implementing recurring payments

Before you accept recurring payments online, there are a few important things to consider:

Before adding a payment solution, it’s important to consider all these factors to make sure you offer the most effective and seamless plan for your business and your customers.

Do you think this solution is right for your business? Let’s move on to how to take recurring payments including best practices and set up tips.

What you need to accept recurring payments

If you’re already accepting online payments, then you’ll already have these in place. But, if you’re a new business, to accept recurring payments online, you'll need a:

  1. Payment gateway: A reliable payment gateway that supports recurring payments and integrates seamlessly with your website or platform.
  2. Merchant account: Set up a merchant account to receive payments.
  3. Website or platform: A platform where customers can sign up for your services or products.

Once you have these setup, it’s time to start accepting recurring payments.

Best practices for accepting recurring payments

On top of the fundamentals that you need, there are some best practices to efficiently accept recurring payments to ensure seamless transactions and customer satisfaction.

Transparency is key

Clearly communicate the frequency, amount, duration of the payments and any relevant terms and conditions. One of the biggest reasons for churn is hidden costs. Lack of communication to begin with can cost you customer retention and loyalty.

Customers appreciate knowing exactly what to expect upfront, reducing the likelihood of misunderstandings, followed by dissatisfaction. Highlighting potential changes or fluctuations in charges can also bolster transparency and customer trust.

Prioritise security

Protecting sensitive customer data should be a top priority. Utilising reputable payment processors that adhere to strict security standards, such as PCI-DSS compliance, helps safeguard against data breaches and fraud. Investing in robust encryption technologies will enhance the security of payment transactions, instilling confidence in customers and mitigating potential risks.

Utilise your data

Leveraging your data can produce valuable insights into customer behaviour, payment trends and potential areas for optimisation. Regularly analysing this data and reviewing billing processes will allow you to identify and address any issues promptly, minimising disruptions and maximising customer satisfaction. Automation tools that also utilise your transaction data can help to streamline billing procedures, reducing manual errors and enhancing efficiency.

Recurring payment dashboard on Nomupay

Be flexible

Offering flexibility in billing options empowers customers to manage their subscriptions according to their preferences and needs. Providing easy-to-use interfaces for updating payment methods, adjusting subscription plans or pausing/cancelling services fosters a positive user experience and reinforces trust in your brand. Flexibility also includes accommodating various payment methods to cater to diverse customer preferences and global markets.

By adhering to these best practices, businesses can effectively manage recurring payments while prioritising customer trust and satisfaction. This approach not only enhances the overall customer experience but also strengthens customer retention and loyalty in the long run.

How to set up recurring payments with Nomupay

Now that we’ve covered the best practices for accepting recurring payments, next it’s all about the setup. If you're looking for a hassle-free way to set up recurring payments, Nomupay has got you covered. Here's how you can do it:

  1. Get in touch: It all starts with a conversation; our payment experts are on hand to explain the whole process and see how our solutions can benefit your business.
  2. Onboard with us: As soon as we’ve come up with a plan together, we’ll conduct a standard KYC and get you onboarded in no time.
  3. Integrate Nomupay: Integrate our solutions into your website or platform with the aid of our integrations team and 24/7 support.
  4. Start accepting recurring payments: Once everything is set up, sit back and watch as recurring payments start rolling in effortlessly.

Accepting recurring payments is a game-changer for merchants looking to streamline their revenue flows and provide convenience to their customers. By following these simple steps and choosing the right payment partner like Nomupay, you'll be well on your way to success. So, are you ready to start a conversation?

Introducing the latest updates in financial regulations: PSD3, the newest version of the Payment Services Directive. This update is all about enhancing security measures and making sure merchants and their customers are better protected in the payments space. In this blog, we'll break down the main differences between PSD3 and its predecessor, PSD2, and run through why these changes help your business.

What’s in this article?

What is PSD3?

PSD3, the third iteration of the Payment Services Directive from the European Commission, represents an updated version of its predecessor, PSD2. In simple terms, it’s just an updated set of rules designed to safeguard consumers, merchants, payment providers and banks.

When does PSD3 come into effect?

Predicted to be finalised by 2024 and implemented in 2026, this latest directive places a spotlight on specific areas, such as Strong Customer Authentication (SCA), 'spoofing' prevention and enhancements to the open banking framework. PSD3 focuses on topics that weren’t paid enough attention in PSD2 and addresses emerging technologies that have gained popularity in recent years. We’ve highlighted the main changes that you’ll want to hear about:

New SCA requirements

One improvement brought by previous directives is, without a doubt, the emphasis on SCA requirements. This security feature requires customers to provide at least two pieces of identifying information during the payment process. The proof is in the pudding, and regions enforcing SCA have seen a substantial decrease in card-not-present (CNP) fraud rates.

However, the implementation of SCA has raised valid concerns about increased friction at the checkout, potentially creating a negative experience for customers. Recognising these issues, PSD3 introduces new requirements to address and improve upon the existing framework:

Spoofing prevention

Spoofing is a pretty deceptive technique in which fraudsters trick customers into consenting transactions by mimicking trustworthy sources like a bank’s email address, phone number or website. The European Commission has acknowledged the need for additional regulations to effectively prevent and detect this type of fraud:

Advancements in open banking

Open banking, a system enabling secure sharing of a customer's financial information among banks and financial institutions, has shown its usefulness in revolutionising various financial tasks, including payments and investments. With its countless benefits, it comes as no surprise that its popularity is soaring, boasting eight million users in the UK by November 2023.

In an effort to enhance the functionality of data sharing between banks and third parties, PSD3 is introducing several changes:


It’s important not to forget that the UK is no longer required to follow PSD3, however it’s likely it’ll alter its own rules in a very similar way. So, it's crucial that you stay informed about these upcoming changes for compliance reasons. But let's not lose sight of the main point – in this evolving payment landscape, PSD3 aims to provide protection and convenience for all merchants navigating the shifts in this complex industry. Understanding and embracing PSD3 will be essential in helping your business adapt and thrive in the changing digital world.

What’s the one key player that every successful e-commerce website relies on? That’s right—the payment gateway. In this blog, we’ll break down everything you need to know about payment gateways in e-commerce, from what they are and how they work, to how to choose the right one and integrate it seamlessly into your store.

What’s in this article?

What is an e-commerce payment gateway?

At its core, an e-commerce payment gateway is a technology that facilitates the secure transfer of payment data between a customer, an online store and the financial institutions involved, such as the bank, card scheme or payment provider. It acts as a virtual bridge, ensuring that sensitive information such as credit card details is encrypted and transmitted securely, safeguarding both the buyer and the seller from potential fraud.

Types of payment gateway in e-commerce

There are mainly two types of payment gateways in e-commerce, and the one you choose can impact everything from transaction speed to security and user experience. Here are the main types:

Type of payment gatewayOverview
Hosted payment gatewayThese redirect customers to a third-party site (like PayPal) to complete the transaction.  
Integrated payment gatewayCustomers enter payment details directly on your site, allowing full control over the checkout experience  

Each has pros and cons, so consider your store’s size, resources and target audience before deciding.

Best payment gateway for e-commerce websites

When it comes to choosing the best payment gateway service for your e-commerce website, several factors should be considered. The market is flooded with options, but some stand out for their reliability, security, customer support and ease of integration.

How to choose a payment gateway for your e-commerce store

There are a number of factors to consider, and which ones you focus on will depend on your business model and future goals. Let’s go through what to look out for to help you find the payment gateway solution for your e-commerce store.

Security

Payment gateways must follow strict rules known as the Payment Card Industry Data Security Standard (PCI DSS) to ensure card information is handled safely. But depending on your transaction volume and business model, different compliance levels apply. So you’ll want to assess what levels of security your business needs. For example, high-risk businesses, like those in the CBD industry, will require extra security measures to protect customer data and reputation.

For optimum security, prioritise e-commerce payment gateway services that employ robust security measures, such as SSL encryption, and can offer additional tools, like chargeback alerts, IP blacklists and smart dynamic routing to keep your authorisation rates high and fraudulent activity low.

Smart dynamic routing for successful payments

Compatibility

There are a range of different e-commerce platforms, plugins and third-party providers to choose from. You’ll need to assess the capabilities of all the technology and software involved to see if they are compatible with each other, as well as with the payment gateway.

WooCommerce logo. A platform to integrate into your e-commerce payment gateway

For example, if you’re using WordPress, then you’ll need the WooCommerce plugin to accept payments. This is a great option for small businesses; its user interface is simple and integration is a breeze. However, there are some compatibility issues with other plugins, so you’ll need to conduct a test to see which ones you can or can’t use.

Alternatively, there’s Magento, which can offer a much more bespoke experience. However, its integration is more complex and you’re likely to need a developer to navigate it.

These are just two options of many. You can find out more about e-commerce plugins here.

Magento logo - A platform to integrate into your e-commerce payment gateway

Which platform and plugin you opt for, and their compatibilities, will be a big influencer of which payment gateway is right for your website to ensure you can offer local payment methods, accept cross-border transactions, easily grow the volume of transactions, etc.

Transaction fees

There are many fees associated with payments, so finding one that doesn’t break the bank and works for your processing volume is important. But it’s not just the fees you need to be aware of, there are also two pricing structures to think about: Interchange++ and blended.

The blended pricing structure is a fixed price. It’s the simplest structure of the two, which can make it an attractive option for small businesses and startups. However, because the price doesn’t alter depending on how much you actually process, it can work out more expensive.

Whereas the interchange++ pricing structure is a little more complex. It will split out each fee so you know exactly what you’re paying for. Although you will need to have a stronger understanding of the fees to use this structure, it can often work out the better option when it comes to cost.

For a more detailed explanation, we have a blog dedicated to interchange and blended pricing.

User-friendly interface

A payment gateway service that provides a smooth user experience for your customers can contribute significantly to your online store's success. But it’s not just the customer’s experience you’ll want to consider, you may also want to bear in mind the experience for you as the merchant.

For example, in-depth reporting and full visibility of each transaction are increasingly important, especially if you want to leverage your data to fight fraud and analyse customer behaviour.

Having access to these insights can open up a whole host of opportunities, such as revenue prediction and automated tasks to boost sales and reduce resource costs. But it all starts with an easy-to-use interface that the best payment gateway can provide.

Local payment methods

If you plan on expanding internationally, opt for an e-commerce payment gateway that supports a wide range of currencies and payment methods. There are so many alternative payment methods available these days and each region will have its preferred choice. For example, Alipay and WeChat Pay are huge in China, whereas iDEAL is the go-to in the Netherlands.

A global payment gateway that can access local acquirers and integrate a range of payment methods is crucial if you want a global presence and to expand your consumer base. Here at Nomupay, our gateway has access to more than 200 alternative payment methods.

Logos for Apple Pay, Google Pay and Sofort

Customer support

Issues can occur no matter which payment gateway you choose, whether that’s failed payments or processing downtime, so opting for a gateway that has 24/7 support will be invaluable.

Having on-hand support will ensure issues are resolved quickly and efficiently, so you can continue to take payments without a hitch. Sure, chatbots can help with quick and easy questions, but knowing you have that human support on the other end of the phone or email can make a huge difference.

E-commerce payment gateway integration: How to get started

To integrate a payment gateway into your e-commerce website, you’ll first need to work out what your business needs. With Nomupay, there are a few options to choose from; our payment platform is compatible with a range of e-commerce platforms such as WordPress and Shopify. It also offers a selection of plugins that cater to different business types and content management systems (CMS). You have the flexibility to choose the most suitable option based on your specific business needs and the CMS you utilise, for example, you could opt for WooCommerce, which serves as an e-commerce plugin designed for WordPress.

For more information, check out our blog on how to integrate a payment gateway into your online store.

Selecting the right e-commerce payment gateway solution is a critical decision that directly impacts the success of your online business. By understanding your business requirements, researching available options and considering factors such as security, ease of use and global reach, you can make an informed choice. Remember that the best payment gateway for your e-commerce website is one that aligns with your business goals and provides a secure, seamless and reliable payment experience for your customers.

Want to know more? We have a more in-depth blog that tells you everything you need to know about payment gateways. Or why not arrange a one-to-one with one of our specialists to see how we can help your online business?

To recap, here’s an overview of the top FAQs about payment gateways in e-commerce

What is a payment gateway in e-commerce?
A payment gateway is the technology that securely processes online payments on an e-commerce website. It connects your store, the customer and their bank to authorise transactions.

How does a payment gateway work in e-commerce?
When a customer checks out, the payment gateway encrypts their details, verifies with their bank and ensures the funds are transferred securely to the seller.

What are the types of payment gateways in e-commerce?
The main types include hosted and integrated, each with unique benefits based on your store’s needs.

In today's digital age, the ability to accept payments online is crucial for businesses looking to thrive in the e-commerce landscape. It’s nearly impossible to succeed without it! With consumers increasingly turning to the internet to make purchases, with 2.71 billion people expected to shop online in 2024 compared to 2.37 billion in 2020, having a seamless online payment system is essential.

But what exactly is an online payment system, and how does it work? In this guide, we'll explore everything you need to know about online payment systems, including the types available, how to set them up and the benefits they offer to merchants.

What’s in this article?

What is an online payment system?

An online payment system is a digital platform that facilitates the transfer of funds between a buyer and a seller over the internet. It allows customers to make payments for goods or services securely and conveniently without the need for physical cash or cheques. These systems leverage various technologies, such as encryption and authentication to ensure online transactions remain secure.

How do online payment systems work?            

You would think that with the amount of technologies and systems involved in an online payment system that it would be a long and frustrating process. But in fact, it takes only a matter of seconds, if that.

Before we go into online payment process flow, here are the four main players involved in a card transaction:

  1. Merchant - The owner of the website where customers can pay with a credit/debit card.
  2. Cardholder - The customer who uses their credit or debit card to pay on the merchant’s website.
  3. Acquiring bank - The financial institution that accepts card payments from the customers’ issuing banks on behalf of the merchant, e.g., Nomupay.
  4. Issuing bank - The financial institution that issues credit and debit cards to consumers on behalf of card networks (e.g., Visa and MasterCard).

Now, here’s a step-by-step guide to how the online payments process works.

  1. Initiating the transaction: The process begins when a cardholder initiates a purchase on the merchant's website or e-commerce platform by selecting products or services and proceeding to the checkout page.
  2. Entering payment information: The cardholder enters their payment information, such as credit card details or digital wallet credentials, into the online payment form provided by the merchant.
  3. Encryption of payment data: The payment information is encrypted using secure encryption protocols, such as SSL (Secure Sockets Layer), to keep the cardholder's details secure.
  4. Verification and authorisation: The encrypted payment data is transmitted securely from the customer's browser via the payment gateway to the payment processor or acquiring bank. The financial institution will then verify the customer's payment details. It also checks for available funds in the customer's account or credit limit.
  5. Authorisation request: Once the payment details are verified, the information is transferred, again via the payment gateway, to the customer’s bank or card issuer to request approval to process the transaction.
  6. Approval or decline: The customer's bank or card issuer reviews the authorisation request and either approves or declines the transaction based on various factors, including available funds, account status and fraud risk.
  7. Transaction processing: If the transaction is approved, the customer's bank or card issuer sends an authorisation code via the payment gateway back to the payment processor, indicating that the transaction can proceed. The transaction is then processed, deducting the purchase amount from the customer's account and transferring it to the merchant's account.
  8. Confirmation: Once the transaction is successfully processed, the payment gateway sends a confirmation message to the merchant's website, indicating that the payment has been received and the order can be fulfilled. Alternatively, the gateway will send a declined message.
How open payment systems work in a diagram flow

What are the benefits of an online payment system?

We’ve already mentioned that an online payment system is crucial to the success of an e-commerce business, but why? Let’s take a look at the numerous advantages of an online payment system and why you need one:

Have we convinced you to invest in an online payment system yet?

How to set up an online payment system with Nomupay

Setting up an online payment system for your business involves several steps, including integrating a payment form into your checkout, adding alternative payment options, choosing a scalable and secure payment gateway for e-commerce, utilising plugins and joining a reliable payment processor to bring it all together. However, if you focus on finding an ideal payment processor first, like Nomupay, we will do all the legwork for you.

For a step-by-step guide of how to integrate all of the above with Nomupay, check out our blog on how to integrate a payment gateway.

It’s safe to say that implementing an online payment system is essential for merchants looking to stay competitive in today's digital marketplace. By understanding how online payment systems work and leveraging the right technology, you can enhance the shopping experience for your customers, increase sales and grow your business.

Recurring billing makes the process of repeated transactions so much more convenient for both the customer and the merchant, and in this day and age, convenience is everything. It will transform the way companies manage payments and revenue streams. So throughout this article, we’ll cover everything you need to know about recurring billing, including exploring its meaning, suitability for businesses and recurring billing solutions and software.

What’s in this article?

What does recurring billing mean?

A recurring billing solution refers to the automated process of charging customers at regular intervals for products or services. This method ensures a seamless and predictable revenue flow for businesses as payments are automatically collected without manual labour while offering convenience to customers who no longer need to remember to make payments manually.

What sort of business is suited to recurring billing?

Recurring billing is particularly well-suited for businesses that offer subscription-based services, such as software as a service (SaaS), streaming platforms and membership sites. Additionally, companies with consumable goods or services that customers need regularly find recurring billing beneficial. Essentially, any business that offers a repeated service or product will need to offer recurring payments.

Some of the biggest businesses that utilise a recurring billing method include:

  • Netflix
  • Amazon Prime
  • Hello Fresh
  • Birchbox
  • Slack
  • Salesforce
Logos for subscription businesses

Types of recurring billing

There are two main types of recurring billing solutions and which one you choose will depend on your business model:

Fixed recurring billing: Charges a consistent amount at regular intervals. This type of billing is often used for a service that does not alter month on month, and therefore, the cost is fixed, for example, memberships.

Variable recurring billing: Fluctuates based on usage or additional services. This is a more flexible option and is ideal for services that can change month on month. For example, with Hello Fresh, the customer may only want two meals one week and four meals the following week. Alternatively, it can allow the option for services to be frozen or delayed; this flexibility is great for preventing cancellations.

Benefits of recurring billing

If you’re considering whether to utilise recurring billing software, then here are the main benefits to convince you to go for it:

Challenges of recurring billing

Although there are great benefits for recurring billing, like with all things payments, of course, it doesn’t come without its challenges.

Two failed payments, one successful payment thanks to re-billing
  • Customer resistance: Some customers may be hesitant to commit to recurring payments.
  • Failed transactions: Issues such as expired cards can lead to failed transactions.
  • Payment disputes: Customers may dispute charges, requiring additional customer service efforts.

However, with the right tools, you can easily overcome these challenges. Check out our blog on managing recurring payments to see how.

Recurring billing solutions

To navigate the intricacies of recurring billing, businesses can leverage advanced recurring billing software, ensuring efficiency and reliability. Some key features to consider in the best recurring billing software include automated billing cycles, customisable invoicing, robust reporting capabilities and reconciliation tools, such as account updater and rebilling features.

You can discover all the tools we have available to optimise your recurring billing solution here.

Recurring billing is a powerful tool that can revolutionise the financial landscape of businesses, providing stability, convenience and improved customer relationships. By understanding its meaning, benefits, and challenges, businesses can harness the potential of recurring billing to foster long-term success in today's competitive market.

Want to know more? Check out our Ultimate Recurring Payments guide!

Global payment platform, NomuPay, is looking to expand its partner merchants in the Philippines in the next two years.

In an interview with BusinessWorld, Danny Makin, NomuPay Managing Director in Asia, the Middle East and North Africa (MENA), said: “Growth has always been a big part of the NomuPay strategy and there’s no difference with our vision for the Philippines market. This includes growth for our merchants and partners too, which is why we make it easy for other payment partners to integrate with us, so they can offer our solutions to their own customers without a hitch.”

NomuPay will also upsize its team in the country to help ramp up digital payments among local merchants and help them expand globally.

“While we aim to grow organically in tandem with market growth, we also have plans to expand our team over the next year, ensuring that we continue to deliver exceptional value and innovation to our partners and merchants alike,” Mr Makin said.

NomuPay is a licensed electronic money issuer (EMI) operator in the Philippines. Aside from its payment platform functions, it recently expanded its services to include recurring payments, pay by link, open banking and smart dynamic routing, thanks to its merger with merchant services and payment processing solutions provider, Nomupay.

The merger took place in December last year and will allow the platform to offer its partner merchants a complete end-to-end payment solution.

Mr Makin added, “This collaboration will bring so much value to the region, opening up a whole host of opportunities, enhancing the customer experience, boosting authorisation rates, improving the efficiency of the payment ecosystem and so much more.

“Our ambition for the future is to grow within this region and will be a key focus for us over the next 12 months.”

The company also hopes to contribute to the increasing use of digital payments in the country.

The combined value of transactions done via automated clearing houses PESONet and InstaPay rose by 30.3% to P11.6 trillion at the end of November 2023 from P8.9 trillion in the same period in 2022, latest data from the Bangko Sentral ng Pilipinas showed.

In terms of volume, transactions via the two payment systems climbed by 44.8% to 824.856 million in the same period from 569.665 million transactions a year prior.

The company can also help facilitate the rollout and acceptance of central bank digital currencies in some countries, improving cross-border payments, and merging batch payment services, Mr. Makin said.

“We feel our product fits the Philippines’ mission to reduce cash usage and envision our services will be a part of the facilitation of this movement.”

Declined transactions are more than frustrating. They can have a severe effect on your business, losing sales and customer trust, ultimately affecting your bottom line. If approval rates are something you’re struggling with, your payment setup might be part of the problem.

Two crucial components of online payments are the acquirer, or acquiring bank — the institution responsible for accepting and processing card transactions — and the payment gateway.

That’s where an acquirer-agnostic payment gateway comes in. It could be the game-changer you need to reduce those declines and keep your cash flow smooth. But what do we mean by an acquirer-agnostic payment gateway and how do you get one?

What's in this article?

Acquirer vs gateway

Let’s clarify that an acquirer and payment gateway are two very different things, so an acquirer-agnostic gateway may seem like a strange concept. With an acquirer, also known as a merchant acquirer or acquiring bank, being the bank account that accepts the merchant's deposits, and a gateway being the facilitator of the transaction, what does an acquirer-agnostic gateway mean and how will it reduce declines?

Before we delve into the meaning of an acquiring-agnostic gateway, it's also worth noting that there's another payment term that can also get bundled into the mix: merchant account. Want to know the difference between a merchant account and a payment gateway? We have a blog on that too!

But for now, let’s get back to learning about an acquirer-agnostic payment gateway.

What does acquirer-agnostic mean?

Okay, first things first – what does "acquirer-agnostic" even mean? Simply put, it's all about flexibility. An acquirer-agnostic payment gateway doesn't tie you down to a specific acquiring bank. It connects you with all the major players in the financial world, allowing you to connect with the one that suits your business best. There’s no stopping at one either, you can be connected to as many as you need.

For example, here at Nomupay, we have our own acquiring licences as well as access to more than 300 acquiring banks locally and internationally. Choosing a payment gateway that works with multiple acquiring banks — also known as being acquirer-agnostic — gives you flexibility and resilience to scale globally, as well as so we can offer you the best chance for high approvals.

Diagram flow of a payment failing and then being successful

The benefits of an acquirer-agnostic payment gateway

Now that we've covered the meaning of an acquirer-agnostic gateway, let's talk about why it matters for your business:

1. Reduced declines

No one likes a declined transaction. An acquirer-agnostic gateway ensures that you're not at the mercy of a single acquiring bank. If one bank doesn't accept the transaction, for whatever reason, or there’s a technical issue, the transaction can automatically be retried with another one. It does this by intelligently routing the transaction based on multiple factors, including country, currency and payment method. It's like having a Plan B that actually works.

2. Global reach

Do you dream of expanding your business globally? A payment gateway that is acquirer-agnostic is your passport to international success. It supports multiple currencies and payment methods, giving your customers a seamless, localised experience, no matter where they are. Sourcing a local acquirer doesn’t just improve your acceptance rate, but it can also lower your processing costs.

3. Future-proof your business

The business world moves fast, and so should your payment solutions. An acquirer-agnostic gateway is much more scalable so it won’t restrict your business growth. Whether you want to expand internationally or the amount of daily transactions is increasing, this type of payment gateway will grow with you.

4. Supports high-risk businesses

An acquirer-agnostic payment gateway is especially beneficial for high-risk businesses. Since these types of businesses are more prone to transaction declines, automatic retries with other acquirers can make all the difference in whether they succeed or not.

How to get an acquirer-agnostic gateway

Are you considering making the switch and levelling up your payment game? Getting an acquirer-agnostic gateway is easier than you might think. The most important things to consider before making the switch are compatibility, gateway integration and support.

Compatibility is key to a smooth transition, and an easy integration process with the full support of your provider will ensure the process is hassle-free with no interruptions to your processing.

At Nomupay, the best place to start is to contact our payment specialists. They’ll guide you through the whole process and answer any of your questions to ensure we’re the right fit for you.

Our onboarding and integration teams will tackle the rest and get you set up in no time.

So there you have it – the secret sauce to reducing declines and elevating your payment experience. With an acquirer-agnostic gateway, you're not just processing payments; you're future-proofing your business.

If you’re ready to say goodbye to declines and boost your authorisation rates, learn more about how to integrate our payment gateway or get in touch to speak with a specialist.

Additional FAQs to help with your understanding of an acquirer-agnostic payment gateway:

What is an acquirer in payments?

An acquirer (or acquiring bank) is a financial institution that works with businesses to process card payments. When you pay with a credit or debit card, the acquirer makes sure the transaction goes through securely and that the money ends up in the business’s account.

Ever heard of Variable Recurring Payments (VRPs) and wondered what all the fuss is all about? We’re not just talking about recurring payments that are flexible, we’re talking about the new VRP method within open banking.

Stick around and we’ll fill you in!

What are variable recurring payments?

Within open banking, VRPs harness the power to connect a customer’s bank with third parties via payment initiation service providers (PISP). The series of payments can be set up to be taken and adjusted automatically by the providers on the customer’s behalf, leveraging real-time data exchanges between banks and third-party services. Imagine a payment that understands and adapts to your financial behavior—VRPs make that a reality!

Variable recurring payment use cases in open banking

Is the VRP system secure?

Absolutely! One of the benefits of open banking is that it prioritises security, with robust protocols ensuring data privacy and transaction integrity. VRPs built on this foundation offer encrypted, authenticated and transparent transactions, ensuring utmost security for both merchants and consumers.

Also, the most important thing to remember when it comes to open banking is the consumer has to provide consent before any data can be shared with third-parties!

VRPs vs Direct Debits

AspectVariable Recurring PaymentsDirect Debits
Insights & analyticsProvides merchants with insights into customer spending patterns and financial behaviours.Limited to transaction amounts and dates, with less detailed insights.
 
IntegrationSeamlessly integrates with multiple financial platforms and third-party services.Primarily linked to specific bank accounts, with limited third-party integration.
FlexibilityOffers flexibility in transaction amounts and frequency based on real-time data.Fixed schedules and amounts, often requiring manual changes for adjustments.
AutomationAutomated adjustments without the need for manual intervention.Requires setup and occasional manual oversight.

Will VRPs be the death of Direct Debits?

VRPs offer a lot of advantages, the most notable being a real-time transaction. By using the Faster Payment service, it’s speed and convenience is much more customer-centric. But does that mean it will take over from Direct Debits? Not necessarily.

Both systems have their strengths and serve different needs. It can also take time for banks and payment providers to implement new methods, as well as for consumers to trust and adopt them too. However, as technology evolves and businesses seek more flexibility and efficiency, we can expect VRPs to play a more significant role in the payments landscape.

Variable Recurring Payments are reshaping the way we think about recurring transactions and is definitely an innovation we’ll be keeping an eye on. For merchants, embracing this technology can lead to increased flexibility, improved customer satisfaction and streamlined operations. As always, stay informed, stay secure and keep innovating!

In this digital age, accepting payments online is a must for businesses big and small. Whether you're selling handmade crafts or offering consulting services, the convenience of online payments can't be beaten. However, with great convenience comes great responsibility. Ensuring the safety of your customers' financial information should be a top priority. So, let's dive into the basics of of online payment security.

What’s in this article?

How to accept payments online

First things first, let's talk about the basics. To start accepting card payments online, you'll need a few key elements:

Now, not all payment providers can offer all the components within one solution. For example, you may need to seek a payment gateway from one provider and a merchant account from another.

To keep things simple and your processing costs at a minimum, here at Nomupay we offer it all within a unified platform. On top of the aforementioned payment gateway and merchant account, our merchants also gain access to a network of more than 300 acquirers, over 198 alternative payment methods, reporting and analytical tools to keep track of transactions and so much more.

Safety tools for accepting online payments

Now, let's talk about the tools that will increase your online payment security:

SSL Certificate

Invest in a Secure Sockets Layer (SSL) certificate for your website. This encrypts data transmitted between your website and your customers, ensuring sensitive information stays confidential. It also adds a layer of trust for your customers. Without the lock symbol next to your URL, which this certificate provides, you’re likely to scare off your customers.

Two-Factor Authentication (2FA)

As part of the 3D Secure 2.0 regulations, enable 2FA for secure online payments, particularly on high-value items. This adds an extra layer of security by requiring users to verify their identity through a second method, such as a passcode sent to their mobile device or fingerprint/facial recognition.

For recurring payments, this will only need to be completed during the initial setup; after that tokenisation will come into play.

Fingerprint ID icon, facial recognition icon and passcode icon

Tokenisation

Tokenisation is a secure way of saving a consumer’s payment details so that future payments can be taken with complete ease without the need for more information, often used within recurring payments and subscriptions. The card details are swapped for a token; a random selection of numbers. This token cannot be encrypted, so even if someone else gets hold of the token, they won’t be able to decipher what the card details attached to it are.

Address Verification System (AVS)

AVS checks the billing address provided by the customer against the one on file with their credit card issuer. Implementing this tool is a great way to verify the card user and reduce the risk of fraudulent transactions.

Payment provider

Don’t underestimate the importance of choosing the right payment provider. What fraud tools they offer is a crucial consideration in determining the security of your online payments. With Nomupay, we provide a fraud suite of 120 tools, including those mentioned above.

Find out more about how we can help you accept secure online payments via Fraud Suite.

Choosing a secure payment gateway

Since the payment gateway is the key between all the components withing the payment cycle, it’s crucial to pick the right one for your business needs and security concerns. When selecting a payment gateway, consider the following:

How to stay PCI compliant

Keeping up to date with the latest regulations can be tricky, but being PCI DSS compliant (Payment Card Industry Data Security Standard) is crucial for any business handling credit card information. To achieve and maintain compliance, you’ll need to adopt a proactive approach. Start by selecting a payments provider that adheres to PCI standards, ensuring that the infrastructure supporting your online transactions meets the necessary security requirements.

Regularly update all software to promptly address any potential security vulnerabilities. Additionally, limit the storage of customer data to the essentials and implement a routine data purge to minimise the impact of a potential security breach. By consistently following these practices, you not only protect your customers' sensitive information but also contribute to the overall security of your online payment ecosystem.

Map of the UK with a lock symbol over it

Reduce the chance of fraud

Fraud is an unfortunate reality of online transactions, even with all the right tools in place to prevent them. But there are additional steps you can take to minimise the risk:

While the digital landscape offers incredible opportunities for businesses, it's essential to prioritise the safety of online transactions. By implementing the right tools, choosing secure payment gateways, staying PCI compliant and actively working to reduce the chance of fraud, you can create a secure environment for both your business and your customers. So, go ahead, start implementing these tools and securely accept online payments!

It’s no secret that running a business comes with its fair share of challenges – but running a high-risk business can take those challenges to the next level.

Here we'll explore the key pain points of a high-risk business and share some tried and tested strategies on how to overcome them.

Key challenges for a high-risk business

Let’s begin by addressing what those high-risk business problems are.

1.     Navigating regulatory requirements

High-risk businesses often face a tangled web of regulations and compliance issues. Whether it's legal restrictions, industry-specific guidelines or cross-border protocols, staying on the right side of the law can feel like a constant uphill battle.

2.     Keeping chargebacks at bay

Chargebacks can be a significant pain point for high-risk businesses. Customers disputing transactions, whether valid or not, can lead to financial losses, reputation damage and operational headaches. Managing chargebacks to resolve disputes promptly is a must.

3.     Building trust

High-risk industries are often met with skepticism. Winning the trust of customers and partners can be difficult, especially when your business operates in an environment where trust is hard to come by.

4.     Security concerns and fraud risks

In the online realm, high-risk businesses are prime targets for cyber threats and fraud. Maintaining the security of sensitive data and transactions is an ongoing challenge that requires constant vigilance.

How to combat these challenges

All that being said, just because there are business issues to deal with, doesn’t mean they can’t be overcome. Here are our top tips on tackling the four key pain points.

1.     Invest in expert guidance

The regulatory landscape can be tricky to navigate, so don't hesitate to seek expert advice. Hire professionals who specialise in the legal and compliance aspects of your industry. This investment will pay off in peace of mind and a smoother operational journey.

2.     Implement effective chargeback management

Develop a proactive approach to chargeback management. Monitor transactions, address customer concerns promptly and implement preventive measures to reduce the risk of chargebacks. Having a solid system in place will save you time, money and headaches in the long run.

Example of a chargeback alert notification

3.     Be transparent and communicative

Building trust starts with transparent communication. Be open about your business practices, share success stories and address concerns head-on; this also includes being clear about your shipping and returns policies and any additional costs. Establishing credibility in the market is a gradual process, and consistent communication is key.

4.     Prioritise cybersecurity

Protecting your business from online threats is non-negotiable. Invest in robust cybersecurity measures, stay updated on the latest security technologies and educate your team about potential risks. A secure business not only safeguards your data but also earns the trust of your customers.

What’s the biggest challenge for most businesses when going online?

Moving a business online opens up a world of opportunities, but the biggest challenge is often adapting to the fast-paced and ever-changing digital landscape. High-risk businesses must not only contend with their industry-specific challenges but also keep up with the dynamic nature of the online world.

Implementing a digital-first mindset is essential. Invest in digital marketing strategies, optimise your online presence with a mobile-first approach and stay agile in response to market trends. Make the most of data analytics to understand customer behavior and tailor your strategy accordingly. Being aware and adaptable to the online shift will set your high-risk business on a path to success.

How can Nomupay help you overcome these challenges?

Here at Nomupay, we specialise in providing payment solutions for high-risk businesses. Our very own expert, Martin Brindley, said: “We understand the challenges that specialist sectors face and appreciate how frustrating it can be without the right support. That’s why we’ve created a platform that doesn’t just accept high-risk businesses, but helps them succeed.”

Just some of the tools and features you can benefit from include:

In the end, every business journey is a unique adventure. While high-risk businesses may face a steeper climb, the view from the top is all the more rewarding. By tackling challenges head-on and implementing strategic solutions, your high-risk venture can thrive in the face of adversity. So, go ahead – conquer those pain points and make your mark in the world of high-risk business!

Reach out to our experts today to get on board.

Martin Brindley author bio
Martin Brindley author bio

We've all been there – a customer adds products to their cart, only to vanish into the online abyss without completing the purchase. Frustrating, right? Well, that's what we call an abandoned cart. This is the cause of e-commerce brands annually losing $18 billion in revenue.

But fear not, because there are ways to turn those missed opportunities into successful sales! Here are our top tips on recovering abandoned shopping carts.

Abandoned cart email strategy: Best practices

One powerful tool is the abandoned cart email. A personalised message might be just what your customer needs to convince them to complete the purchase. Give them a gentle nudge to remind them of the benefits of the items they left behind with exclusive discounts or highlight the limited availability of the products to create a sense of urgency.

How to write abandoned cart emails

When it comes to crafting your abandoned cart emails, keep them friendly, concise and, most importantly, personalised. Let’s take a look at how your emails should be written:

  1. Start with a catchy and personalised subject line that sparks curiosity – they are 26% more likely to be opened.
  2. Use language that resonates with your brand and conveys a sense of urgency without being pushy.
  3. Include clear calls-to-action that make it easy for customers to return to their carts and complete the purchase.
  4. Include visuals so it’s quick and easy to digest.
  5. Use social proof so they can see what they’ll be missing out on.
  6. Add recommendations based on their abandoned products – perfect time to upsell.
  7. Offer an incentive – a deal they can’t miss!

When to send abandoned cart emails

Timing is key! Send your abandoned cart emails strategically. Aim for a balance – not too soon to seem intrusive, but not too late that the customer forgets about their cart. Consider sending the first email within 24 hours and follow up with a couple more spaced out over the next few days.

How to send abandoned cart emails

Choose an email platform that allows for automation to streamline your efforts. Ensure that your emails are mobile-friendly since many customers shop on their phones. Monitor the performance of your emails and adjust your strategy based on customer behaviour and feedback.

Example of an abandoned cart email

How successful are abandoned cart recovery emails?

You might be wondering, do these emails really work? The answer is a resounding yes! Cart abandonment emails have an impressive 41.18% open rate — easily beating the typical marketing email at 21%.

They have proven to be highly effective in bringing customers back to complete their purchases. By implementing a thoughtful strategy, you can significantly boost your conversion rates and revenue.

Are abandoned cart emails GDPR compliant?

Now, let's address the elephant in the room – GDPR compliance. Make sure your abandoned cart emails adhere to data protection regulations. Here are a few things you must do:

Other tools to recover abandoned carts

Although the most successful, email isn’t the only tool you can use to convince your customers to complete the transaction. Here are a few additional tips to include in your strategy:

So, with these tips, you’re ready to turn missed opportunities into successful sales! Why not go one step further and prevent them from getting to this stage with our tips on how to reduce abandoned carts?

In the ever-evolving landscape of finance, it's crucial for businesses like yours to stay informed about the tools and systems available. One major shift in recent years is the move towards open banking. But what does that mean for you, and how does it differ from traditional payment methods?

Traditional payment methods vs. open banking

#Before we start, let’s define what open banking is and what we mean by traditional payment methods.

Open banking is the latest development in the financial world. It’s simplifying the way consumers send and manage their funds through the use of real-time payments where the funds are transferred directly from the customer’s account to the merchant. It also utilises shared financial data with third parties so they can receive personalised recommendations from the services they use.

Whereas traditional payment methods, like card payments, include multiple agencies such as the card network, acquiring banks and payment gateway providers, etc. It’s often just a payment too without any additional services that open banking can provide.

Let's take a look at the key capabilities of both and how they differ.

Access to Data

Traditional payment methods: Within traditional payment methods, access to financial data is limited. The customer’s bank holds all the information, making it difficult for other financial institutions or merchants to access it.

Open banking: The best part about open banking is that it allows third-party financial service providers to access a consumer’s financial data (with their permission, of course). This means a variety of apps and services get a real-time view of their financial health, helping them make informed decisions.

Payments and transactions

Traditional payment methods: Transactions through traditional payment methods can have slow processing times and increased costs due to additional fees, including scheme fees. They may also not be the consumer's preferred payment method, making them less convenient.

Open banking: With open banking, transactions can be quicker and more cost-effective. The use of APIs (Application Programming Interfaces) allows for seamless integration between different financial systems, making transactions faster and more efficient.

Innovation and customisation

Traditional payment methods: These methods may lag in adopting new technologies and providing personalised services. The services offered are typically dictated by the financial institution.

Open banking: The beauty of open banking lies in its ability to foster innovation. Third-party developers can create applications that cater specifically to a customer’s needs, offering a level of customisation and innovation that traditional methods often struggle to match.

Security

Traditional payment methods: Traditional payment methods implement robust security measures, including strong customer authentication (SCA) such as a PIN or facial recognition, yet the threat of fraud and cyberattacks persists.

Open banking: Security is a top priority in the open banking ecosystem. The consumer has more control over which services can access their financial data because they must give consent before it can be shared, enhancing overall security.

Cross-border payments

Traditional payment methods: Cross-border transactions through traditional methods may involve multiple agents, leading to prolonged processing times and higher fees. But with the use of local acquirers, you can combat these challenges and increase your approval rate.

Open banking: Open banking facilitates cross-border payments with greater speed and cost-efficiency. Real-time access to international financial networks allows for swift and secure transactions, reducing the complexities associated with traditional cross-border payments.

Now, let’s take a look at the most popular traditional payment methods in comparison to open banking.

Open Banking vs card payments

When you make payments with cards, you need an extra step using a third-party gateway and the card network, adding more fees, longer processing times and potential security risks. But with real-time payments via open banking, the transactions are completed instantly. Businesses pay less in fees compared to credit card processing, and they get their money faster with instant confirmation.

Card payments are accepted worldwide, but open banking, with it being a new innovation, is not quite there yet. Not all financial institutions have adopted this payment technology, so it’s still very important that you accept both.

Diagram showing the flow of card payments and open banking payments

Open Banking vs Direct Debit/recurring payments

Direct Debits and recurring payments are hugely popular when it comes to those monthly bills. The automated functionality makes them easy and convenient.

However, open banking is coming through with variable recurring payments (VRP). They both require the customer to authenticate the first payment making them just as secure as the other.

Since VRP is an up-and-coming method and one that may still need implementation for some financial institutions as well as merchants, consumers may not trust it as much as the old-faithful Direct Debit.

Although there are a lot of perks to open banking and we believe it’s definitely a method you should consider offering, it’s still important to offer traditional payment methods too. New technologies take time to be fully adopted and gain customer trust, and of course, everyone has their own preference on which method to use, so providing both is key to keeping your customers happy.

Real-time payments have become the new norm, offering convenience and efficiency like never before. If you're wondering how to get operationally ready for this fast-paced financial landscape, you're in the right place! In this simple guide, we'll break down the steps to ensure you're well-prepared for real-time payments.

What are real-time payments?

In a world that thrives on instant gratification, real-time payments have emerged as a financial game-changer. Unlike traditional payment methods that involve waiting days for transactions to clear, real-time payments live up to their name by settling in seconds. This revolutionary approach to transferring funds and making payments is reshaping the way we handle our finances for both consumers and merchants.

How do real-time payments work?

Real-time payments operate on the principle of immediate transfer. When you initiate a real-time payment, the funds move from the sender's account to the recipient's account in a matter of seconds. This process is facilitated through advanced payment systems and technology that work seamlessly to ensure swift and secure transactions.

How to implement real-time payments into your business

Now that we’ve quickly recapped the meaning of real-time payments and how it works, let’s look at how you get started with it.

Choose the right payment platform

First things first, you'll need to choose a reliable payment platform that supports this feature. Many banks and financial institutions now offer real-time payment options, but you’ll want to find one that ticks all your boxes for your business’s needs including:

Update your systems

Once you've selected a payment platform, make sure your systems are up to date. This includes both hardware and software. Real-time payments require the latest technology to ensure seamless integration. Regularly update your devices and applications to avoid any compatibility issues that may arise.

Train your team

If you're a business owner, it's crucial to train your team on the ins and outs of real-time payments. Make sure everyone understands the new processes and is comfortable navigating the payment platform. This will help minimise errors and enhance overall efficiency.

Ensure security measures

With the speed of real-time payments comes the need for heightened security. Ensure that your chosen payment platform employs robust security measures such as encryption and multi-factor authentication. Educate yourself and your team on best practices for keeping financial information safe in the digital age.

Monitor transactions regularly

Real-time payments mean real-time monitoring. Keep a close eye on your transactions to detect any discrepancies or potential issues promptly and spot behavioural trends. Receiving alerts and notifications can also help you to stay on top of any suspicious activity.

Graph showing transaction volumes and the amount of failed transactions on Unified Platform

Stay informed on regulations

Financial regulations are constantly evolving, and it's essential to stay informed. Familiarise yourself with the rules and regulations governing real-time payments in your region. This knowledge will not only keep you compliant but also help you adapt to any changes in the financial landscape.

How can Nomupay help

We understand the importance of staying on top of the latest developments, that’s why we’ve partnered with Token.io; the leading provider of account-to-account (A2A) payments enabled by open banking. This partnership allows us to offer real-time payments to our merchants with complete ease.

On top of that, you’ll gain access to more than 300 acquiring banks, a fraud suite with 120 tools and a secure payment gateway collated in our all-in-one Unified platform to manage these transactions seamlessly.

Becoming operationally ready for real-time payments may seem like a daunting task, but with the right approach, it's a seamless transition. By following these simple steps, you'll be well-prepared to navigate the world of real-time payments confidently. Embrace the speed, convenience and efficiency that real-time payments offer, and watch your financial transactions unfold in the blink of an eye.

Are you ready to take on real-time payments? Speak to one of our payment specialists today!

Ah, the holiday season—a time of joy, celebration and, unfortunately, the lurking challenge of chargebacks. As a savvy business merchant, you're probably gearing up for the bustling shopping season. But are you ready for the potential uprise in chargebacks that often accompanies the festive frenzy? Fear not! In this guide, we'll walk you through the ‘whys’, ‘hows’ and ‘whats’ of chargebacks during the holiday season, and equip you with strategies to triumph over them.

Why do chargebacks increase during the holiday season?

The holiday season is often a double-edged sword for merchants. While the influx of eager shoppers can boost sales, it also brings about an unwanted increase in chargebacks- sometimes up to 50%. Understanding the reasons behind this surge is paramount:

1. Increased transaction volumes

With the holiday rush comes a surge in transactions. The sheer volume can lead to oversights, misunderstandings and a higher likelihood of chargeback disputes.

2. Impulse purchases and buyer's remorse

The festive spirit often leads to impulsive buying. However, once the glitter settles, buyers may experience remorse, triggering chargebacks as they attempt to undo their impromptu decisions.

3. Friendly fraud on the rise

Not everyone embraces the season of goodwill. Some individuals exploit the holiday fever through friendly fraud—false claims of unauthorised transactions, leading to unwarranted chargebacks.

What shopping trends are expected for 2023?

Before we deep dive into the nitty-gritty of managing chargebacks, let’s quickly run through key trends to be aware of in the ever-changing world of commerce. Here's what to expect in the upcoming shopping scene:

1. Rise of e-commerce dominance

E-commerce has been on a consistent upward trajectory for years. However, in 2023, it’s not just risen but dominated the retail landscape. In 2022, online sales accounted for 26.5% of overall retail sales in the UK, and this number is only expected to grow. As consumers continue to embrace online transactions, it's vital to align your strategies accordingly.

Merchant top tips:

2.  Mobile shopping takes center stage

With 60% of online sales expected to take place on mobile devices this year, it's undeniable that smartphones have become an integral part of the modern-day shopping experience. Consumers now lean on these devices for everything, be it researching products or sealing the deal with a purchase.

Merchant top tips:

  • Ensure your website is mobile-friendly to offer a seamless mobile shopping experience.
  • Consider leveraging mobile apps to enhance customer engagement and loyalty.

3. Demand for seamless payment experiences

Consumers today crave convenience and speed, especially when it comes to payments. The demand for smooth payment experiences is expected to drive changes in how merchants handle transactions.

Merchant top tips:

How can merchants win chargebacks this holiday season

Now that we've grasped the expectations of shoppers, let's not forget the flip side that can have a major impact on your bottom line. It's just as important, if not more so, to build robust chargeback-proof protection for the upcoming festive season, safeguarding your hard-earned revenue.

Invest in a chargeback defence suite

In the ever-changing world of e-commerce, having a chargeback defence suite is akin to wearing a suit of armor. Ethoca alerts, Verifi alerts and Rapid Dispute Resolution (RDR) mechanisms will serve as your trusty shields and swords in the ongoing battle against chargebacks:

Ethoca Alerts

Ethoca alerts provide real-time notifications of customer disputes, giving you a head start in addressing issues before they escalate into full-blown chargebacks. By tapping into a vast network of issuing banks, Ethoca enables you to resolve disputes swiftly, saving time, money and, most importantly, preserving customer relationships.

Verifi Alerts

Verifi alerts offer an additional layer of defence by notifying merchants of potential chargebacks before they officially hit. This preemptive strike allows you to proactively engage with customers, resolve issues and prevent chargebacks from tarnishing your business reputation.

RDR

Speed is of the essence when it comes to chargebacks! Implementing RDR mechanisms ensures that you can respond promptly to disputes, presenting compelling evidence and resolving issues before they escalate. This not only saves you money but further enhances customer satisfaction by demonstrating your commitment to swift issue resolution.

Set-up a tracking platform

Information is power, and in the battle against chargebacks, a comprehensive tracking platform acts as your strategic intelligence center through:

Transaction monitoring

Monitoring transactions in real-time allows merchants to quickly pick up on unusual patterns, high-risk activities or discrepancies. These can be flagged immediately, prompting proactive measures to prevent easily missed chargebacks.

Customer interaction tracking

Recording and analysing customer interactions will help you to build comprehensive customer profiles. Understanding consumers habits, preferences and communication history empowers you to address disputes more effectively, often preventing chargebacks through personalised resolution.

Use Compelling Evidence 3.0

When it comes to tackling chargeback disputes, evidence is your legal ammunition. The latest tool for merchants in combating unfair chargebacks is Compelling Evidence 3.0. It revolves around constructing a persuasive narrative that requires you to collect:

Detailed transaction records

Thorough documentation of transactions, including timestamps, product details and customer information. The more comprehensive the records, the stronger your case against unjustified chargebacks.

Customer communication history

Records of all communication with customers. From order confirmations to post-purchase support, a detailed history can help refute claims and showcase your commitment to customer satisfaction.

Stay on fraud alert

Remaining on high alert for potential fraud is crucial, given the connection between increased chargebacks and a rise in fraudulent cases. Here's how to stay vigilant:

Implement fraud detection tools

Invest in advanced fraud detection tools to identify and prevent suspicious transactions. Machine learning algorithms can analyse patterns and flag potentially fraudulent activities, giving you a proactive edge.

Continuous staff training

Educate your team about evolving fraud trends and prevention strategies. A well-informed staff can act as an additional line of defence, spotting red flags and taking preventive measures.

Regularly update security measures

Stay one step ahead of fraudsters by regularly updating your security measures. From encryption protocols to secure payment gateways, ensuring that your infrastructure is up-to-date. This minimises vulnerabilities and reduces the risk of fraudulent chargebacks.

Reassess your returns policy

A transparent and customer-friendly returns policy not only keeps your customers happy but also acts as an additional layer of protection against unwarranted chargebacks. Consider the following:

Clear and concise policy

Ensure that your returns policy is easily accessible, clearly communicated and written in a language that customers can understand. Ambiguity often leads to frustration, which can result in chargeback requests.

Hassle-free returns

Simplify the returns process to minimise customer dissatisfaction. The easier it is for customers to return items, the less likely they are to resort to chargebacks out of frustration.

Effective communication

Maintain open lines of communication regarding returns. Provide status updates, acknowledge returns promptly and ensure that customers feel heard and valued throughout the process.

Get started with Nomupay

Ready to arm your business against chargeback threats this holiday season? Nomupay is here to help! With a comprehensive suite of tools and services designed to tackle the nuances of chargeback management, our job is to help you overcome these challenges and come out on top.

Chargeback prevention isn’t just about protecting your bottom line; it's about fostering trust with your customers. By incorporating these strategies into your holiday season preparations, you'll be well-equipped to face the chargeback season head-on, protecting your business and fostering customer loyalty. Good luck for the busy season ahead!

Whether you’re a subscription service or an e-commerce business offering a repeat delivery of products, the security of recurring payments should be a top priority. You’ll need to safely gather, process and store your customer’s sensitive data.

In this blog, we’ll unravel the layers of protection surrounding these transactions and explore the secure payment methods that ensure your customers' data stays safe from cyber threats.

What's in this article?

How are recurring payments protected?

There are a range of technologies and tools used so you can manage recurring payments securely. Let’s take a look at the most effective:

PCI-Compliant solutions

Security concerns are one of the biggest causes of abandoned carts. So, maintaining the trust of your customers requires a commitment to the highest standards of data security. This is where Payment Card Industry Data Security Standard (PCI DSS) compliance comes into play. Although it’s mandatory to comply with these industry standards, such as implementing 3D Secure 2.0, to protect your customers' information, it also demonstrates your dedication to maintaining a secure environment. Displaying the PCI-compliant badge becomes a symbol of reliability in the eyes of your customers.

Tokenisation

As a merchant, you’ll understand the critical importance of safeguarding your customers' financial information. Tokenisation is your ally in succeeding with this. When it comes to keeping your customer's card information on file, by replacing sensitive data (like a credit card number) with a token (a random and unique string of data), you ensure that even in the event of a breach, the actual payment details remain inaccessible. Implementing tokenisation is a strategic move to strengthen your payment infrastructure and build trust with your customers.

Mobile checkout page with remember my details function

3D Secure recurring payments                                                                                             

Let’s go into more detail about 3DS2 payments. This authentication measure verifies a customer’s transaction via a number of ways, including a PIN, one-time passcode or facial recognition. This added security measure ensures the cardholder is who they say they are.

For more information on 3DS recurring payments, check out our blog on ‘What is 3D Secure authentication?’.

Secure payment gateway

Your payment gateway acts as the first line of defence against potential threats. Opt for a secure payment gateway that encrypts data during transactions, rendering it indecipherable to any unauthorised parties. This encryption not only protects your customers but also shields your reputation as a responsible and secure merchant.

Secure recurring payment methods

Now, let's delve into the methods that make recurring card payments secure for both merchants and customers:

Fraud prevention in subscription billing

Mitigating fraud is not just a customer concern; it's vital for maintaining the integrity of your business. Here's how you can actively contribute to fraud prevention:

Fingerprint recognition, facial recognition and one-time passcode icons for 3DS recurring payments.
  • Authentication protocols - Implement two-factor authentication (2FA) to verify the identity of users making changes or accessing their accounts, such as one-time passcodes and biometrics.
  • Alerts and notifications - Enable real-time alerts for both you and your customers. This proactive approach allows you to address any suspicious activities promptly, preserving the security of your payment ecosystem, as well as receiving early chargeback alerts so you can act quickly.
  • Regular audits - Conduct periodic reviews of your payment system to detect and rectify any irregularities. Proactive audits ensure that potential issues are identified and addressed before they escalate.
  • Enhanced reporting - With real-time data insights, you can stay on top of your customer’s transactions and spot behavioral trends, making it easier to detect suspicious activity. 
  • Create blacklists – You can deny payments from specific emails, IPs, countries, devices and addresses based on previous suspicious activity.

For more tips, check out our blog on how to prevent fraud in business.

Secure recurring payment processing

As merchants, the responsibility of protecting your payment processing rests in your hands. Embrace the advancements in technology that provide innovative and secure subscription payment solutions, whether it's tokenisation, PCI compliance or secure payment gateways.

As a payments provider, we offer all the tools needed so that you can prioritise the security of your customer's financial information to not only fortify your business against potential threats but also foster lasting trust with your customers.

So, merchants, rest assured that with these security measures in place, you can confidently offer recurring payment options, knowing that you're providing a secure and trustworthy experience for your valued customers. So, if you’re ready to offer seamless and secure recurring transactions, we’re ready to help you get started!

If you've ever wondered about the buzz around crypto payments and how to integrate them into your business, you're in the right place. Today, we're diving into the world of cryptocurrency payment gateways and how they differ from traditional payment gateways.

What is a crypto payment gateway?

First things first, what in the world is a cryptocurrency payment gateway? Just like a normal payment gateway, it verifies and facilitates transactions involving cryptocurrencies like Bitcoin and Ethereum. It's the bridge connecting buyers, sellers and the blockchain (the database in which all cryptocurrency transactions are recorded).

How do crypto payment gateways work?

Now, let's unravel the mystery of how these gateways operate. When a purchase is made using digital currencies, the payment gateway for cryptocurrency plays a vital part. Here's a basic rundown:

Crypto payments process in a diagram from the customer to the payment gateway to the blockchain to sale complete.
  1. Initiate the sale: Your customer decides to make a purchase using crypto. They choose the crypto payment option during the checkout.
  2. Processing the transaction: The payment gateway kicks into action, converting the purchase amount into the equivalent crypto value. It checks if your customer has enough crypto in their wallet to cover the cost.
  3. Verification on the blockchain: Once the payment is processed, the gateway verifies the transaction on the blockchain—no middlemen are involved. This decentralised process enhances security and transparency.
  4. Sale completion: Voila! The transaction is complete, and your customer walks away with their purchase. You, as the merchant, receive the payment in crypto—fast, secure and hassle-free.

Crypto payment gateway vs traditional payment gateway

Now, you might be wondering, "How is this different from traditional payment gateways?" Well, looking at the bigger picture, it isn’t, but there are a few details that stand them apart. let's break it down:

  • Decentralisation: Unlike traditional gateways, crypto payment gateways operate on decentralised blockchain networks. No central authority is overseeing the process, enhancing security and reducing the risk of fraud.
  • Global transactions: Crypto payments don't discriminate based on borders. With traditional gateways, you might encounter currency conversion issues and high fees when making international transactions. However, global crypto payments can be accepted quickly and with ease.
  • Transaction speed: Crypto transactions are known for their speed. No more waiting for days for your payment to clear; with crypto, it's often a matter of minutes.

Your crypto payment gateway solution

So, are you ready to dive into the world of crypto payments? Here are a few tips for finding the right gateway for you:

How Nomupay can help you accept crypto payments

To accept crypto as a payment, integrating a payment gateway that can facilitate these digital currencies is crucial. At Nomupay, we have partnered with Rocketfuel, a dedicated crypto payments processor that enables merchants to accept Bitcoin payments and other cryptos on their website.

By collaborating with Rocketfuel, our merchants can easily accept cryptocurrencies with our scalable payment gateway and gain access to more than 120 digital coins.

“Despite having a whole host of benefits, accepting crypto payments doesn’t come without its risks. That’s why we chose to partner with Rocketfuel; the advanced payment system helps us offer our merchants low fees, protection from price volatility and no chargebacks.”- Head of Specialist Sectors, Martin Brindley

So there you have it—a beginner's guide to understanding how crypto payments work. It's like having your own digital wallet, and with the right gateway, you can unlock a world of seamless, secure and borderless transactions. Get in touch with one of our specialists today and see how you can integrate cryptocurrency payments into your offering.

Martin Brindley author bio

In the ongoing fight against chargebacks, Visa’s latest Compelling Evidence (CE) 3.0 has officially entered the playing field. Let’s find out what this means for your business.

Chargebacks are on the rise

Cutting straight to the chase, Visa/Verifi has recognised a rising need to provide enhanced protection to shield merchants against the surging levels of fraud.

Measures need to be taken to combat the recent 30% increase in card-not-present (CNP) disputes. While it was to be expected that the huge surge in CNP Visa sales over the last few years would naturally lead to a rise in chargeback claims, it’s likely that the majority of these are not actually fraudulent. Instead, the cause seems to be down to ‘friendly fraud’; sometimes referred to as ‘named first-party misuse’.

What is friendly fraud?

Let’s quickly refresh ourselves on what friendly fraud actually is. Friendly fraud is a type of ‘false fraud’, and often arises when customers dispute a transaction they no longer recognise on their statement.

Purchasing digital goods is now so common it’s easy to lose track of every purchase and second-guess the source. Unfortunately, this backfires on the merchant who then has to cover the resulting chargeback costs. Customers may also deliberately exploit chargeback policies, attempting to claim fraud while holding on to the purchased product. This is essentially stealing!

Enter CE3.0: The solution for merchants

So, in a nutshell, friendly fraud is not something you should have to take liability for. This is where CE3.0 comes in. CE3.0 serves as the most recent update to the compelling evidence framework, designed to combat the unjustified chargebacks outlined above. With the worrying rise in friendly fraud disputes and subsequent low success rates for merchants, there’s now an urgent need for more robust mechanisms to fight these chargebacks fairly. Visa has introduced CE3.0 to tackle these challenges head-on.

What is compelling evidence?

Simply put, compelling evidence refers to the documentation that merchants must provide to refute a cardholder’s claim of a fraudulent transaction. In the case of friendly fraud, these chargebacks typically fall under reason code 10.4, Fraud-Card Absent Environment. A reason code is just a way of informing merchants why a customer has disputed a purchase. To overturn these claims, merchants must provide specific evidence to demonstrate the legitimacy of the disputed transaction.

What is Compelling Evidence 3.0?

Prior to CE3.0 there were already rules in place to help fight against chargebacks. CE3.0 aims to establish a more effective strategy that significantly improves merchants’ odds of winning ‘false fraud’ claims. The key difference is this:

CE3.0 guarantees a favourable outcome against chargebacks if you can provide proof of at least two previous undisputed transactions associated with the cardholder.

NOTE: CE3.0 can only provide protection for pre-disputes and disputes under reason code 10.4, Fraud-Card Absent Environment.

What are the benefits of Compelling Evidence 3.0?

You might still be wondering how this alteration will really make a difference to your business. Let’s break it down a bit further into the main benefits CE3.0 brings:

  1. It will strengthen your defence prior to chargebacks by linking previously undisputed transactions, increasing your chances of winning friendly fraud disputes and reclaiming lost revenue.
  2. CE3.0 can prevent some chargebacks from happening full stop. They’ll never reach the dispute stage and affect your chargeback ratio.
  3. The new requirements work in favour of the merchant, as previous evidence of non-disputes can now remain compelling beyond a certain cut-off point.

In essence, CE3.0 is a smarter tool that can shift liability away from you and onto the issuer, while simultaneously reducing operational costs, preserving revenue and maintaining low fraud and dispute ratios.  

However, like any set of rules, there are qualification criteria you’ll need to meet to benefit from CE3.0:

How do I qualify for CE3.0?

The first thing to keep in mind, as previously mentioned, is CE3.0 protection only applies to chargebacks categorised under reason code 10.4, Fraud-Card Absent Environment.

Then, as stated by VISA/Verifi, you’ll also have to meet both the below criteria:

  1. Present evidence of a minimum of two transactions on the same payment method that were settled at least 120 days before the dispute date. Transactions previously disputed as fraud are not eligible.
  2. Ensure at least two of the core data elements match between prior transactions and the disputed transaction, with one of the two being either the IP address or Device ID. Core data elements include User ID, IP Address, Shipping Address and Device ID.

In summary, Compelling Evidence 3.0 empowers you, the merchant, with a distinct advantage when it comes to dealing with friendly fraud cases. By diligently collecting the evidence necessary to bolster your case, you can expect to win more disputes and strengthen your position against potential future chargebacks.

Chargebacks are an unavoidable yet detrimental part of doing business, and understanding them is crucial for maintaining a healthy bottom line and a positive reputation. In this blog, we'll take a look at the most frequently asked questions on the topic to break down what chargebacks are and how you can navigate the often-tricky waters of these transaction disputes.

What is a chargeback?

A chargeback occurs when a customer disputes a credit card transaction and the funds from that transaction are returned to the customer. The responsibility to prove the legitimacy of the transaction falls squarely on the merchant's shoulders. Chargebacks can happen for various reasons, including fraud, billing errors, product dissatisfaction or unauthorised transactions.

Chargebacks can also be known as friendly fraud because, more often than not, a customer is making a claim with no legitimate reason to do so (other than being angry and impatient to get their money back), and without realising this is a type of fraud. That being said, a study discovered that 23% of consumers admitted to disputing purchases even though they received the item and were satisfied!

How do chargebacks work?

When a customer initiates a chargeback, their card issuer investigates the claim. As a merchant, you're required to provide evidence to support the transaction's validity.

If you fail to do so, you lose both the sale and potentially incur chargeback fees and penalties. Not only that, but excessive chargebacks can result in higher processing fees or, in severe cases, losing your ability to accept credit card payments.

Chargeback flow diagram

What do chargebacks mean for merchants?

Chargebacks can take a toll on your business. They directly impact your revenue and, indirectly, your reputation. The fees and penalties associated with chargebacks can quickly add up, affecting your profitability. A high chargeback ratio may even raise a red flag with your payment processor or acquiring bank.

That’s why it’s so beneficial to have tools in place to keep your chargebacks at a minimum, such as chargeback alerts.

How to dispute a chargeback?

If you believe a chargeback has been unjustly initiated, you have the right to dispute it. Gather all relevant documentation, such as receipts, proof of delivery, communication records and any other evidence supporting the legitimacy of the transaction. Present a compelling case to your payment processor, and be prepared for the possibility of a chargeback arbitration process.

What are chargeback reason codes?

Credit card chargebacks are accompanied by reason codes that categorise the cause of the dispute. Card schemes, like Visa and Mastercard, have their own codes for you to be aware of, however, common reason codes include "fraudulent transaction", "goods not as described" and "services not rendered". Understanding these codes is crucial for addressing the root causes and taking proactive steps to prevent recurring issues.

Chargeback limits

Every online business must not exceed chargeback limits set by Visa Europe and MasterCard International:

VISA - 0.9%
MasterCard - 1%

These limits are calculated based on the number of transactions made on a merchant’s online store. If the merchant exceeds the set limits, his account can be suspended or terminated, unless preventive measures are taken to reduce the volume of chargebacks.

How to prevent chargebacks

Prevention is the best defence against chargebacks. Here are some proactive steps you can take:

Chargebacks are a challenge that all merchants face, but they can be managed and minimised. By understanding how chargebacks work, actively working to prevent them and being prepared to dispute unjust claims, you can protect your business and maintain a strong reputation in the market. So, when it comes to chargebacks, knowledge is your best ally.

If you've been keeping an eye on the digital world, you've probably noticed how TikTok has been creeping into the e-commerce space. The popular short-form video platform has evolved beyond lip-syncing and dance challenges to become a potential rival to e-commerce giant Amazon.

Let's explore what TikTok's e-commerce is all about, its expansion, how it stacks up against Amazon and whether it's worth considering for your online business.

What is TikTok e-commerce?

TikTok, originally known for its entertaining and often humorous video content, is making a significant mark in the world of e-commerce. TikTok's e-commerce is all about merging entertainment and shopping in a seamless experience. Users can now discover, browse and purchase products directly from their favorite TikTok creators, making the shopping process more engaging and personalised.

With the eruption of social commerce that has been a big success for other platforms, like Instagram, it’s not surprising that TikTok has swayed in that direction too.

TikTok’s e-commerce expansion

TikTok has big plans to expand its global e-commerce business this year. It’s been reported that it predicts its merchandise sales will grow from last year’s $4.4 billion to $20 billion!

  • In-app shopping links: TikTok introduced in-app shopping links, allowing users to tap on a product featured in a video and purchase it within the app. This convenience boosts impulse buying and encourages users to explore products.
  • Creator partnerships: TikTok has fostered collaborations with influencers and creators to showcase products in entertaining ways. These creators can share their favorite products and encourage their followers to make purchases through affiliate links, creating a win-win situation for both creators and brands.
  • Live shopping: TikTok Live has become a hotspot for real-time shopping events. Brands host live shopping sessions, giving users the opportunity to ask questions, see products in action and make immediate purchases, similar to the QVC-style shopping experience.
TikTok live shopping on mobile phone

How does it compare to Amazon?

TikTok and Amazon are two entirely different platforms, but they are both making a significant impact on e-commerce. Let's compare them:

Although TikTok is flying high right now within the e-commerce space, can it really compete with Amazon? Well, only time will tell, but I don’t think Amazon has too much to worry about just yet since its demographic is much bigger and the user experience is completely different.

Is it worth selling on TikTok?

If you're an e-commerce entrepreneur wondering whether TikTok is worth your time and effort, here are a few factors to consider:

Overall, TikTok's e-commerce presence is making waves, and while it may not entirely replace Amazon, it offers a unique and exciting way for brands to engage with their audience. If your business appeals to a younger demographic and you're willing to get creative, TikTok could be a worthwhile addition to your e-commerce strategy. So, why not give it a shot and see if your products can go viral on the latest e-commerce sensation? Happy selling!

Gone are the days when you could only accept cash or cheques as a form of payment. In today's digital age, the world of commerce is evolving faster than ever with more online payment options than we could’ve imagined.

For merchants, adapting to these changes is not just a choice; it's a necessity. Online payment methods have become a cornerstone of modern business, and in this blog, we'll explore the ins and outs of these payment solutions and which methods are an absolute must to offer your customers.

What’s in this article?

What are online payment methods?

It’s pretty simple, but just so we’re all on the same page, let’s recap what an online payment method is. Online payment methods are digital alternatives to traditional forms of payment, e.g. cash and card, designed to streamline transactions for both customers and businesses. They allow your customers to pay you swiftly and securely, enhancing their shopping experience and, consequently, boosting your sales.

With a huge shift from brick-and-mortar stores to e-commerce websites, the way consumers pay had to shift too, to meet the change in customer expectations.

Best online payment options

These days, there are so many payment options to choose from. In fact, we have more than 198 alternative payment methods! But which ones you choose to offer will depend on the location of your business, your business model and your customer's preferences. Let’s take a look at the most popular options:

Credit and debit cards

In today's digital landscape, credit and debit cards have stood the test of time, making them a popular choice for online payments. Introducing a card payment system enables you to seamlessly accept online payments, with Visa, MasterCard and American Express ranking among the most widely used choices.

Digital wallets

Digital wallets are the most extensive with so many different ones to choose from. They provide the convenience of one-click payments and are ideal for mobile payments. Popular services include Apple Pay, Google Pay and Samsung Pay.

PayPal

A digital wallet that deserves its own section is PayPal; widely recognised and used by millions. Integrating PayPal into your website or store can open the door to so many possibilities and a broader customer base. It’s reputation cannot be ignored; it’s status as being one of the biggest digital wallets around, along with PayPal's Buyer Protection programme, makes it an option customers trust.

Alternative payment method logos

Bank transfers

Bank transfers have often been ideal for larger transactions. But with real-time account-to-account payments increasing in popularity with the development of open banking, these types of payments are becoming more widely used for all sorts of payments.

Cryptocurrency

For tech-savvy and forward-thinking merchants, cryptocurrencies like Bitcoin and Ethereum offer a decentralised, secure payment method.

What is the most secure online payment method?

Security is paramount in the digital realm. Credit cards, digital wallets and the functionality needed to take payments online, such as a payment gateway, are renowned for their robust security features, including encryption and fraud prevention tools. Since all online payment methods are required to comply with the Payment Services Directive Two (PSD2) and will need to complete some form of authentication, customers can rest assured that their transactions will be safe.

The only online payment method that may need a bit more attention to remain secure is cryptocurrency payments. Although they are secure, crypto will require a deeper understanding to ensure safe transactions since they don’t fall under the same regulations as the rest.

Benefits of accepting online payments

We’ve mentioned that it has become a necessity to accept online payments, but what are the real benefits?

A dashboard showing that revenue has increased
  • Boosted sales: Offering a variety of online payment methods attracts a broader customer base and increases sales potential.
  • Convenience: Streamlining payments makes for a happier customer experience, encouraging repeat business.
  • Global expansion: Online payments break down geographical barriers, enabling you to cater to customers worldwide.
  • Efficient record-keeping: Online transactions come with automated digital receipts and records, simplifying your bookkeeping processes.
  • Beat the competition: By staying up to date with the latest payment methods, you’re putting your business in good contention with your competitors.

Challenges with accepting online payments

Like anything to do with payments, and business in general, of course, accepting online payments doesn’t come without its challenges. Here are the key areas for you to be aware of:

Why are online payment services necessary for merchants?

In the ever-evolving world of commerce, online payment services are essential for merchants. They provide convenience, efficiency and the opportunity to tap into a global market. While there are challenges, the benefits far outweigh them, making it a step forward that no business can afford to miss.

So, if you’re ready to embrace the future and integrate online payment solutions into your business model, then get in touch. Your customers will thank you and your business will thrive in this new era of commerce.

Open banking is the latest development in the financial world and is set to be a game-changer, offering a host of advantages to both merchants and customers alike.

With this new approach, financial institutions can now utilise the data they have stored (with the customer’s consent) to drive innovation and help solve real-life financial problems for businesses and individuals.

Before we delve into the advantages of open banking, if you want more of an overview, then you can check out our ‘What is open banking?’ blog.

Open banking benefits for Merchants

First, let’s take a look at how open banking can benefit you, the merchant, and how it’s tackling the key pain points that can often arise.

1.     Lower transaction costs

Traditional payment methods, especially credit card transactions, can come with high processing fees. Open banking transactions typically have lower associated costs, making it an attractive option for businesses.

2.     Enhanced security

Open banking prioritises security, offering advanced authentication and encryption measures. Merchants benefit from reduced fraud risks, resulting in a more secure and reliable payment ecosystem.

3.     No chargebacks

On top of the added security, as a merchant, you’ll be thrilled to discover this benefit; there are no chargebacks within open banking. Chargebacks are one of the biggest pain points within a business and can be costly, so it’s significantly beneficial for merchants that customers cannot claim chargebacks when using account-to-account (A2A) payments.

4.     Access to rich customer data

Open banking allows merchants to access detailed customer transaction data with their consent. This information provides valuable insights into customer behavior, enabling businesses to tailor their products and services more effectively.

5.     Faster settlements

In traditional payment systems, it can take days for funds to reach a merchant's account. Open banking accelerates this process, allowing for quicker access to funds. These real-time payments are a significant benefit for businesses, improving cash flow management. Its popularity is shown by how quickly it’s been adopted with 195 billion transactions in 2022.

Open banking benefits for customers

Now, let’s see what the benefits of open banking are to your customers and how this new development can offer them a smoother experience, encouraging loyalty and trust.

1. Simplified account management

Customers often have accounts with multiple banks and financial institutions, making it challenging to keep track of their finances. Open banking consolidates all these accounts into one easy-to-use interface, simplifying account management and saving time.

2. Smart budgeting and financial insights

Open banking apps and tools help customers budget and save more effectively. By automatically categorising spending and offering financial insights, customers can gain better control of their finances and make informed decisions.

Loan approved notification

3. Secure and convenient transactions

Customers benefit from the convenience of A2A transactions, powered by open banking, by enjoying secure, one-click payments. The fact that a customer's information can only be shared with their consent, combined with the use of biometric authentication methods, like fingerprint or facial recognition, transactions are both secure and effortless.

4. Access to better financial products

Open banking enables customers to easily compare various financial products, such as loans, savings accounts and credit cards. This empowers individuals to find the best deals and make financially sound decisions.

5. Inclusive access to credit

Open banking is available to anyone with a bank account, making it an inclusive approach for all users to gain access to credit. Its holistic approach to credit assessment considers more than just traditional credit scores. This inclusive method allows a broader range of customers to access credit, helping those who might have been previously excluded.

The risks of open banking

Like any financial approach, despite its extensive list of benefits, open banking does not come without its challenges; trust being the biggest one. With any new development, it can take time for consumers to get on board, particularly the older generation. Consenting to have their financial information shared can raise risk concerns, so as a merchant, it can be a challenge to put them at ease and advise them of its security.

Other challenges for both merchants and consumers that shouldn’t be overlooked include:

In embracing open banking, it's crucial to be aware of the risks as well as the benefits. As a merchant, ensure you are up to date on the latest regulations and developments within this latest approach to payments to make sure both your business and your customers remain financially secure.

In conclusion, open banking is a win-win for both merchants and customers. It streamlines payment processes for businesses, offering cost savings and enhanced security. Simultaneously, it simplifies the financial lives of individuals, providing them with greater control over their money and investments and access to a wider range of financial services. Open banking is indeed an innovation that benefits all sides of the financial equation, making transactions smoother, safer and more efficient for everyone involved.

Are you ready to upgrade your payment solutions with open banking? Check out how we’ve partnered with Token.io to offer you A2A capabilities or get in touch with one of our specialists to discuss your options.

In a world where technology is evolving at breakneck speed, the use of Artificial Intelligence (AI) in e-commerce has become increasingly prominent. Many online retailers are harnessing the power of AI to enhance their customer experiences, streamline operations and boost sales. But is it the right move for your business?

In this blog, we'll explore the advantages and potential of integrating AI into your e-commerce website, and help you decide whether it's a step worth taking.

How to use AI in e-commerce

AI-driven tools are great to have in your locker to help track and analyse customer behaviour, giving you valuable insights to refine your marketing and sales strategies. Integrating the technology into your website can be achieved in various ways:

Inventory management

Effective inventory management is essential for success. AI can help you optimise your inventory by analysing historical data, current demand trends and even external factors like the weather or Black Friday.

With this information, you can use the algorithms to accurately predict demand to ensure you’re never under or over-stocked, improving order fulfillment for your customers.

Demand forecasting

AI's predictive capabilities extend beyond inventory management into demand forecasting. By learning from past sales data and external variables, AI can anticipate customer demand, identify market trends and provide you with insights to optimise your supply chain, reducing costs and improving overall efficiency.

Pricing optimisation

Pricing is a critical factor in the competitive world of e-commerce. So you’re never way off the mark, AI can assist in setting the right prices for your products through:

Fraud detection

E-commerce businesses are susceptible to fraudulent activities, and AI plays a vital role in identifying and preventing them. By analysing patterns and machine learning, AI-powered fraud detection can spot suspicious activity and flag them in real-time, as well as reduce the amount of false positives so genuine customers don’t get declined. Therefore, bolstering your security measures, protecting both your business and your customers from fraud-related risks.

How to leverage AI to enhance customer experiences

Not only can AI help with the logistics of running your business, but it also has the incredible ability to understand and cater to individual customer preferences. By analysing customer data, the technology can anticipate what a shopper is looking for, making the shopping process smoother and more enjoyable. This, in turn, can increase customer satisfaction and loyalty.

Let's explore how you can leverage this advanced technology to create tailored, seamless and memorable customer experiences.

Offer personalised recommendations

One of the most significant advantages of AI in e-commerce is its ability to provide personalised product recommendations. Here's how it works:

E-commerce product suggestions feature
  • Customer profiling: It analyses a customer's past behaviour, such as browsing history, purchase history and product views, to build a comprehensive customer profile.
  • Predictive algorithms: Using sophisticated predictive algorithms, AI can suggest products that are highly likely to appeal to each customer, increasing the chances of making a sale.
  • Dynamic suggestions: These recommendations can be dynamically updated in real-time, ensuring that customers are shown the most relevant products at any given moment.

Personalised recommendations not only enhance the customer's shopping experience but also drive sales by showcasing products that genuinely interest them. Customers feel understood and valued, which can lead to increased loyalty and repeat business.

Optimise search results

The search bar is a critical tool for customers navigating your website. AI can improve the search experience in several ways:

By optimising search results, you make it easier for customers to find the products they want, reducing frustration and increasing the likelihood of conversion.

Create customised shopping experiences

Artificial Intelligence can take customisation to the next level by tailoring the entire shopping experience to each customer:

By offering custom-tailored shopping experiences, you not only increase the chances of a purchase but also make customers feel valued and understood, fostering loyalty and trust.

How AI can improve conversational commerce

Conversational commerce, which involves interacting with customers through chatbots and virtual assistants, is another area where AI shines. These AI-driven chatbots can provide instant support to customers, answer their questions and guide them through the purchasing process. This not only saves time but also provides customers with quick, efficient and 24/7 support, making their shopping experience hassle-free.

It’s a great tool for voice-commerce too, which falls under the conversational commerce umbrella, utilising its intelligence from the consumer’s search history to provide the most relevant results.

Chatbot for size guide query

Benefits of AI in e-commerce

If the above isn’t enough to convince you that AI comes with a whole host of benefits for your e-commerce website, here’s an overview of the beneficial outcomes to convince you:

Examples of AI e-commerce

Let's take a look at some real-world examples that are successfully using AI in e-commerce:

Is AI the future of e-commerce?

The use of AI in e-commerce is undoubtedly on the rise, and it's shaping the future of online retail. As technology continues to advance, AI's role in e-commerce will likely expand even further. While it might not be a necessity for everyone, it's worth considering how AI can benefit your specific operation and goals to take your business to the next level.

In recent years, the way you can monetise the gaming industry has opened up so many opportunities, particularly as gaming payment options evolve, including the switch from one-time payments to recurring transactions. Mobile games initiated this trend with its ‘freemium’ model, enticing more in-game payments. But as this sector evolves, so should your strategy.

The gaming industry has unique requirements when it comes to gaming payment processing and creating a successfully optimised checkout flow. Whether you're a developer, a publisher or just a passionate gamer, understanding and enhancing the payment experience can make all the difference. Throughout this blog, we’ll be focusing on payment tips for gaming marketplaces and resellers.

So, grab your controller, and let's power up your payment strategy!

What’s in this blog:

Reducing friction in online gaming payments

When it comes to gaming, one thing is for sure: time is precious. Gamers don't want to waste it fumbling through complicated payment processes. So, first things first, you need to understand what the pain points are and how to reduce this friction to keep gamers happy.

Here are your quick wins to do just that:

User-friendly gaming payment experiences

A seamless user experience is essential in the gaming industry. Your customer’s just want to get on with playing their favourite games, so the less time possible dealing with the payment side of things, the more time they get to spend doing what they love.

Here's how to ensure gamers have a smooth ride from selection to payment:

  • Mobile optimisation: Gamers are mobile-savvy. Make sure your payment interface is mobile-friendly for gamers on the go.
  • Guest checkout: Offer the option to pay as a guest. Not everyone wants to create an account.
  • Localisation: Being able to change the language used is the bare minimum. You should also allow your gamers to choose the preferred payment method and currency from their region.
Gaming mobile checkout page

Gaming payment security and fraud prevention

Security is a top concern for gamers, and rightfully so. To protect both your customers and your business, consider these security and fraud prevention measures:

Emerging gaming payment technologies and trends

The gaming industry is dynamic, and payment methods are evolving rapidly. Here are some exciting trends to keep an eye on:

How can Nomupay optimise your payment strategy?

Nomupay delivers tailored payment solutions for gaming businesses. With our range of local acquires and third party connections all over the world, our payment solution will offer you global capabilities whilst keeping any processing downtime to an absolute minimum. With more than 200 alternative payment options, we can help you customise a solution with flexible pricing that aligns perfectly with your business model.

Simplify your gaming payment solutions, consolidate detailed transaction data and access a comprehensive fraud prevention suite, all within our unified platform. This seamless integration empowers you to effortlessly optimise your payment strategy to keep your gamers gaming, and most importantly, paying.

Find out more about our gaming payment solutions.

Optimising the online gaming payment experience is vital in the ever-evolving gaming industry. By reducing payment friction, providing user-friendly experiences, enhancing security and staying up to date with payment trends, you can create a payment strategy that truly levels up your gaming business.

Need a hand implementing these strategies? Speak to one of our specialists and we’ll have your payments as smooth as your gaming skills in no time!

Have you ever wondered why some people prefer certain recurring payment options over others? Well, the answer might be closer to home than you think. Location plays a significant role in shaping our recurring payment preferences.

In this blog, we'll explore how different regions view and choose their recurring payment options, including the challenges of cross-border transactions which are crucial to overcome if your business goals include global expansion.

What's in this article?

Recurring payment options

Recurring payments are automatic, regularly scheduled transactions that make our lives easier. From subscription services like Netflix and Spotify to utility bills and gym memberships, they've become an integral part of our financial routines. But, the local payment methods people prefer can vary depending on where they live.

Here's a list of common recurring payment methods:

Preferred payment method options
  • Credit/debit card payments: The most popular and most simple recurring payment option is made using a card. The cardholder authorises the business to charge their credit or debit card for the specified amount at regular intervals.
  • E-wallets: Mobile wallet apps like Apple Pay, Google Pay and Samsung Pay can store payment information for recurring transactions. Users can set up automatic payments through these apps.
  • Cryptocurrency payments: Some businesses and online services now accept cryptocurrencies like Bitcoin for recurring payments. Users set up automatic transfers from their crypto wallets.
  • Recurring invoices: Businesses can send recurring invoices to clients, who then make payments using their chosen payment method (e.g. credit card).
  • Direct Debit: Slightly different from a recurring payment, but falls under the same umbrella, are Direct Debits; a bank-based payment method where the payee (e.g., a business or service provider) automatically withdraws funds from the payer's bank account on a regular basis, with their authorisation.
  • ACH payments: In the United States, Automated Clearing House (ACH) payments are electronic transfers between bank accounts. They are commonly used for recurring transactions such as utility bills and mortgage payments.
  • SEPA payments: Single Euro Payments Area (SEPA), similar to ACH, is a payment system that enables electronic money transfers between banks within the EU.
  • Standing orders: A standing order is an instruction given by an account holder to their bank to make regular payments of a specified amount to a particular payee. It's commonly used for rent or mortgage payments.

These recurring payment options offer flexibility and convenience for both consumers and businesses, catering to a wide range of preferences and needs. It’s advisable to offer more than one payment method, not just for consumer preference, but also in case one payment fails it can fall back on another.

Recurring payment preferences by region 

Each region has its own cultural differences, so it’s no surprise that they will have their own differences when it comes to payments too. For example, some regions may have a stronger preference for traditional banking methods due to a historical trust in banks, while others may embrace newer fintech solutions due to a culture of innovation.

These preferences can make all the difference in whether a region will adopt or reject the latest trends and technologies.

On top of that, each region will have its own security procedures. For example, the European Union's General Data Protection Regulation (GDPR) has influenced consumer payment preferences by emphasising data protection and privacy.

Mobile checkout setting up a recurring payment

To give you a few examples, let’s take a look at the recurring payment preferences for the UK, UAE and Europe according to a YouGov survey.

Recurring payments in the UK         

In the United Kingdom, debit cards are the recurring payment method that reigns supreme, even more so than credit cards. They’re simple, reliable and widely accepted. Many Brits prefer this method for everything from paying their rent to supporting their favourite charities. They’re a breeze to set up, and they provide a level of financial control that suits the British sensibility.

Although, that doesn’t mean you should forget other payment methods. APMs like digital wallets, are also very popular, particularly with the younger generation and must be included in your offering.

Recurring payments in the UAE

Now, let's jet off to the United Arab Emirates (UAE) to discuss their preferred payment options. Here, credit card-based recurring payments are quite popular. The UAE is known for its modern, tech-savvy population, and credit cards are the go-to payment method for many. It allows them to enjoy the convenience of recurring payments while earning rewards and cashback on their spending.

Pay by links are also popular, so recurring invoices, allowing them to pay when it's convenient for them, is something you should consider.

Popular recurring payment options in Europe

Europe is a diverse continent, and payment choices across the different countries can vary. However, in general, Europeans tend to favour SEPA Direct Debits for recurring payments. SEPA makes it easy to set up automated payments across Eurozone countries, eliminating the need for different bank accounts and payment methods for each country.

Cross-border recurring payment challenges

Cross-border recurring payments can be a bit of a headache. When you're dealing with different currencies, time zones and financial regulations, things can get complicated. This often leads to individuals and businesses in one country preferring certain payment methods to avoid the hassle of dealing with international transactions.

Common challenges associated with cross-border recurring payments include:

Currency convertor graph of Euro to Dollar
  • Currency conversion costs: Converting funds from one currency to another can lead to currency exchange fees and unfavourable exchange rates, causing additional expenses for both the customer and the merchant.
  • Fluctuating exchange rates: Exchange rates can fluctuate, impacting the amount transferred and potentially leading to unexpected variations in payment amounts and financial losses.
  • Regulatory compliance: Different countries have varying regulations related to international recurring payments. Ensuring compliance with these regulations can be complex and time-consuming.

How to combat these challenges

Although it may seem like there are a lot of challenges when it comes to cross-border transactions, there is a simple solution; use local acquirers. By using acquirers based in the countries you want to process in, you can increase approval rates, decrease processing times and limit the amount of fees you’re charged.

But how do you go about achieving this? With the right payment processing service you can easily expand your business to accept global payments. At Nomupay, we offer a multi-acquiring strategy that enables you to connect to a network of hundreds of acquirers. On top of that, we offer more than 198 alternative payment methods, so you can easily let your customers pick their method of choice.

How does open banking affect recurring payments by location?

Location is not the only factor influencing recurring payment preferences; the rise of open banking has also played a significant role in how people manage their finances. It gives us more choices, real-time updates and makes cross-border transactions easier. It's secure and trusted, but its availability varies by region, with the UK and parts of Europe leading the way.

Understanding how open banking is being embraced in the location you want to expand your business to can significantly impact your recurring payment options. It's an exciting development that provides enhanced choices and convenience, making it easier for individuals and businesses to manage their finances and automate payments.

Conclusion

Location matters when it comes to recurring payment preferences. The ease and convenience of certain payment methods can be a game-changer, and people tend to stick with what works best in their region. Whether it's the simplicity of Direct Debit in the UK, credit cards in the UAE or SEPA Direct Debits in Europe, location shapes your customer’s payment habits.

So, the next time you're pondering how to improve your recurring payments solution, take a moment to consider where you’re processing. Your location might just hold the key to the most convenient and hassle-free payment method for you. And if you’re ready to optimise your payment package to boost your monthly recurring revenue, why not get in touch and we’ll see how we can help you expand internationally.

A few late payments here and there may not seem like a big deal. But, when you’re a small to medium enterprise (SME), these late payments can make or break your business. Especially when it’s a larger payment as this affects their cash flow at a greater rate. Just last year, 37% of SMEs in the UK applied for credit to manage their cash flow due to late payments.

We'll explore how these delays affect small businesses, share some tips on managing and reducing late payments effectively, and discuss ways in which SMEs can adapt to this common challenge.

How do late payments affect small businesses?

Late payments can have a domino effect on SMEs, causing a cascade of problems. Let's take a closer look at some of the most significant ways they impact small businesses:

Cash flow crunch: When payments from clients or customers are delayed, it can disrupt your cash flow. This makes it challenging to pay your own bills, employees and suppliers on time, potentially leading to financial strain.

Limited growth: Late payments can hinder your business's growth potential. Without a consistent and reliable inflow of funds, it's difficult to invest in expanding your operations, hiring new talent or launching new products and services.

Increased borrowing: To cover operational expenses during cash flow gaps, SMEs might resort to borrowing money, often in the form of high-interest loans. This, in turn, can lead to increased debt and financial stress.

Strained supplier relationships: If you're unable to pay your suppliers promptly due to late payments from customers, it can strain your relationships with these critical partners, potentially affecting the quality and availability of your products or services.

Wasted time and resources: Chasing down late payments consumes valuable time and resources that could be better spent on growing your business. It's frustrating to have to play the role of a debt collector.

Ways to manage and reduce late payments effectively

Now that we understand the negative impact of late payments, let's explore some strategies to manage and reduce them effectively:

Clear payment terms: Set clear and concise payment terms from the beginning of any business relationship. Ensure your customers understand when and how they should make payments.

Invoicing automation: Use invoicing software that automates the invoicing process and sends reminders for overdue payments. This can save you time and reduce the chances of payments slipping through the cracks.

Offer incentives: Consider offering early payment discounts to encourage customers to pay on time. Conversely, you can charge interest on late payments to create a financial incentive for timely settlement.

Email payment reminder

Credit checks: Before engaging with new clients or customers, perform credit checks to assess their financial stability. This can help you identify potential late payment issues in advance.

Communication: Maintain open lines of communication with your customers. If they're experiencing financial difficulties, they may be more likely to inform you if they feel you understand their situation and are willing to work with them.

Invest in the right payment service provider: A PSP can have all the tools you need to implement these tips. Finding the right one can help you increase timely payments as well as reconcile any that slip through the cracks.

How can small businesses adapt to late payments?

Adaptation is the key to survival in the world of SMEs, and late payments are no exception. Here are some ways small businesses can adapt to this common challenge:

Build a cash reserve: Establish an emergency cash reserve to help you weather periods of late payments. This buffer can cover essential expenses and prevent you from resorting to costly borrowing.

Diversify your client base: Don't rely too heavily on a single client or industry. Diversifying your customer base can help reduce the impact of late payments from a single source.

Flexible payment options: Offer flexible schedule options to your customers. This can make it easier for them to manage their transactions and reduce the risk of late payments.

Legal recourse: If all else fails, be prepared to take legal action as a last resort. Consult with a legal professional to understand your rights and options in pursuing overdue payments.

How Nomupay can help

So, we’ve established timely payments to help maintain a healthy business, but how do you achieve it? That’s where we come in. With our recurring payment solution, we offer a range of features to make sure your revenue keeps coming in, including:

To find out more about each feature, head to our recurring payments page for all the information you need.

To conclude, late payments can be a significant headache for SMEs, but with the right strategies and a proactive approach, you can minimise their impact and keep your business on a steady path to growth. Remember that adaptability and effective communication are your allies in managing late payments and ensuring your business thrives.

Our payment specialists are ready to help you tackle this issue, so get in touch.

2023’s Black Friday/Cyber Monday (BFCM) is gearing up to be the biggest one yet! Just last year alone, this shopping extravaganza season raked in sales reaching £12.3 billion, marking an impressive 8.3% increase from the previous year.

Now, you might wonder why people are splurging when the cost of living is on the rise. Well, today’s savvy shoppers understand the art of seizing those limited-time deals and discounts that BFCM is famous for. They know that these extra savings are needed, especially as they get ready for wallet-draining occasions like Christmas. So, now more than ever, it’s crucial to understand what your customers expect and how to entice them to choose you over your competitors during BFCM.

The rise in cart abandonment during Black Friday

So, how exactly can your business make the most of this year’s BFCM? Well, we’re here to help you out with the part that matters the most! No matter the marketing, flash sales and cross-selling, at the end of the day it all comes down to that final click. It’s important not to the forget this! All your previous hard work makes no difference unless a conversion is made.

However, during last year’s UK Black Friday sales, the average cart abandonment rate rose to about 80% a day! While some cart abandonment is an unavoidable part of any shopping experience, these stats clearly show there’s still room for improvement when trying to boost conversions this BFCM.

The top reasons for cart abandonment in 2023

Let’s start by diving into the top, most recent reasons for cart abandonment. The Baymard Institute lists the following five main reasons UK customers abandon their carts:

  1. 47% turned away from extra charges for shipping and taxes.
  2. 25% didn’t want to create an account.
  3. 24% found the delivery was too slow.
  4. 19% were concerned about giving their credit card information to the site.
  5. 18% found the checkout process too long/complicated.

In the grand scheme of things, many of the factors that might send your customers packing happen right at the checkout page. But there’s no need to break a sweat just yet! The remedy? Invest some effort in making sure your e-commerce website boasts a checkout process so smooth and effortless that customers won't even have a moment to contemplate abandoning their carts.

Still feeling overwhelmed? Don’t worry! All you have to do is follow the checklist below, and you'll see your cart abandonment rates plummet while your conversions soar:

How to improve your checkout page this Black Friday and beyond

It’s no secret that traditional credit card payments are no longer the sole option that consumers rely on. Nowadays, your customers seek diversity in payment choices, from mobile wallets like Apple Pay and Google Pay to buy-now-pay-later services such as Klarna and Afterpay.

By integrating these APMs into your checkout process, you’ll accommodate a broader audience, making it much easier for customers to complete their transactions. Say a customer is browsing your Black Friday deals, only to hesitate at the checkout due to limited payment options. With APMs in place, you eliminate this hurdle, boosting your chances of conversion!

Let’s take a look at another scenario. A shopper from halfway across the globe stumbles upon your Black Friday deals, excited to snag some incredible bargains. But when they reach your checkout page, they're greeted with a foreign language and an unfamiliar currency. This sudden roadblock can be disheartening and might just be the reason they abandon their cart. That's where the magic of catering to your customers' preferences comes into play. By displaying prices in their preferred currency and presenting information in their language of choice, you're not just simplifying their shopping experience; you're also creating a sense of connection and trust that will keep them coming back long after Black Friday. Your customer will feel like you've gone the extra mile to make their experience tailored to their needs.

In this modern age, friction is no longer tolerated. When customers are relying on a limited-time, discounted Black Friday purchase, the last thing they want is to encounter a seemingly endless series of form fields, demanding every detail from their first name to their grandmother's shoe size. Frustration sets in, and the temptation to click away becomes all too real.

To prevent this common checkout hurdle, optimising your process is key. Start by trimming down the unnecessary fields and asking for only the essential information. Utilise smart auto-fill options and save customer details for future purchases, reducing the need for repetitive data entry.

Here's the deal: PCI-DSS (Payment Card Industry Data Security Standard) compliance, is non-negotiable when handling customer payments. It's a set of stringent security standards that ensure the protection of sensitive payment information. If your checkout page isn't compliant, you risk exposing your customers' financial data to potential breaches and, worse, facing legal and financial repercussions. As you gear up for Black Friday and the holiday shopping period, make PCI-DSS compliance a top priority. It's not just a technicality; it's a vital safeguard for your customers and your business that should never be overlooked.

Why does transparency matter? It’s the cornerstone of trust in e-commerce. Customers want to know exactly what they're paying for, including any additional fees or charges. Failing to be upfront can lead to frustration, cart abandonment and erode trust in your brand. So, before the holiday rush hits, double-check that you clearly outline all costs, shipping fees and any taxes. Ensure that your return and refund policies are easily accessible and understandable. Transparency isn't just a buzzword; it's a commitment that pays dividends in customer loyalty and satisfaction.

Black Friday is no longer confined to the United States; it's a global event, with many countries eagerly joining the frenzy. Shoppers worldwide are on the lookout for great deals, and they're increasingly turning to online stores for their purchases. One powerful tool at your disposal is selling internationally. By incorporating pay by links into your checkout process, you make it easier for customers from around the world to partake in your Black Friday offers.

Pay by links accommodate various currencies and payment methods, eliminating the complexities of cross-border transactions. It's a strategic move that can boost your sales, diversify your customer base and take your online store to new heights on a global scale.

Want to stand out from competitors? Consider integrating open banking into your checkout process. This modern development allows your customers to make payments directly from their bank accounts, bypassing the need for credit cards or traditional payment gateways. This not only simplifies the payment process but also provides an added layer of security and trust which is particularly beneficial for BFCM, where shoppers seek convenience and security while making quick purchasing decisions.

In the era of smartphones and on-the-go shopping, one indispensable strategy is optimising your website for mobile. Why is this imperative?

Mobile optimisation ensures that your online store provides an exceptional shopping experience to customers using smartphones and tablets. If your checkout page is not optimised for mobile, you risk losing potential customers due to frustrating navigation, slow loading times or unresponsive design.

And we’re back to the friction talk. Didn’t I say it’s important? It’s that important we’ve got a second tip for you! Implementing a one-page checkout helps simplify the entire purchase process for your customers by condensing it onto a single page. Instead of forcing consumers through multiple steps and forms, you streamline their journey, making it quick, efficient and frustration-free. Plus, it's especially convenient for mobile shoppers, making it easier for them to complete their transactions on smaller screens. Trust us, it will make a whole load of difference to your cart abandonment rates!

In the ever-changing world of e-commerce, knowledge is your greatest ally, especially as you gear up for BFCM: Access to in-depth reporting and analytics is the key that will provide you with invaluable insights into your customers' behaviours and preferences. They help you understand what's working, what isn't and where you can make improvements. When Black Friday is in full swing, and customers are flooding your online store, you’ll have the capabilities to instantly track which products are the hottest items, pinpoint any bottlenecks in the checkout process and assess the success of your marketing strategies. But this isn't just about Black Friday. Having access to this data year-round empowers you to make informed decisions, refine your checkout page and adapt to changing trends and customer preferences

Like so many things, this is all easier said than done. Right? Wrong! All you need is a trusted payments partner by your side to guide, support and provide you with all the tools you need to have your checkout page ready for Black Friday and beyond. Just like us here at Nomupay! Sit back and relax while we ensure your checkout page functions flawlessly year-round. Have a chat with one of our experts to get started!

Subscription-based businesses are becoming more and more popular. The amount of entertainment subscriptions, like Netflix and Disney+ you can sign up for these days is crazy. But it’s not just services like these that are available now, you can also purchase your regular products on a subscription basis. In fact, the global subscription e-commerce market is expected to reach $2.64 trillion by 2028.

So with the huge amount of businesses that are receiving recurring revenue, it’s important to know how to calculate it and make the most of the predicted income.

What's in this article?

What is recurring revenue?

Recurring revenue is exactly what it says it is; revenue that you receive on a regular basis, often through recurring payments or subscription-based models. You can either receive monthly recurring revenue (MMR) or annual recurring revenue (ARR), and both will help businesses create realistic forecasts to make smart strategic decisions.

The difference between MMR vs. ARR

MRR and ARR are very similar in that they both predict recurring revenue. But it’s important to understand the difference between them and how they should be used.

The main difference is pretty obvious, and that’s the time frame they cover; MRR looks at revenue on a monthly basis and ARR is annual. Due to these metrics, different business models may find it more beneficial to focus on one type of revenue, for example, SaaS businesses that deal with yearly contracts will find ARR more suitable than MRR.

Types of monthly recurring revenue

One thing is for sure, your monthly recurring revenue isn’t always going to be the same. In an ideal world, it will go up, but there are a few different types of MRR that businesses will need to be aware of when calculating recurring revenue to determine whether your forecasts are going up or down.

New MRR

This is the extra money you make from new customers who just joined. It shows how much your business is growing.

Expansion MRR

This is the added income from your current customers who decide to upgrade or add more products to their subscription. In an ideal scenario, this is potentially more beneficial than new MRR because there are no customer acquisition costs and it shows customer loyalty, therefore, a revenue you’re less likely to lose.

Checkout page to subscribe for a product

Churn MRR

Sadly, this is the money you lose when customers say goodbye and cancel their subscriptions. It's revenue that slipped through your fingers, which is why it’s so important to focus on your current customers and offer a seamless and convenient experience.

Reactivation MRR

Good news! This is the money you earn from customers who once left but came back. These could potentially turn into loyal customers since they couldn’t find a better product or service elsewhere.

Contraction MRR

This is the money you lose when current customers downgrade or remove some services. This could either be because the additional features aren’t good enough, and is something you may need to focus on, or the customers are tightening their belts due to personal financial reasons, either way, consider what you can do to prevent this from happening.

Net new MRR

This is the total change in your monthly revenue. It's like a scorecard for how you're doing. It’s the sum of the money from new customers and those who upgraded (New + Expansion MRR), with the sum of money from cancelled subscriptions and downgrades subtracted (Churn + Contraction MRR). The result shows if you’re growing or not.

How to calculate MMR

The formula for calculating your recurring revenue is pretty simple. There are also two options, depending on how accurate you want to be.

Formula for how to calculate MRR

For an average figure, you can multiply the number of monthly subscribers by the average revenue per user (ARPU).

MRR = Number of subscribers under a monthly plan * ARPU

Alternatively, if you want to be more specific or if the price of your plans varies quite drastically, you can calculate the MRR by summing up every customer’s subscription plan. This can easily be done automatically with the right platform.

How to calculate ARR

If you’re calculating your MRR, you might as well calculate your annual recurring revenue (ARR) too, since they are very closely linked. Getting a calculation for your business’ ARR is just as simple, but this prediction presumes there will be no changes to your consumer base over the next 12 months.

You can calculate your annual recurring revenue with the following formula:

ARR = MRR * 12

You might want to use ARR as more of a guidance if your customer base often fluctuates

Why MRR is important for business?

Having a steady income creates a strong foundation for any business. And being able to predict this stream of revenue so that you can make smarter financial decisions, identify trends and painpoints, assess the health of your company's revenue and establish opportunities for growth is an ideal situation to be in. That’s why knowing your monthly recurring revenue is so important.

For example, if you can see a steady growth of 10% month-on-month, you can utilise that knowledge to expand your business. This can include new hires, improved software or a bigger budget for your marketing strategy, etc. Without this insight, you’ll be taking a stab in the dark and could make decisions that are detrimental to your business.

How to increase your monthly recurring revenue?

Having the right strategies and tools to increase your monthly recurring revenue can boost your business's financial health. Here are some ways to make it happen:

How can Nomupay help you with your MRR?

By optimising payment processing and reducing churn due to failed payments, businesses can enjoy a more stable and predictable income stream. Offering flexible payment methods, seamless checkout experiences and robust subscription management can attract and retain customers, ultimately boosting your monthly or annual recurring revenue. Additionally, our solutions come with advanced analytics and reporting tools, allowing businesses to better understand customer behaviour and tailor their strategies for maximum revenue growth. In short, we can be a powerful ally in the quest to collect recurring payments, increase MRR and drive business success.

Remember, it's not just about the money you make today but also about the sustainability and long-term success of your business. So, if you’re ready to boost your monthly recurring revenue, get in touch with a specialist today.

Ever since its grand reveal in 2014, Apple Pay has established itself as a formidable influence in reshaping the payment landscape! Recently, its commitment to maintaining a competitive edge in the market has been impressive to say the least, marked by a swift succession of new releases. These include innovations like Tap to Pay, Buy Now Pay Later and Apple Cash, all cleverly aimed at satisfying both customer and merchant preferences.

So, without further ado, let’s get ready to fully dive into the world of Apple Pay! We’ll be covering what it is, the benefits for businesses and how to get set up. But, before we get ahead of ourselves, let's quickly brush up on the basics. Don't worry, if you're already the Apple Pay guru, feel free to give the snooze-worthy technical stuff a miss and jump right into the benefits waiting for you further down the page.

What is Apple Pay?

Apple Pay is a really simple mobile payment method that lets you pay for things quickly, easily and securely without the need to carry a physical credit card or debit card. Rather than fumbling for their card and dealing with Chip & PIN or contactless hassles at the counter, customers can simply use the Apple Wallet App on their trusty Apple devices—whether it's an iPhone, iPad or even an Apple Watch. It’s pretty smart really, and the proof is in the pudding as the seamlessness of Apple Pay has helped businesses increase checkout conversion rates, improve customer loyalty and reduce checkout time across the board.

How does Apple Pay work?

To pay with Apple Pay is nice and easy. All it involves is adding your debit and credit card information to the Apple Wallet App on a chosen Apple device. Customers can use it in exactly the same way as regular contactless cards to make card transactions. They simply hold their Apple device near the POS terminal, and NFC technology (Near Field Communication) will enable the contactless payment.

For added security, they’ll have to confirm the payment with a passcode or biometrics. It's also easy to use Apple Pay to pay for products online in a couple of clicks by using the Safari browser on an iPhone, iPad or Mac.

Is Apple Pay safe?

While we’re on the topic, Apple Pay is one of the most secure methods of paying there is. When your customers integrate their card into the Apple Wallet, their card number and other details are all encrypted.

This is by using a method called payment tokenisation, effectively replacing the card's specifics with a randomly generated alphanumeric string—referred to as a token or Device Account Number. Even Apple's servers don't retain sensitive information, providing an extra layer of protection for everyone’s peace of mind.

Who can use Apple Pay?

Pretty much all Apple users can use Apple Pay these days. They just need one of the following:

Apple Pay supports most major credit and debit card providers including Visa and MasterCard; Apple’s Apple Card is also supported but this is currently only available in the US. Over 60 countries support this payment method and odds are your corner of the globe is already tapping into its convenience! Apple’s own support page runs through a handy step-by-step guide on how to set up Apple Pay for any of the above devices.

Is there a limit for Apple Pay?

Since 2021, UK customers can now use contactless card payments to make a payment of up to £100. However, there’s actually no limit on how much you can spend using Apple Pay.

This applies for transactions that are made in-app or using a browser too. Bear in mind that individual retailers can decide to set up a limit on Apple Pay payments if they want.

Benefits of Apple Pay for businesses 

Now we’ve got that out of the way, let’s address the real question here. Why should your business bother to accept Apple Pay? What benefits does it bring?

  1. Security - With the encryption and tokenisation this payment method brings, your customers are more likely to feel safe; boosting conversions for your business.
  2. Convenience - It’s becoming more and more common to shop on your mobile phone. The ease of Apple Pay already being integrated into the digital wallet vastly improves user experience.
  3. Frictionless checkout - Unlike regular credit cards, Apple Pay processes payments within seconds, minimising abandonment at the checkout.
  4. Competitive edge - Offering Apple Pay fosters customer loyalty, outshining competitors who are late to the trend.
  5. Earn trust - Even if your brand isn’t well-known yet, showcasing ‘Apple Pay’ on your checkout page transfers its level of credibility to your brand too.
  6. Speed - The less information you require a customer to enter on your site, the more likely it is that they will complete the transaction with you.
  7. Expand your reach - Cater to the preferences of over 535.8 million users who use Apple Pay and increase the selling opportunities for your business.

Overall, there’s really no reason not to add Apple Pay as a payment method! Now we’ve established how much Apple Pay can contribute to successful conversions, let’s run through what you need to do to start accepting this payment method for your business.

Which banks support Apple Pay in the UK?

Firstly, let's establish clarity on Apple Pay's bank support—virtually all major banks endorse it. From its initial launch, prominent UK banks like First Direct, HSBC and NatWest readily issued credit and debit cards compatible with Apple Pay.

Recently, contemporary digital-first current account providers, such as Monzo, Revolut and Starling Bank, have also embraced it. In essence, this modern payment method is accessible and likely to be used regularly by a high percentage of your customers.

How to accept Apple Pay for your business?

So, let’s get the ball rolling on you offering your customers that seamless payment journey they want. With Nomupay, there isn’t any additional set-up or cost needed to start taking Apple Pay in your business. All of our card readers come with it enabled as standard, and can be integrated into your online checkout. Get started with us today!

The foreign exchange market, also known as forex or FX, is a complex industry. By dealing with multiple currencies all around the world, along with its rapid pace and volatile nature, there’s a lot to consider when it comes to processing trading transactions.

Just like other industries, forex platforms still need a merchant account and payment gateway to process payments, but it’s not always that simple due to its high-risk classification.

What do we mean by that and how can forex merchants combat this? We’ll cover it all so you can choose a payment provider that helps your business strive.

What's in this article?

What is a forex merchant account?

A forex business will need a high-risk merchant account to increase its acceptance rate. Without one, banks are more likely to decline any transactions you or your customers wish to make. In general, they work the same as a traditional merchant account, but they do have some differences to compensate for the increased risk. This includes higher processing fees and increased protection against fraudulent activity.

For more information, check out our solution for a high-risk merchant account.

Reasons forex merchant accounts are classified as high-risk

Forex merchant accounts are sometimes considered "high risk" because of a few reasons that make them a bit more complex. Let's break it down:

A graph showing the value of Euro to Pound Sterling going up and down
  • Currency value is up and down: Currency can be so volatile, and this unpredictability can make it harder for banks to predict how much money might come in or go out.
  • Global nature of forex: Forex trading happens all around the world, involving various countries and regulations. This international aspect can create challenges for banks to keep up with all the rules and keep transactions safe.
  • Higher chargeback risk: Chargebacks happen when customers dispute a transaction. In forex, because of the nature of trading and currency volatility, customers might change their minds more often, leading to more chargebacks.

Remember, being labelled "high risk" isn’t a bad thing. It's more about the complexity and challenges involved. Banks might just need to be extra careful and have special safeguards in place to make sure everything goes smoothly for both merchants and customers.

Secure forex payment processing

With the unavoidable nature of forex trading being a risky business, you’ll want to take advantage of the tools available to ensure secure processing, including:

Why can it be difficult for forex brokers to find a payment gateway?

Finding a payment gateway if you’re in the forex industry can be tricky. You see, forex trading involves dealing with money from all over the world, like changing dollars to euros or sterling. But not all regular payment gateways are set up to handle this.

High-risk specialist, Martin Brindley, said: “Forex merchants need a special kind of payment gateway that can smoothly process all different currencies from around the world. They also need to follow certain rules and regulations to keep everything safe and legit, which can be challenging to stay on top of. That’s why finding the right payment gateway is even more important for high-risk businesses.”

A world map showing a transfer of cross-border funds

Things to consider when choosing a forex payment gateway

When selecting a payment gateway for your forex business, here are some pointers for you to think about:

With these practical points in mind, you'll be able to choose a payment gateway that suits your forex business needs effectively.

Why you should choose Nomupay as your forex payment gateway

At Nomupay, we specialise in providing payment solutions for high-risk businesses. With a secure payment gateway, local licenses in multiple countries and more than 198 alternative payment methods to choose from, we can offer a bespoke solution and flexible pricing to suit your business model.

Manage your payment solutions, in-depth transaction data and fraud suite all in one unified platform, so you can easily scale your business and increase your acceptance rates.

If you’re ready to apply for a high-risk merchant account and payment gateway for your forex business, get in touch with one of our specialists today.

Martin Brindley author bio
Martin Brindley author bio

A payment gateway is crucial when it comes to accepting card payments. It’s the technology that connects all the integral parts of the process together to facilitate and authenticate the payment. That’s why understanding how to integrate a payment gateway on your website is so important.

Without a payment gateway, you’ll be limiting yourself to cash-only payments; and in this day and age, we hate to say it, but your business will struggle to succeed. But how do you integrate a payment gateway on your website and where do you begin? We’ll tell you…

What's in this article:

How to choose a payment gateway for integration

Before we get into how to integrate a payment gateway, first up, you’ll need to find a payment gateway that is suitable for your business model and is capable of overcoming international payment processing challenges. The payment gateway service you choose can impact your customers’ experience and your business’ scalability because they can provide different capabilities.

A few things you’ll need to ask yourself when considering your payment gateway service provider include:

All of these factors will affect both your business and your customers. So, if you pick the wrong gateway, you could end up limiting your business potential and have a high decline rate or high abandoned cart rate due to unsatisfied customers at the checkout.

For more tips on how to get it right, check out our blog on choosing the right payment gateway.

The difference between a hosted and an integrated payment gateway

When looking into an online payment gateway service, you may have come across different types, specifically a hosted or integrated payment gateway. So, we’ll quickly cover what they are and which may be more suitable for your business.

Hosted payment gateway

A hosted payment gateway is when the payment form is not on your website. The customer will be redirected to the ‘hosted’ platform to complete the payment. An example of this is PayPal and although this can make things easier during the integration stage, the customer experience is less seamless, which can have a negative impact on your conversion rate.

Integrated payment gateway      

An integrated payment gateway is when the payment form has been embedded into your own checkout, so the customer will remain on your website. This option will require an Application Programming Interface (API) but does improve the customer’s journey, which in turn, can help to boost customer trust and conversions.

Integrate a payment gateway to accept payments on your mobile checkout page

Here at Nomupay, we offer an integrated payment gateway, and with a dedicated team of experts, we will guide you through the whole process.

“The real advantage of an integrated payment gateway is how much smoother it makes the checkout experience. Customers remain on your website, trust stays high and you get more control over how payments are handled.

"Payment gateway integration doesn’t have to be complicated either. At Nomupay, we’ve designed our process to be as seamless as possible—whether you’re using plugins, APIs or custom checkout forms, we’ll guide you every step of the way.”

— Robert Wilder, Head of Integrations at Nomupay

How to get started with your payment gateway integration for your website

Payment gateway integration is easy when you’re with the right provider. Whether you're looking for a gateway for your e-commerce website, your Forex business or a SaaS platform, we have a number of ways in which you can integrate the payment gateway into your checkout.

So, to get started, the first thing you’ll need to do is consider your business model and how you want to accept payments. We can help you with this through a one-to-one strategy session with one of our payment experts.

But here’s an overview of our integration options:

If you’re ready to create a website with a payment gateway, then get in touch and explore how our online payment gateway integration service will benefit your business.

Alternatively, you can find out more technical information regarding how to create a website with a payment gateway and how to install plugins to accept payments via our knowledge base.

Taking your business to the next level to go global can be a pretty daunting move to make. But one area of the strategy that can be much simpler than you think is accepting cross-border payments.

As long as you’ve chosen the right payment provider that has the capabilities to scale with you, then there shouldn’t be any issues.

One payment method that will help you grow internationally is pay by links, also known as request to pay. Global links can be sent to anyone, anywhere and are simple to manage with Nomupay.

Let’s take a look at how global pay by links work and how they can help your business grow.

What can pay by links be used for?

Let’s first cover how you can use global links for payment. There are many ways a pay by link can be used, including a variety of channels in which they can be sent, making them a suitable method for a whole host of businesses in any industry. But here are the most common ways:

  • One-time payments – As a global business, you won’t be seeing your customers face-to-face. This is when global links can come in handy, especially if you don’t have a website. Rather than take card details over the phone, which can come with its own risks and is often distrusted by many consumers, you can send them a payment request straight to their device for them to make the transaction.
  • Collect late payments – If a payment is passed its due date, particularly from a recurring payment, you can send reminders in the form of a pay by link. There are many reasons why a customer may miss a payment, for example, a lack of funds. So by providing a method that lets them pay when they can, you’re increasing your chances of getting paid.
  • Invoices – Digital invoices can be sent to anyone all over the world, and to make the payment quick and simple, you can add a payment link to the email. By doing so, you’re making the transaction as convenient as possible for your customers helping to increase your collection rate.
A schedule history of failed and successful payments

To make the process even easier, we’ve teamed up with Zoho, an invoicing software provider making it effortless to create and send invoices.

Benefits of global payment links

Next, let’s talk about why you should accept them. By having the capability to accept global payments by pay by link, you’re opening up your business to a whole range of benefits, including:

Remember, while global payments offer many benefits, it's important to choose reliable and secure methods and stay aware of potential fees and exchange rates.

How to create a payment link

With the right payment service provider creating a request to pay is easy. With Nomupay, it can all be done via the Unified platform in just a few simple steps:

Customer details box to create a pay by link
  1. Navigate to your dashboard and click on 'New Pay by Link'.
  2. Fill out all the mandatory fields with the customer’s details.
  3. An optional step is to add an expiry date. Click on 'Advanced Options' and choose a specific date, otherwise, the default expiry for a pay by link is 30 days.
  4. Click 'Create Payment Link'. The request to pay will go to all communications methods that have been selected, for example, email and SMS.

With tokenisation, a customer’s card details can be securely saved making the payment even more convenient, which is ideal for loyal customers who won’t have to keep inputting their details every time they go to pay. What do we mean by tokenisation? It’s when the customer’s card’s Primary Account Number (PAN) is replaced with a unique token so that the details can’t be decrypted. We’ve got a tokenisation guide that will tell you everything you need to know.

How are global pay by links sent?

Once you’ve created the request to pay, your payments provider will handle the rest. The link will be sent to the chosen channel based on the details you provided, most commonly via SMS, email or social media.

Then the payment will be made just like any other payment type; the funds will be sent and processed via a secure international payment gateway. So if your business can accept payments worldwide via your current gateway, then you can accept global payments via a pay by link too. 

Finding the right pay by link UK provider

Finding a payment service that can support your business model is critical to its success. Selecting the wrong one can lead to limitations to scalability and a poor customer experience.

One thing to note is that a payment provider based in the UK doesn’t limit your business to only accepting payments in the UK. With the right service, you should be able to take your business worldwide. A few things to consider when choosing your pay by link provider to ensure global success include:

Alternative payment method logos

Multiple payment methods

The preferred payment method differs per country. For example, AliPay is popular in China and iDeal is popular in the Netherlands. If your provider doesn’t offer a range of payment methods, you could lose out on a lot of sales and your cart abandonment could increase.

Customisable currency options

Your customers should be able to pay in their local currency. By offering this solution, you’ll be improving the customer experience, and ultimately boosting your conversions.

Multiple acquirers/local acquirers

By being able to use local acquirers in the countries your business is processing in, you can increase the approval rate of your payments as well as the speed at which they are processed and decrease the processing costs.

Secure payment gateway

Security should be your number one priority when it comes to accepting payments. With the right provider, they will use a secure payment gateway and offer a range of risk tools and data analytics so you can stay on top of any fraudulent activity.

Branded payment links

You’ll want to choose a service that allows you to customise your pay by links to look and feel more like your website, for example, adding your business logo. This can help to increase customer trust, and therefore, your conversion rate.

Are you ready to take your business global? Get in touch with a specialist today and get pay by links added to your payment solution.

Nomupay and Zoho Books team up for seamless invoicing and payment integration.

Every business knows the challenge of juggling a multitude of tasks simultaneously. But what if there was a way to simplify things?  That’s where Nomupay steps in, teaming up with Zoho Books to revolutionise the invoicing process.

We’re thrilled to announce our integration into the Zoho platform. Users can now effortlessly create and send invoices while seamlessly collecting payments with our integration within Zoho Books! No more back-and-forth and no more chasing payments – our integration ensures a frictionless journey from invoice inception to a steady flow of payments rolling in.

Who is Zoho?

With over 15 years of experience under its belt, Zoho has mastered creating free invoicing software for every kind of business, enabling merchants to effortlessly collect their payments. From personalising invoice templates to your brand to setting up recurring schedules and invoicing in multiple currencies and languages, Zoho Books can do it all. We simply provide the gateway with smart solutions to help you get paid on time!

How does this integration benefit our merchants?

So, without further delay, it’s time to address what you’re waiting for. How exactly will your business benefit from this partnership…

How to get set up

Now you’re ready to get started, let’s run through the simple steps to get set up:

1. Add the Nomupay integration to your Zoho Books account.

2. Activate the plugin and enter your secret credentials provided by Nomupay.

3. Create an invoice and select the payment method as Nomupay Payment gateway.

4. Your customers will receive the invoice with the option to pay the invoice online.

5. Customers can choose to pay using a credit/debit card (more payment methods coming soon!).

6. Your customers can see the payment page where they can pay the invoice via card or by using Apple Pay which is enabled on demand.

And that’s it, you’re good to go within a matter of clicks!

At Nomupay, we're dedicated to empowering businesses with innovative solutions. Our partnership with Zoho exemplifies our commitment to simplifying operations and enhancing your growth potential. Get in touch today.

Accepting recurring payments is an effective way for your business to improve its cash flow. Why? Well, it’s essentially recurring revenue, which makes it much easier to predict future revenue.

But how do you manage recurring payments to make the most out of them? In this blog, we’ve given you our top tips on how to handle and set up recurring payments.

What’s in this article:

What are recurring payments?

Before we get into it, let’s start with the basics. What do we mean by recurring payments? Rather than a one-off transaction, a customer can make a repeated payment for a product or a service such as a subscription, like Netflix. The customer will grant permission for the funds to be taken on a predetermined schedule, whether that’s weekly, bi-weekly, monthly, etc. until the contract comes to an end, or the permission is revoked.

Our tips to manage recurring payments

Unfortunately, simply accepting recurring payments isn’t enough. Customer loyalty can be hard to come by; 32% of customers will cancel their service if they receive a single bad experience. That’s a high percentage that won’t give you a second chance!

So, being able to manage recurring payments properly is crucial to a business's success.

Here are our top tips on how to manage recurring payments:

Automation

Who doesn’t like an automated process? Recurring payments don’t just have to be automated for the customers but can be for the merchant too. With the right platform, you won’t need to manually take the payments every time. As soon as they are set up, the funds will automatically be taken on the agreed date, saving your business time and resource. Not only that, but it will also improve accuracy, reducing the amount of data input errors.

And since they are automated for the customers, those funds should keep on coming like clockwork.

Reconciliation

There will be times when payments fail; it’s completely normal and nothing to worry about as long as you have the right tools in place to reconcile them. They can fail due to a number of reasons, but most commonly it will be down to expired card details or not enough funds in the customer’s account.

You can easily rectify these with a few smart tools, like multi-card registration, network tokens and auto-rebiller. So, just like everything in life, as long as you have a plan in place to manage failed recurring payments, then you’re in a good position.

Find out more about these tools from our recurring payments page and see how we can help you get those payments paid.

Two cards, one on top of the other - representing multi-card registration for managing recurring payments.

Optimum billing times

There are certain times that are more suitable for consumers to make payments, and everyone is different. This is where your data will come into play. Based on failure and success rates, Unified Platform can utilise this information to work out optimum billing times to increase your chances of a successful payment first time.

Get your data

Knowledge is power in most instances, certainly when it comes to collecting recurring payments. We’ve already covered how it can influence optimum billing times, but it can also help you keep track of payment statuses, learn from customer behaviour and trends and build business strategies for the future.

Payment break screen for flexible recurring payments

Be flexible

Want to beat churn? The dreaded word for all merchants. The best way to manage recurring payments so that your customers stay loyal is to give them control. Offer flexible schedules with the ability to take payment breaks and make alternative payment methods available so they can pay with their preferred method.

Making your product or service easily slot into your customers’ lives, rather than being a burden, is a sure way to guarantee customer satisfaction.

Communication is key

Last, but certainly not least, is communication. If you want to avoid a chargeback, you’ll want to keep your business at the forefront of your customers’ minds. We’re not talking about marketing communications, we’re talking about being upfront about your billing policies so that they know what they are signing up for. Clear communication builds trust and reduces disputes.

This includes any issues that occur, payment reminders and how the transaction will appear on their bank statement. It’s not always super clear with your brand name in the description. As long as the customer is aware of how it will appear, they will recognise the transaction and know that it’s you.

The importance of managing recurring payments

As a merchant, recurring payments can be an absolute game-changer! There are many perks when managed correctly, making it a priority to get it right.

So here are the main reasons why it’s so important to manage recurring payments:

In a nutshell, recurring payments are a merchant's best friend. They bring financial stability and allow you to predict future revenue – crucial for making business decisions.

It's no wonder why businesses everywhere are embracing the power of recurring payments!

How to set up recurring payments with Nomupay

If you want to implement all these tips, then you’re going to need a payment provider that allows you to do so. That’s where Nomupay comes in. Here’s a quick overview of how to get started with setting up recurring payments:

Recurring payment frequently asked questions

What if my customer’s transaction is declined?

There are reconciliation features in place to ensure the transaction goes through. If it’s due to a lack of funds, then the payment can be automatically retried at a different time, or you can send a pay by link so that the customer can make the payment at a time that suits them.

What if my customer’s card is out-of-date?

No problem, our network token tool will automatically update expired, lost or stolen cards with their latest card information.

Will getting a new debit card stop their recurring payments?

No, getting a new card will not stop recurring payments that are set up if you utilise network tokens. Just like above, the customer’s card details will automatically update so there’s no interruption to their payments.

What if the customer wants to stop recurring payments on their credit card?

If the customer wants to cancel their recurring payments, depending on the reason, you have a couple of options. You can either offer multi-card registration so that the payments can be taken from a different card or offer them a break in the schedule if it’s due to financial strains. So, don’t worry, there are a few tactics to prevent losing the customer altogether.

Are you ready to see the benefits recurring payments could have for your business? Now you know all the tricks to efficiently manage recurring payments, have a chat with one of our payments specialists and let’s get you set up. Alternatively, why not check out some more tips on the best ways to accept recurring payments?

Digital payments have been transforming the financial world for years, making the industry more accessible, convenient and streamlined for both businesses and consumers. But it doesn’t end there!

New innovations are continuously being introduced, including automated payments and voice commerce. The latest development that has blown up this year and, love it or hate it, has been the biggest topic of conversation within technology, is Artificial Intelligence (AI).

Since OpenAI launched ChatGPT, so many other platforms have followed suit. There’s an AI for all corners of life, including content creation, retail product recommendations, speech recognition and, most importantly to us, digital payments.

But how is AI changing the payments industry?

How does AI fit into the payment process?

Firstly, let’s take a look at the role of AI in digital payments and how it works. We all know how important data is for a business, especially when it comes to payments, and being able to leverage that data is the key to success. This is where AI comes in.

The technology can process and manage data on a mass scale on a daily basis. By using AI, you can identify patterns and gain insights into consumer behaviour much more quickly and efficiently than doing so manually.

This will help streamline the payments process and improve the overall experience for your customers.

How does AI affect payments?

Let’s look more specifically at the areas AI can benefit payments and your business as a whole.

Fraud protection

Fraudulent activity is a big issue within the payment space, especially digital payments. But generative artificial intelligence has already proven to greatly improve fraud rates.

Its ability to self-learn from each transaction makes it an efficient fraud detector, picking up on the suspicious behaviours of a fraudulent payment. The AI-powered fraud detection system has shown to cut down false decline rates in half.

It can be hard to keep up with the new methods fraudsters use, but with AI analysing large amounts of data every day, the machine learning tool can detect new behaviours and un-seen fraudulent examples to stay ahead of the game. By leveraging this information, financial services can provide even better fraud prevention and security.

Customer experience

Although human touch is essential to provide a great customer service, AI can help to enhance it. With the use of a chatbot operated by AI, you can truly offer 24/7 support. The technology can identify common issues and use this information to develop solutions, saving time for the customer support team so that they can help with more complex queries.

Customers won’t have to wait in long queues or call during opening hours, they can quickly get answers to frequently asked questions helping to increase customer satisfaction.

Chatbot with payment query

Personalisation

With so much competition out there, how do you stand out from the competition? Many consumers want the personal touch these days to feel like they are being spoken to directly. And AI can give them that experience through the use of data.

By analysing a customer’s behaviour and transaction history, AI can provide suitable recommendations, including payment methods and financial products such as loans and investments. We’re already used to product recommendations from our favourite retail brands, so why not financial recommendations?

When a customer feels valued they are more likely to remain loyal and convert, so give your customers the attention they desire and they’ll stick around.

Streamline process

AI can also make the overall process and management of taking payments so much slicker and easier. Its analysis of transaction data in bulk and machine learning algorithms allow it to quickly identify discrepancies, compare data, input data, spot trends, etc.

By speeding up these manual tasks, AI can automate reconciliation with more accuracy, reducing the amount of errors and increasing the conversion rate.

The future of AI in the payments industry

Considering AI hasn’t been around for long, it has already made waves in the business and fintech world and is very quickly developing more and more functions.

Cameron Lee, Director and Head of Strategy at Nomupay, said: “What AI can achieve so far is impressive and is only going to get better. And it’s not just in payments and customer service that the technology can help businesses, it can also enhance marketing and e-commerce; its potential is endless.”

So if you’re wondering whether to introduce AI into your e-commerce website, payments management or another area of your business, we definitely think it’s worth looking into. AI is the future and it’s a technology we’ll be keeping an eye on.

Cameron Lee bio
Cameron Lee bio

Nomupay partners with Trade License Zone to provide an all-in-one solution for e-commerce start-ups in the UAE.

Nomupay, a leading global payment solutions provider, and Trade License Zone, a premium business setup consultancy in the UAE, are thrilled to announce their strategic partnership.

The partnership between the two companies will bring together their unique strengths and resources to offer an all-inclusive package that combines top-notch payment processing solutions with comprehensive business setup services. This collaboration aims to deliver businesses in the UAE with a streamlined and hassle-free experience, from initial company formation to seamless payment integration. Nomupay specialises in providing secure, efficient and innovative payment solutions that cater to businesses of all sizes. With a strong commitment to technological advancement and customer satisfaction, the company offers a comprehensive suite of services, including payment gateways, payment links, fraud prevention and risk management solutions.

Trade License Zone, a renowned consultancy in the UAE, is proficient in business setup services for both local and international clients. Their expertise encompasses company formation, trade licenses, PRO services, visa applications and all the essential aspects of establishing a successful business presence in the UAE.

Why are we partnering up?

Thousands of new businesses start up or relocate to the UAE every year to take advantage of the low tax regime, excellent trading location and open working environment. Setting up a new business can be a complex and daunting process, particularly if you’re new to the region. After a start-up is established, you’ll then need to find a way to accept payments from customers, and researching providers can be extremely time-consuming. So that’s why Trade License Zone and Nomupay have partnered up; to provide businesses with the end-to-end setup journey all in one place!

Commenting on the partnership, Alex Leigh, co-founder of Nomupay, expressed his enthusiasm, saying, "We are excited to join forces with Trade License Zone to enhance the company set-up experience for new businesses in the UAE. Our combined expertise will enable businesses to establish a strong foundation while benefiting from secure and efficient payment processing solutions. We look forward to empowering entrepreneurs and helping them achieve their goals."

Trade License Zone's CEO, Karl Hougard, also conveyed his excitement, stating, "Teaming up with Nomupay allows us to offer our clients an all-in-one solution in getting business operational. Trade License Zone uses Nomupay as our own payment gateway and we want our clients to benefit from the excellent service that we have experienced first hand."

To celebrate the new partnership, Nomupay is offering a rate of 2.6% to any new businesses that have completed their business set-up with Trade License Zone. Don’t miss out - get in touch with a specialist today!

Open banking has revolutionised how financial data is shared, unlocking a world of possibilities for you and your customers.

This financial innovation has already reached big numbers – Globally, volumes are projected to grow from $53 million in 2023 to $334 billion in 2027.

But what is open banking and how could it benefit your business? Let’s take a look…

Open banking meaning

The goal of open banking is to make it easier for data to be shared amongst third parties, improving the experience of financial tasks, such as payments, transactions, investments, etc. It’s a system that allows banks and other financial institutions to securely share a customer’s financial information with other financial providers, which would otherwise be kept in-house.

But what does this mean for all those affected?

For financial service providers

Whether it’s a bank or a payment processing service, the financial institution can easily share its customer’s data to businesses, offering a more frictionless and trusting service.

For businesses

Businesses can really benefit from open banking. With more access to a customer’s data, they can promote their business more effectively, as well as automate instant payments for a seamless experience.

For customers

Open banking puts the customer in control of their financial data. They can choose who has permission to access it and enables them to manage all of their accounts in one place, giving them better financial management, personalised recommendations and innovative products. It's like having a digital hub for your finances to make smarter money decisions.

Imagine having several accounts with different banks and financial services. In the past, it was a bit of a hassle to keep track of all your balances, transactions and expenses. Open banking changes that game!

How does open banking work?

Time to get a bit more technical. Open banking is enabled by Application Programming Interfaces (API); essentially a gateway between different software to help them speak to each other.

Open banking API is basically a set of instructions on how third parties can access a person’s data, such as account name and transaction history. The customer doesn’t need to fill out any lengthy forms; the third-party website will be able to access the data directly.

It’s down to the financial institution to implement open banking into its offering so that its merchants, and then ultimately the merchant’s customers, can benefit from it.

Open banking flow diagram

Open banking use cases

There are multiple scenarios in which open banking can be used to the benefit of all those involved. Let’s take a look at how to use open banking.

Open banking examples

  • Seamless payments: Open banking makes online payments smoother. Instead of entering their bank details or card information every time, the customer can authorise payments directly from their bank account using secure channels. It's convenient, quick and reduces the hassle of remembering multiple login credentials.
  • Money management: Whether it’s budgeting, saving or changing bank accounts, open banking can help consumers manage their finances. It can pull together the customer’s transaction data from multiple accounts to analyse their spending habits to create a realistic budget and suggest how much they could save each month.
  • Personalised recommendations: Financial apps and services can use this new access to financial data to offer tailored recommendations. They might suggest a credit card with better rewards based on spending habits or recommend a loan with lower interest rates that suit their financial situation.
Budgeting app showing a spending plan

Is open banking safe?

Since more businesses and services are gaining access to someone’s financial information, it’s completely valid to wonder whether open banking is safe. The short answer is yes!

Just like any other type of digital financial service, open banking puts a high priority on keeping financial information safe and secure.

Firstly, data sharing can only take place with the customer’s permission. They have full control over which third-party apps or services will gain access to their data and can revoke it at any time.

Secondly, access to APIs is safeguarded by strict banking industry standards such as PSD2. And since open banking relies on API to transmit the data, the information is protected in the same way online banking is. Therefore, there are open banking regulations that banks and financial institutions must follow, including encryption and authentication protocols, to keep the information confidential.

Of course, it's always important to choose trustworthy and reputable apps or platforms when using open banking. But when using a reputable service, open banking is designed with your security in mind.

Difference between open banking and open finance

Open banking and open finance may sound similar, but they have some differences. Open banking is all about sharing financial data between banks and other trusted companies. It allows you to connect your bank accounts to other services, like budgeting apps or loan platforms to help them manage their finances more easily.

Now, open finance takes things a step further. Think beyond just banks - It covers sharing data from various financial sectors, such as insurance companies, investment platforms and more. It’s like having a complete birds-eye view into someone’s financial life, rather than just a peek.

In simpler terms, while open banking focuses on bank-related data sharing, open finance expands that scope to include a wider range of financial information for a more comprehensive financial picture.

Open banking providers

If you’re looking for open banking UK providers, we’ve got the solution for you. We’ve partnered with Token.io, the leading provider of account-to-account (A2A) payments enabled by open banking. This partnership allows us to leverage their extensive connectivity network and slick platform to offer you a fast and efficient way to launch Pay by Bank as a core payment method.

To implement your open banking payment solution, get in touch with one of our specialists today.

Consider this. Would you entrust your credit card details to anyone you encounter on the street? No, you wouldn’t… Well, you shouldn’t. Now, imagine you're in the market for a new tablet. Would you choose a reputable, well-known brand or take a chance on a newcomer? Most people would opt for the established brand, right?

Here's my point: when it comes to sharing sensitive information or spending our hard-earned money, trust is paramount. And in the world of e-commerce, where the internet is rife with fraud, trust becomes even more crucial.

Simply put, without building customer trust, your e-commerce business will struggle to make sales. Whether you're a savvy entrepreneur seeking to pivot your business or an established online store owner looking to attract new customers and foster loyalty, this compact guide is tailored precisely to your needs. Get ready to be armed with the steps you need to take to build trust and loyalty with your online customers.

But first, why is it important to build trust with customers?

According to the 2023 Edelman Trust Barometer, 79% of Gen Z say it’s more important than ever to trust a brand. This is pretty significant as 68% of ALL consumers say it’s Gen Z that influences where and how they shop.

But what exactly is it that will build that all important customer trust? We can split it up into three categories :

If you’re not doing these things, don’t worry, you’re in the right place. Let’s dive into the best ways you can gain customer trust:

  1. Provide a positive customer experience

Past research highlights that establishing trust with consumers is heavily influenced by customer experience (CX). The top two reasons for customers trusting a brand were:

So, how do you do this?

Simplify processes:

Ensure that your website is user-friendly, featuring clear and logical categorisation to make product discovery easy. Streamline the checkout process by minimising the information customers need to enter and presenting shipping and payment options in a clear and concise manner.

Act on customer feedback:

Gaining an in-depth understanding of your customers is vital for long-term success. Engage with them on social media platforms to foster meaningful connections and show that you value their input. Actively listen to their feedback and leverage it to enhance the customer experience across all touchpoints, from the initial purchase to post-sales communications and delivery processes.

Chatbot to help customer

Be accessible:

Maintaining availability across multiple channels will go a long way, trust us! Clearly display your contact information, allowing customers to reach out to you effortlessly. Consider incorporating a customer service chatbot into your support system, as it can efficiently handle frequently asked questions, while seamlessly transitioning customers to a human representative when a personalised touch is required.

Remember, customer trust is earned through every touchpoint, and by valuing your customers' needs, your brand will flourish!

2. Utilise authentic social proof

Social proof is the bread and butter of running a successful e-commerce business. In a nutshell, it’s the idea that people will be influenced by the actions or opinions of others like them or people they see as credible, e.g. family and friends. You need to be able to reassure new customers that they can trust you because thousands of others already do. This can be shown in a number of ways:

Research from SurveyMonkey found that 82% of people trust the voice of customers over messaging from your brand! So, it’s a no-brainer to begin showcasing this if you’re not already. But, be mindful that this will only be effective if your social proof appears authentic. Red flags can be raised at the other end of the spectrum too; for example, SurveyMonkey also found that 74% of people think a product with lots of 4-star reviews is better than one with just a few 5-star reviews.

Ensure you’re coming across as authentic by:

  • Sourcing and displaying reviews, ratings and testimonials from a wide range of customers, not just those who are most loyal to your brand.
  • Incorporate reviews from people that represent your target audience, in terms of their demographics, interests, the language they use and so on.
Customer reviews on a product page

All in all, social proof can be very persuasive, but only if it seems legit.

3. Prioritise building relationships

You’d have to be living under a rock to not realise customers expect a lot more from brands these days. Consumers don’t want brands to be a faceless entity they buy stuff from, they need to be able to form a genuine connection.

With this in mind, let’s run through what you can do to build better relationships with your customers.

Instagram story showing a company's values

Align your values

New research shows that 82% of shoppers buy from brands that share their values. What does your audience care about? The environment? Mindfulness? Current economical issues? Be proactive in showcasing your values and your actions behind it  and encourage conversations to reiterate your standpoint on the topic.

Engage customers

Communications should be about more than just making a sale. Think outside the box and use the power of dominating social media platforms like Tik Tok and Instagram to create useful content that helps your target audience solve their pain points. Join in discussions about your brand, products or industry on social media to build a community, not just a customer base.

Reward loyalty

It takes two to keep a relationship going, and this is no different when it comes to you and your customer. Are you showing your appreciation when customers shop with you by offering rewards or future discounts? Do you have a loyalty program that gives them exclusive early access to new product releases? Show them your brand is worth staying with!

If you can step away from seeing customer interactions as simply transactional and regard them as a relationship that needs careful nurturing over time, you’re well on your way to being able to build long-lasting, trusting relationships.

Early bird access email for loyal customers

4. Have a seamless checkout

There’s no greater test of trust than at that final point of purchase at checkout. The last thing you want is for a potential customer to be put off at the last minute and abandon their cart! With a worrying statistic of 69.99% as the average shopping cart abandonment rate in 2023, it’s clear a lot of businesses are missing the mark at this stage and need to make changes.

First, let’s quickly go through the top reasons for cart abandonment:

Think about all the missed revenue you could be profiting from if you solve these issues! While these things are always easier said than done, here’s how you can ensure your e-commerce business doesn’t fall victim to these stats:

5. Incorporate familiar trust seals

While we’re on the subject of trust seals, it’s worth us diving a little deeper into the importance of these. Even if your brand is just starting off, and relatively unknown, using well-known trust seals on your website allows the trust people have for those third parties to extend to you. It’s really a great way to simultaneously build trust while reducing cart abandonment rates.

There are a range of different seals you can employ:

Checkout with payment badges

Payment badges

By displaying recognisable brand logos of the payment methods you accept, such as Visa and Mastercard, you’ll easily gain the trust associated with these household names. Consider including digital wallets like PayPal, Apple Pay and Google Pay, as they’re currently one of the most popular alternative payment methods around.

Security certifications

These certifications serve as indicators that your website and checkout process are secure. They confirm to users that any information they submit will be encrypted, ensuring compliance with relevant regulations. Examples of security certifications include Norton, Symantec and TRUSTe.

Third-party endorsements

These seals act as significant trust signals as they require an application and review process. Obtaining seals from organisations like BBB, Google and Amazon can go a long way to adding credibility to your online shop.

Offers and guarantees

By showcasing badges that promise benefits like a money-back guarantee or free returns, you provide potential customers with that extra peace of mind to encourage them to make that all-important purchase at checkout.

Final thoughts

Before we wrap things up, let's take a moment to quickly recap the key takeaways from this blog:  

  1. Positive customer experiences foster a higher level of trust in new buyers.
  2. Authentic social proof holds more weight than claims made by a company.
  3. Consumers prioritise establishing a trusting relationship with shared values above all else.
  4. A seamless and secure checkout process significantly reduces instances of abandoned shopping carts.
  5. Trust seals act as influential factors in shaping the perceived security of a website.

It’s now over to you to put these tips to use. Remember, repeated sales and success simply comes down to that all important customer trust!

Fancy finding out how Nomupay can help? Get in touch today.

It's safe to say that almost everyone in the UK uses a Chip and PIN machine regularly. It’s potentially one of the most recognisable and trusted payment methods.

Chip and PIN is actually a brand name, officially known as EMV Cards or EMV Chip Cards because it was developed by Europay, Mastercard and Visa (EMV). It was introduced to create a global system for accepting credit and debit card payments that are more secure, faster and easier to use than previous methods. We can easily say they were successful in achieving this.

Although you know what Chip and PIN is, do you really know how it works and all the different types available? Let’s get into it!

What is Chip and PIN?

Chip and PIN is a payment method used for face-to-face transactions, most commonly in shops and hospitality. The technology is enabled by a card machine or card reader to securely and quickly accept payments from your customer’s credit or debit card.

Why was Chip and PIN introduced?

Chip and PIN was introduced in 2004 but it became mandatory for all cards in the UK to have this technology in 2006, and was a replacement for the older magnetic swipe method. The swipe method involved physically swiping a card and then comparing signatures. It was slow, lacked security measures and prone to fraud. So, Chip and PIN cards were introduced to combat these issues to enhance security and reduce card payment fraud.

In fact, during the first few years of Chip and PIN payments, there was a reduction in card payment fraud, with annual counterfeit card fraud losses down £81.9 million.

How does a Chip and PIN machine work?

With Chip and PIN, cards have a microchip that securely stores payment information about the account holder, including their name, account number and card expiry date. The cardholder then has a unique 4-digit PIN.

When a customer is ready to pay, they insert their card into the machine and enter their PIN. This allows the Chip and PIN machine to access the card’s chip and process the payment by communicating the encrypted transaction data to the acquiring bank and issuing bank via the payment gateway. Once it has been authorised the amount will be transferred to your merchant account.

You can read more about how a payment process works in our card payments guide.

Chip and PIN cards can also be used to withdraw money from an ATM in the same way. The best part about a Chip and Pin payment system is that it is all done automatically for you in just a few seconds. Allowing you to take card payments quickly and securely.

The different types of Chip and PIN machines

There are a few types of card machines available to suit different businesses:

Countertop: These are commonly found at the main point of sale or checkout in shops. They require a connection to the mains and your WiFi or phone line.

Portable: These are popular in restaurants, bars or cafes. They allow you to take payments anywhere in your business and consist of a card reader and a base unit connected via Bluetooth.

Mobile: These machines are ideal for businesses on the move. They use a built-in SIM card and 3G connection, allowing you to take payments anywhere with a signal.

Poynt 61b POS

Why not check out the card machines we have available for your checkout?

The rise of contactless payments

In addition to Chip and PIN, many cards now have a contactless payment option. Contactless payments involve tapping the card on a reader for payments up to £100. They have become increasingly popular due to their speed and convenience.

Card readers will accept both Chip and PIN and contactless payments, as well as digital wallets like Apple Pay and Google Pay. As cashless transactions continue to grow, the use of Chip and PIN and contactless payments will increase.

Start accepting credit, debit and contactless payments

Whether you're new to card payments or looking to switch providers, we can assist you. At Nomupay, we offer a range of card machine solutions tailored to your needs. Whether you run a boutique shop, food truck or coffee business, we can help you make your passion pay.

With our low rates, no setup fees and 24/7 UK customer support, now is the perfect time to get a new card reader. Visit our Point of Sale service page for more information on our card reader options and to get started.

Are you making the payment process as quick and simple as possible for your customers? Pay by links could be the solution you’re looking for.

Why? Well, it’s easy to manage and track for the merchant and allows the customer the flexibility they desire making it a really efficient way to convert. With so much competition out there and distractions to deter your customers away, being able to offer them a payment method that’s incredibly fast and frictionless is a sure way to truly get them onboard.

But what is a pay by link? To put it simply, a pay by link is a link sent directly to a customer that will take them to a checkout page so they can easily make a payment at a time that suits them. It’s that simple!

Still not convinced? Let’s explore the reasons why a business should accept pay by links.

Who uses pay by links?

Anyone! Any business can utilise payment links. Its versatility and customisable features make it the ideal payment method for any type of business to increase its conversion rates. But let’s take a look at some examples of the main business types that use pay by links.

Companies without a website

If you’re just starting out and don’t yet have a website, or if a website isn’t suitable for your business model, such as a food van or mobile beautician, then pay by links are a great option for you. When a customer needs to make a payment and they aren’t there in person or if you don’t yet have a card machine, this method is the quickest and simplest way to collect that bill.

SMS marketing

Is SMS marketing a big part of your brand? If you’re utilising your contact list for sales and marketing, why not use it to collect payments too?

Payment collectors

For any business that has a high volume of payments to collect and multiple customer segments, being able to send out pay by links could become your saviour. You can automate the process and send out links in bulk to increase your collection rates.

Companies that take payments over the phone

Does your customer service team often take payments over the phone? Manually taking card details can come with security risks, that’s why sending a payment link while you’re on the phone is much more secure and can put the customer at ease. They're also more likely to have their phone on them than a debit/credit card, so can easily use their mobile wallet or stored data if they’re a returning customer to make the payment.

Quote from Hanover Insolvency

How can pay by link help me sell more?

Other payment methods are just as important to gain a successful conversion whether you sell online or face-to-face. But if you’re still struggling to collect payments on time, adding payment links to your offering can just be the ticket to move those transactions over the line.

But why? Let’s take a look at the perks!

Reasons why your business should be using payment links

Alternatives to pay by link

There are many ways you can collect payments these days, and some will be more suited to your business than others. Here are some alternatives that you can use as well as pay by links.

An example of social commerce via a social shopfront.
  • Point of sale - The more traditional payment method, and the most common for face-to-face transactions, is via a point of sale (POS), also known as a card reader or card machine. Most consumers will be used to this method making it a trusted and easy option.
  • Online checkout – If you sell online via a checkout page on your website, then offering a range of alternative payment methods, like Apple Pay and Google Pay, as well as the more traditional debit and credit cards, is the go-to option across all industries, especially e-commerce.
  • Social media shopfronts – If you want to embrace the upcoming methods to attract the younger generation, there’s social commerce where you can integrate a checkout page into your social media accounts.

If you want to truly offer your customers the freedom to pay how they want to increase your conversion, depending on your business modal, why not implement all payment options?

How to find a good pay by link service provider for my business

When looking for a pay by link UK provider, there are a few things you may want to consider:

At Nomupay, we can offer you the whole package. Thanks to our Unified platform, you can add, amend, track and report on all types of payments, including pay by links.

Check out our pay by link page for more information on this solution, or get in touch to speak to one of our specialists.

Starting your own online store is an exciting adventure with endless possibilities thanks to the billions of people using the internet worldwide! However, scaling a business is a significant step for any e-commerce venture and can be challenging. Even if your business is growing organically, there are important actions you need to take to keep up with the growth. Neglecting this will result in you losing the progress you've already made.

To understand the fundamentals of scaling your e-commerce business, let's use a simple analogy. Think of your business as a building. Just like constructing a sturdy building, you need a strong foundation. You'll also need the right resources and workforce to gain momentum and complete the project. Finally, you can add the finishing touches and design details to make it truly shine. Your website needs just the same attention.

How do I know when it’s time to scale?

Deciding to scale your business is a major decision and a huge step forward. Before we begin, it's important to highlight that you shouldn’t rush into this too early in the business journey. Attempting to scale without a proper foundation in place is a common mistake that can have serious consequences. Without the ability to maximise revenue, achieving a positive return on investment (ROI) becomes extremely challenging.

So, without further ado, let’s walk through the key steps to successfully scaling your e-commerce business:

Step 1: Build a solid foundation

Returning to our building analogy, we can think of scaling a business like building a house—without a solid foundation, any growth you achieve will be at risk of collapsing. It's never too late to evaluate your business's foundation and ensure you have the right infrastructure in place. Let's explore the key areas you should focus on when strengthening your business’ foundation:

To succeed in e-commerce, it's important to understand how your customers interact with different social media platforms. Each platform has a unique customer journey, and treating them all the same can be a costly mistake. Tailor your approach to cater to the behaviour and preferences of your target audience on each platform to stay competitive.

SEO doesn't yield immediate results—it can take up to a year for your efforts to pay off. Start implementing an SEO plan as early as possible to get on the right track. If you've overlooked SEO and already have an established business, expect around six months to repair any damage and see the desired outcomes. Begin by researching your business niche and identifying relevant keywords to target in your content; remember not to make the mistake of solely focusing on ranking for your business name! Instead, optimise all your content to meet Google's expectations and attract relevant traffic. Investing effort into SEO not only boosts visibility but also enhances the user experience for your website visitors, leading to improved conversion rates.

It’s impossible to grow your business without marketing. Even if you already have customers, a strong marketing strategy is vital to maintain momentum and sustain growth. Prioritise leveraging social media and email marketing; two-thirds of people will abandon their shopping carts, but email marketing can act as a key reminder and incentivise customers to go back and buy. Implementing pop-ups and opt-ins on your website helps grow your database and convert first-time visitors into loyal customers.

Customer service is essential for building loyalty, earning positive reviews and establishing trust. As you scale your business, you’ll need to have a system in place to address any potential issues from the beginning. Naturally, business growth comes with an increase in customers and, statistically, more complaints. Planning and strategising how to handle customer issues in advance can make or break your e-commerce business.

This involves two key objectives: attracting new customers and retaining existing shoppers. The sales funnel can be divided into three stages: awareness, interest and decision:

Awareness - attract potential customers by addressing their pain points.

Interest - engage interested customers with targeted campaigns.

Decision - convert browsers into buyers through optimised site experiences and remarketing efforts.

Driving traffic to your e-commerce store is a no-brainer for its success. While SEO and social media campaigns are valuable, they may not deliver immediate results. To effectively scale your traffic alongside your business, a strong Google Ads strategy is essential. Focus on Google Shopping and search campaigns to attract new customers and remarket to previous online store visitors.

To ensure your brand reaches your target customers on Google Search results, it's important to please the algorithm. Google aims to display relevant results to its users, so if visitors come to your website through specific keywords but don't make purchases, the algorithm may not consider it relevant. Increase your chances of ranking higher by focusing on conversions through offering coupon codes or streamlining the checkout process to encourage visitors to make purchases.

It's crucial that you constantly revisit your software infrastructure. Take a comprehensive look at key areas such as customer relationship management (CRM), accounting and email marketing software. Additionally, invest in inventory management and warehouse management solutions to accommodate higher volumes.

Step 2: Strategically expand your business

With the foundations in place, you now need to embrace adaptability and evolution as your business expands. It’ll become imperative to foster growth within your team and upgrade your technological capabilities accordingly:

While it might seem repetitive, customer service should never stop being a top priority at any stage of your business’ journey. At this point, consider creating a loyalty program that encourages constant customer growth while still rewarding existing customers.

While we’re on the subject, you also need to factor in that customer reviews are a vital part of increasing conversions and building brand trust. It’s estimated that as many as 69% of shoppers want to see more reviews on online stores, which means adding them to your store is essential to increasing the number of new shoppers you convert.

User-generated content (UGC) is a combination of word-of-mouth advertising and customer reviews. You can easily encourage your shoppers to share UGC via competitions, promotions or hashtag campaigns on social media. This will help get your brand front and centre on shoppers’ social accounts.

Don’t forget as well as your own e-commerce website, you can make your products or services available on other platforms, like the Amazon Marketplace or eBay. By leveraging other sales channels, you extend your reach and by extension, can earn more sales!

As you grow it’ll be tough to keep up with the increasing momentum required for picking, packing and shipping your products. To avoid feeling overwhelmed, it’s worth thinking about using a third-party shipping and fulfilment solution. This should leave you enough time to concentrate on product development and your marketing efforts.

To scale your e-commerce business efficiently and cost-effectively, automation is key. From automated emails to streamlining PPC campaigns, look for areas in your operations that you can automate and drive growth.

Expanding your team is probably one of the most exciting parts of growing your business! At a certain point, this is necessary to put an end to employees having to multitask; which can prevent them from excelling in their strengths. Consider dividing or creating new roles to encourage improved productivity.

Step 3: Drive a greater turnover

At this stage, your e-commerce business has come a long way and you’re ready to grow it to the size you’ve always dreamt of! You’ll thank yourself later if you use this time to plan for the inevitable challenges that lie ahead:

As order volumes increase, you may start to encounter capacity or quality constraints from your suppliers. To mitigate these challenges, fostering strong and reliable partnerships with them is crucial. By building relationships based on shared growth and success, you can align their interests with yours.

While sales fluctuations are common, this doesn’t mean you can’t proactively prepare for them. Develop a robust strategy that anticipates these sales downturns and constantly evaluate and explore opportunities to expand or adapt your product lines. This will ensure your business remains agile and stays ahead of stagnation.

Love it or hate it, influencer marketing is here to stay and is one of the best ways to get your product in front of a large audience. The power of influencer marketing is trust. If a customer follows someone they trust, and that person tells them to buy something, they likely will!

Remember that as well as social media marketing and SEO, you can tap into an additional avenue to generate website traffic through the Google Display Network. This platform enables you to retarget potential customers who didn't convert, giving you an extra opportunity to boost sales.

As your order volume grows, the unfortunate reality is that fraud incidents are likely to increase as well. To tackle this, integrating reliable fraud management software becomes indispensable. These tools leverage advanced technologies such as machine learning, geolocation and sophisticated authentication methods to safeguard your business against fraudulent orders. The good news is there are plenty of user-friendly and highly effective fraud management systems readily available.

Once you've made the brave decision to scale your e-commerce business, you’ll always need to maintain momentum through tracking, evaluating and making necessary adjustments. Take a step back and assess your progress and the effectiveness of your scaling strategy. Are you witnessing the desired outcomes within a reasonable timeframe? Identify what has worked well and what hasn't, enabling you to refine your approach.

Final takes

While every business is different, this blog will hopefully serve as a handy reminder of some of the most important things to consider to ensure you scale your business the right way. Remember, the journey to success will always be an ongoing process of adaptation and optimisation. Stay vigilant, be open to making necessary adjustments and you’ll be well on your way to unlocking the full potential of your e-commerce business!

Get started on your e-commerce journey here…

Nomupay partners with Token.io to launch open banking-enabled payments capabilities

Leading A2A payment infrastructure provider, Token.io, and award-winning payment processor, Nomupay, have teamed up to offer account-to-account (A2A) payments to European customers. 

Facilitated by open banking, A2A payments ('Pay by Bank') offer a fast and secure way to transfer money between bank accounts. Users authenticate directly with their bank, ensuring high success rates and a frictionless experience, whereas merchants save costs and enjoy instant settlement for improved cash flow. 

With a focus on delivering the latest technology to its merchants, Nomupay is thrilled to leverage Token.io's extensive connectivity network and powerful platform, which provides the fastest and most-efficient way for payment providers to launch Pay by Bank as a core payment method. 

Token.io’s A2A payment infrastructure will enable Nomupay to swiftly launch its own A2A payment capabilities to its merchants across various industries through its gateway. With coverage of over 567 million bank accounts in Europe (80%+ of bank accounts in each of its 16 supported markets), Token.io boasts the highest-performing connectivity for A2A payments, ensuring seamless integration of this payment method across all channels and devices. 

Nomupay is a leading provider of seamless payment solutions, enabling businesses to streamline their payment workflows, reduce costs and boost revenue. The company offers a range of payment processing services, including e-commerce, recurring payments and alternative payment methods, like pay by link. 

Open banking-enabled payments are rapidly gaining popularity due to their speed and convenience. Globally, volumes are projected to grow from $53 million in 2023 to $334 billion in 2027, with Europe accounting for 86% of that. 

Alex Leigh, Co-founder at Nomupay said, “Integrating A2A payments into the Nomupay platform was an important move to stay up to date with the market and our customers’ needs.  

As a trusted provider, Token.io was the ideal partner. We’re excited to say that Travis Perkins has already shown an interest and will be an early adopter of the solution.” 

Chief Executive Officer at Token.io, Todd Clyde said: "We’re thrilled to partner with Nomupay and to support its mission of delivering frictionless payment experiences. By harnessing the power of open banking, we will empower Nomupay's customers across Europe with secure, instant A2A payment capabilities."

The collaboration between Nomupay and Token.io marks an important milestone in the payment industry, where open banking-enabled payment capabilities are increasingly sought after for their speed, security, and convenience. By combining Nomupay's expertise in payment solutions with Token.io's robust open banking platform, merchants can expect enhanced payment experiences that drive business growth.

About Nomupay

Nomupay is innovating the payments industry for businesses worldwide to become the most customer-focused company in its space. 

It’s a leading provider for custom solutions across online and in-store channels enabling businesses to streamline their payment processing, reporting and risk aversion to create an end-to-end product.

With access to more than 300 acquirers, a secure gateway with 99.99% processing uptime and more than 198 alternative payment methods, Nomupay is providing a seamless service to increase approval rates and boost revenue for businesses worldwide.

About Token.io

Token.io’s A2A payment infrastructure is powered by open banking and built for the payments industry.

With the simplest and fastest way to launch Pay by Bank as a core payment method globally, Token.io helps payment providers grow their market share in the face of the continued shift from cards to APMs.

Token.io's complete payments infrastructure offers the deepest and highest performing connectivity, reaching over 567 million bank accounts (80%+ of accounts per market) in 16 countries.

With fast and flexible deployment options, including the option to use Token.io's license and conversion boosting payment authentication flows, payment providers can quickly and easily launch and manage Pay By Bank capabilities.

The world has indeed embraced the digital era. And why wouldn’t we with so many benefits of advanced technology. But one particular advantage that stands out to every generation is speed. With just a few clicks, we can complete online transactions, plus the virtual space has become like a global common room where anyone and any service can be reached within moments. It's fast, easy to use and accessible worldwide.

However, with the increased convenience comes significant risk. As we’ve adapted to become reliant on the internet and technology as a whole, so have fraudsters.

Being aware of these risks and having tools and strategies in place to combat them is the best way to protect your business. So, let’s take a look at a range of statistics on how fraud affected businesses last year.

The dangers of online paymentsDownload

Cybercrime statistics

As we can see, cybercrime commonly presents itself as financial fraud using the online world to steal funds and then disappear without a trace. It’s  become an art form that hackers have perfected, and businesses, without the proper defences in place, can have a hard time keeping up. So it’s not surprising that a substantial 39% of UK businesses reported falling victim to a cyber-attack in 2022.

Online ecommerce has become more and more exposed as the types of commerce expand, including mobile payments and social shopfronts. Its vulnerability is costly both to merchants and customers who are often easy prey when conducting online transactions if there’s a lack of secure third-party platforms or gateways. Businesses and their clients are more vulnerable to credit and debit card fraud, data breaches and identity theft.

According to a report by Cybersecurity Ventures, the global cost of cybercrime is projected to skyrocket to an astonishing $10.5 trillion annually by 2025. This staggering figure includes a wide range of cyber-attacks, specifically those targeting online payments.

Credit card fraud statistics

Credit card fraud has become an increasingly severe problem when it comes to online payments. So much so that the global loss due to credit card fraud is estimated to reach $49.32 billion in 2030. That’s huge! But there are technologies and policies in place to help combat this. For example, EMV (Europay, MasterCard and Visa) aims to limit fraud by using embedded chips on smart cards. The EMV chips store a digital code that changes with every purchase making it very difficult for fraudsters to copy.

Chargebacks, which were initially designed to just protect the customer, have had a significant impact on card fraud, often called ‘friendly fraud’. In fact, at one point around 86% of all chargebacks were fraudulent. Customers could easily take advantage of the process and would receive an item, dispute it, demand a full refund, yet keep the item. The practice of friendly fraud has been recognised as one of the top threats to ecommerce and hospitality, and is especially damaging to small businesses – this type of fraud has been predicted to hit $100 billion this year.

However, the rules around chargebacks are getting stricter to protect the merchant also, with the aim to only let genuine claims through. There are also tools in place to help merchants manage chargebacks, like alerts that sends them an early warning so that they can turn it into a normal refund if it can’t be disputed and reduce the amount of charges.

Identity theft statistics

If you have an online presence, which hundreds of millions of people around the world have, then you’ll have personal and potentially sensitive information available for fraudsters to hack. A scary thought. They can do anything from reporting false names and information to authorities to impersonating and invading bank accounts.

Identity theft, especially in the digital age, can strike anyone. Due to the ease of access to the internet and other sources that can be manipulated or corrupted by cybercriminals, it has become one of the biggest vulnerabilities of the average consumer. 2022 saw a 21% increase in identity fraud, and 90% of it originated online. So it’s more important now than ever to be vigilant when online.

Prevention is key because the cost of this type of fraud can ramp up. That’s why, as a business, using a secure payment gateway and additional verification tools has become paramount to avoid identity theft.

Data breaches & cybercrime

Worldwide data breaches have remained a growing problem, with an average cost to businesses reaching a huge $4.35 million in 2022. Attempts at stealing intellectual property or classified information is an issue that every single company in the world faces, and not even major brands have a full grasp on their security. In recent years, some of the big players have seen shattering numbers of data breaches in their systems and millions of records accessed. For example, in March 2021 Facebook lost information on 533 million users and in January 2020 Microsoft lost 250 million customer support records. You can find more of the world’s biggest data breaches here.

Understanding how fraudsters attack

The online world is highly accessible and rich in opportunities. Seriously, what would we do without the internet these days? But it’s also equally filled with risks. More and more people are now opting for the quicker options of paying their bills, online shopping and making reservations that require their credit card or personal information.

As the statistics have shown, it has opened the door for fraudulent activity where they abuse the opportunities the internet has provided.

It’s also not surprising that they take advantage of holiday seasons too, where consumers are more likely to be spending. Since 2018, identity fraud rates only rose by up to 15% year-on-year during November and December, so Christmas time can be a particularly dangerous period for online shoppers.

There are numerous types of fraud and scams that cybercriminals actively pursue, even though their attack tools and methods may vary. One of the most popular scams on the internet is phishing scams. Cybercriminals commonly send a message, usually by email, pretending to be an authority, such as a representative of your bank, workplace or service you might be using to gain sensitive information or access to your device. During the height of the pandemic, phishing incidents rose by 220%.

But that’s not all. There’s also fake ‘too good to be true’ loans, money laundering, romance scams, the list goes on.

How to prevent cybercrime

With the functionality of the online world continually expanding with people being able to do more and more online, it has become vital to find secure services and payment methods to successfully protect consumers.

On top of the EMV, there have been other solutions introduced to tackle the risks of online payments and protect the consumers payment information. The Payment Card Industry Data Security Standards (PCI DSS) set regulations for businesses and card schemes to follow to increase online payment security, including the introduction of 3D Secure.

Many online banking and payment providers, like Nomupay, have additional security features based on these requirements.

This includes:

You can find out more ways to protect your business here.

Protect your business

It’s pretty clear from these statistics that there’s an urgency for businesses and individuals alike to prioritise cybersecurity measures to protect themselves from the financial and personal risks associated with cybercrime. But it’s not easy. Fraudsters will continue developing and improving their practices, and it may be too fast for the average consumer or business to keep up with. It can be even more difficult if you’re a high risk merchant.

Implementing robust security protocols, staying informed about the latest threats and using secure payment platforms can go a long way in safeguarding your business and preserving the integrity of online transactions. By working together to combat cybercrime, we can make significant strides in reducing the impact of these threats on businesses and customers worldwide.

As a secure payment processing provider, we will help you continue to provide a safe payment offering to keep your customers and your business protected.

Get in touch today to see how our services can keep fraudsters at bay.

Sources:

The Latest Cyber Crime Statistics (updated May 2023) | AAG IT Support (aag-it.com)

Shocking Credit Card Fraud Statistics & Facts for 2023 (moneytransfers.com)

6 fraud and identity predictions to help you protect your business and customers in 2023 - Experian UK

2023 Identity Theft Facts and Statistics

Card payments are increasing all the time. Just think about how often you use your card rather than cash. According to the UK Payment Markets August 2022 report, approximately 57% of all payment transactions recorded in the UK were taken by card. This number has been increasing steadily year on year.

So if you run a business and don’t yet accept card payments, why not? Fortunately, it’s never been easier to learn how to accept debit or credit card payments — even for small businesses.

And while we are a business that offers our own online payments service to help businesses take card payments online — this article will look more broadly at the questions businesses looking to accept card payments often ask, along with how they can get the best service for their needs in the wider industry. 

Why businesses and customers fell in love with credit and debit card payment solutions 

It used to be that card payments were slow and awkward for businesses to process — requiring signatures, unreliable technology and long processing times, but thankfully not anymore. Today, the payment process is quick and simple both for online businesses and in-store. 

For example, a business’s website can accept card payments via an online payment gateway. Whereas in-store, quick and easy payment examples include:

If someone calls up your business and wants to make a payment, you can even take card payments over the phone by using a virtual terminal. 

Because it’s so easy, customers love paying by card. It’s now common for most people to make a purchase with either a credit or debit card. And a lot of younger people almost never have physical money on them anymore!

How different types of businesses accept card transactions 

The great thing about taking credit or debit card payments is that there are a number of payment options to suit every type of business. 

Whether it’s accepting online payments or taking card payments in person with Chip and PIN or contactless payments, the right payment method for your business will depend on things like your business functionality and its size. However, there are a couple of things that all businesses will have in common; if you’re accepting card payments you will need a payment gateway and a merchant account. 

And of course if your business model does a blend of all of these things, then you can manage all of your card payment processing services together in one integrated payment solution. 

Traditional payment solutions versus integrated payment platforms 

As a business owner, you can benefit a lot from integrated payment solutions, if you aren’t already taking advantage of them. 

A good integrated payment solution will help you manage your payment services better by helping you to:

They can do this by connecting your payment processing services to other parts of your business, including your payroll, CRM and accounting software. 

So for example, whenever a payment is processed by your service provider, the data is automatically accounted for and recorded without you having to do anything. 

Integrated payment systems make a more streamlined experience both for you and your customers. A good solution can also be integrated into the card readers that you use, so they are handy for in-person transactions too. It’s never too late to switch to an integrated solution, and you should see the difference almost immediately. 

The downside of traditional payment solutions 

If you don’t yet have an integrated payment solution, you’re likely already familiar with the more traditional payment solutions and how they can be enormously time consuming. 

For example, traditional solutions often involve the manual counting and collecting of invoices, receipts and credit/debit card information. Not only is this a lengthy and error-prone process, but businesses often lose out by paying accountants to do the work for them. 

With an integrated payment scheme, all of this tedious work is performed by algorithms in real time. Leaving you with more time as a business owner to work on developing your business. 

Two men checking their paperwork

The risks of accepting card payments

You should know that accepting card payments, even if you implement a quick and easier payment process into your business, does come with potential fraud and security risks. However, as long as you’re aware of these risks and put the right security measures in place, the benefits will far outweigh the potential negatives.

However, if your business doesn’t accept any card payments at all yet, then by switching over you’ll reduce the risk of having to hold significant amounts of cash on your premises, which can be an easy target for theft.

To protect your business from card fraud, a number of 3D Secure authentication tools are available that can be integrated alongside any other security your site has.

These include:

In addition, when taking payments online your business and customers will benefit from the payment system being PCI compliant.

PCI compliance is the security standard endorsed by credit and debit card companies, such as Visa and Mastercard, and ensures you have the right controls in place to protect yourself and your customers when they pay.

Read more about how our fraud and risk management tools can protect your business. 

For more information on fraud prevention and security when it comes to accepting card payments, click on these links here:

Finding the right solution for your business. 

No two businesses operate in quite the same way, and so there is no “one size fits all” glove when it comes to accepting card payments (at least if you want to really optimise how you accept and process card transactions that is). 

So, if you’re interested in an integrated payment solution, and want to get the best results possible, you’ll want a provider that can offer customisable solutions and who can really work with you to get the most out of your business. 

All the key players involved in card payment processing 

There are a few key players involved whenever your customer uses a card to purchase something from your business. Including:

When you think about it, it’s incredible really how such a seemingly complex transaction can be processed in a matter of seconds. 

Here's what's happening behind the scenes:

A chart to show the process of a card payment.

But in more simple terms, there are three actions that happen whenever a card payment is made that involve the key players:

  1. The card is authorised 

The customer uses their card and the payment gateway sends the information to the acquirer or payment processor who, inturn, sends the payment request to the card network or issuing bank. The issuer then checks to see if the card is valid and if they have enough money to make the purchase.

  1. The sale happens

Whether the payment is accepted or declined, the information is then transferred back via the payment gateway to inform the customer and the merchant. If it is successful, the money is taken out of the customer’s bank account and held in the business’s merchant account.

  1. The sale is settled up

The funds will be held in the merchant account for one to seven working days as a security measure before it is transferred to the business account.

A note on card associations and interchange fees

You should know that if a customer purchases something from your business using a credit or debit card, you will need to pay an interchange fee. 

You can’t avoid interchange fees if your business wants to accept card payments, and they are set by the individual card associations. They’re also non-negotiable but will vary depending on the card scheme used, for example, Visa or American Express card.

What you’re charged will also depend on whether you choose a blended pricing model or interchange++. Find out more in our interchange fees explained blog.

Credit card versus debit card transactions

Credit cards and debit cards are processed in much the same way. However, debit cards usually have lower interchange fees because they’re considered a lower-risk purchase when compared to credit cards. 

The reason why debit cards are thought to be lower-risk is simple. When a customer purchases something with a debit card, they are spending money that they already have, direct from their bank account. 

When a customer uses a credit card, they are borrowing credit and therefore spending money that they don’t necessarily have. When a customer uses a credit card, the credit card company essentially extends a loan for the amount purchased in the transaction. The total sum of spends in a month is shown on a bill, which the customer is obliged to pay otherwise the credit card company will charge an interest rate.

Credit cards do have their advantages to businesses though. They are beneficial to your business as they allow consumers to spend more and allow more flexibility, especially when it comes to international spending.

As a business owner, however a customer spends — via either credit or debit card — is out of your control. But the more credit card transactions there are, the more fees you will likely have to pay at the end of the month. This is on top of all the other costs that come with card payments, so it’s important to understand all the fees so you can calculate them into your business costs.

The bottom line: you’ll want to make sure that the payment provider you work with is able to scale to your business needs and one that doesn’t rip you off. 

How to choose the right merchant solutions provider for accepting card payments. 

Choosing the wrong online payment company can be a costly mistake. But you can easily avoid making that mistake with the right information. 

For example, some companies might charge slightly different types of fees or hidden fees, including: 

If you run a small business, the likelihood is you will have tight margins and will only have the budget for absolutely essential expenditures. So you will want to make sure that the company you do eventually go with will have a simple and effective billing process that works for you. 

A good payments company will also provide:

FAQs

  1. How much does it cost to accept card payments?

The average transaction fee is anywhere between 1.5 - 3.5%. Transaction fees are set by the card schemes and are non-negotiable. The price is influenced by various factors, including what type of card is used by the customer (credit or debit card) and whether it is an international payment. The method of payment can sometimes affect the fee too, for example card-not-present transactions can cost more due to the risk factor.

  1. Can I accept card payments without a merchant account?

Yes, technically it is possible. However, the alternative solutions can cost more per transaction. With Nomupay, we can quickly set you up with a merchant account or a high-risk merchant account so you can accept card payments with ease.

  1. How can I receive credit card payments on my phone?

You will need a virtual terminal for that. Click on our service page to find out more information about how we can get you up and running taking card payments over the phone.

Conclusion: how choosing the right provider to accept card payments can boost your business.

It’s very important that you choose the right online payments company correctly. Pick the wrong one, and you could be on the wrong pricing structure and paying more than you need to. Trust, transparency and good customer service and communications are key. 

It just so happens that these are the values that we admire the most. But don’t just take our word for it. Check out our 5-star TrustPilot reviews. 

And please, get in touch or visit our online payments and payment gateway service pages to get an idea of how we can help you to begin accepting online and in-store credit and debit card payments.

If you’re often collecting payments and distributing invoices, you’ll know how important it is to receive these payments on time to keep a positive cash flow. And that’s where our partnership with Invevo comes in; it's bound to be a game-changer for your business.

With Invevo’s advanced management technology and our seamless payment processing integrated into one platform, we’re offering a complete end-to-end solution to help businesses of all sizes.

 

Who is Invevo?

So let’s introduce you to Invevo. It’s a receivables management platform that helps businesses collect payments more effectively by automating and simplifying the process through a streamlined back office.

Its features include:

Self-service portal

Invevo provides clients with a self-service portal so that they can make payments, promise to pay and manage their accounts online including invoice disputes.

Real-time credit risk monitoring

By monitoring and understanding a customer’s credit risk and behaviour, you can automate informed decisions to limit credit exposure., benefiting both you and your customers.

Order block management

Take advantage of the data available to you; create a simple and quick process by making real-time decisions on segmented customers based on available credit, risk and overdue receivables.

Customisable workflows

You can work more efficiently and save time by configuring your workflows. By segmenting your customers into groups, you can easily manage communications to optimise your collection performance.

Automated communication suite

Increase collection rates through branded communications via a range of channels, including email, SMS and post straight from the platform.

 

How is Nomupay helping Invevo customers?

By embedding our solutions into the Invevo platform, collecting payments couldn’t be easier. You’ll get access to our advanced payment technology and a vast selection of tools for a seamless processing experience.

By being fully integrated, your businesses can benefit from:

Multiple payment methods

Whether you are looking to accept payments over the phone or send branded pay by links through SMS and email, all of these options can be easily executed directly from the platform.

Optimised checkout flow

With a simple embedded checkout and a range of alternative payments to choose from, such as Google Pay and Apple Pay, easily take payments without leaving the Invevo platform.

Flexible payment structure

Increase your collection rates with flexible payments. Amend or pause payment schedules to maximise customer retention.

 

Why is this a good partnership?

Since joining forces with Invevo, our integrated platform has helped many merchants accelerate their cash flow. Together, Invevo’s customers will gain access to a comprehensive set of tools for managing the receivables life cycle, including invoicing, payment processing, late payment management and real-time data reporting.

When customers pay through the self-service portal, that’s when they can experience the benefit of our partnership. And with it, we’re confident that we can help to:

 

Don’t just take our word for it

Adecco experienced significant improvements in cash collection, operating costs and customer relationships by implementing the integrated Invevo and Nomupay solution:

Improved cash collection

Adecco's customers could pay on any device, leading to faster bank settlement times and improved working capital.

Reduced operating costs

Adecco reduced gateway and acquiring fees through smart routing and saved on headcount through automated reconciliation of inward payments.

“After implementing Invevo, we saw an immediate increase in online payments from all regions and were able to recover lost revenue from previous months, not only improving our DSO but also increasing customer satisfaction.”

Adecco's success highlights the efficiency and seamless workflows this partnership offers, giving them confidence in their financial processes and providing a range of benefits through the integrated platform.

Want to see what our partnership can do for your business? Reach out to us today, and our team will provide an in-depth journey of our features, showing you firsthand how we can improve your conversion rate.

Have you ever thought about what it means to live in a cashless society? While you may think of cashless payments as a modern phenomenon, with credit cards, debit cards and contactless payments replacing the traditional paper bills in our pockets, the concept of a cashless economy has actually been around for thousands of years. In fact, the Mesopotamians, who lived 8000 years ago, were one of the firsts to create a cashless barter system. Fast forward to today, and the trend towards a completely cashless society is accelerating, with cash increasingly losing ground to plastic, electronic payment methods, cryptocurrencies and other alternative payment methods. Many countries are already taking steps towards becoming fully cashless. Sweden is leading the way and is predicted to achieve a cashless society in less than a decade!

But what does this mean for us? To answer this question, let's run through the key turning points throughout our history of cashless transactions. Download the infographic here.

The history of a cashless societyDownload

2023 signifies the 5th year of World Wellbeing Week. The perfect opportunity to raise awareness around the significance of wellbeing and explore ways we can prioritise looking after ourselves.

When we think of wellbeing there’s not one particular definition that comes to mind. However, in the aftermath of the Covid-19 pandemic, researchers have focused much more on what wellbeing really means. They’ve since defined it as ‘a state of positive feelings and meeting full potential in the world.’ In other words, wellbeing is not just about having good physical health. It’s much more centred around how an individual feels and their ability to cope with daily life. Let’s jump in and take a look at simple steps you can start to implement to enrich your wellbeing:

1. Are you getting enough sleep?

As we spend almost a 1/3rd of our lives asleep, it’s unsurprising this involuntary process can have a sizable impact on our wellbeing. Sleep is vital for our brains to recover, regenerate and function effectively during the day. Lack of sufficient sleep has been linked to psychological distress and mental health problems for years, so shouldn’t be overlooked!

Mentalhealth.org.uk outlines key ways we can improve our sleep quality:

2. Make sure you’re taking breaks

Work can be pretty stressful, let’s be honest, and it’s all too easy for us to sacrifice breaks in order to ‘get it done’. But, the easy solution isn’t always the best solution. Research shows taking breaks throughout the day has a positive effect on wellbeing and productivity, and even reduces the recovery time needed after.

Here are a few tips to help you slot in those valuable minutes of rest:

3. Communication is key

Communication isn’t a very obvious contributor to wellbeing. However, it’s a vital tool we need to connect with others and ourselves, aka maintaining any sort of quality of life! Unfortunately, communication skills don’t always come easy and this can affect multiple areas of our lives, from personal relationships to our role in the workplace. So, let’s run through a couple of small ways you can improve your communication skills:

4. Practice mindfulness

Mindfulness is described as maintaining a moment-by-moment awareness of our thoughts. In other words, it’s a chance for us to get outside our own heads for a minute and enjoy the world around us. It’s a great practice to appreciate little things we may have taken for granted before, and deal with stress and problems more productively.

The NHS website makes helpful recommendations for how we can be more mindful:

5. Look after your physical health

Although health is not the same as wellbeing, it still significantly impacts how we feel. There’s a whole list of benefits to spending more time eating well and engaging in some form of physical activity:

You’re probably already clued up on what to do to improve physical health, however, it’s always worth refreshing your mind about the tiny changes we can make to feel better in our bodies. Drinking enough water, getting your steps in, eating more vegetables, cutting down on alcohol and limiting the amount of processed foods you eat are all simple lifestyle changes that can have a long-lasting positive effect on your wellbeing!

We hope this blog has allowed you to take a second out of your day to check up on your own wellbeing and act as a reminder of how important prioritising self-care is. If you’re ever feeling overwhelmed or in need of more support, we’ve compiled a list below of some of the UK’s top organisations to reach out to:

https://www.mind.org.uk/

https://www.samaritans.org/

https://www.thecalmzone.net/

https://www.mentalhealth.org.uk/?gclid=CjwKCAjw1YCkBhAOEiwA5aN4ARjAC6jFz1QpHORenCpVSHc3KPA0J7WMBfO9Hm-MWJGLYUecTJq0NhoCiicQAvD_BwE

As a merchant, who doesn’t like recurring revenue? Nobody, right? That’s exactly what recurring payments and Direct Debits can provide for you when optimised to their full potential. If they’re not optimised, you could be missing out on a lot of revenue. In fact, the average retention rate for a business taking recurring card payments sits at an unsatisfactory 40-45%, so it’s important you take the time to understand both forms of payment and how to ensure a smooth customer experience.

But what’s the difference between them both?

Let’s take a look at recurring card payments vs Direct Debits to see which is more suitable for your business model.

What's in this article?

What is a recurring card payment?

Before we delve into the differences, let’s quickly answer the questions: What is a recurring payment and what is a Direct Debit?

A recurring card payment (also known as a Continuous Payment Authority (CPA)) is when a customer makes a continuous payment to a company by providing them with their card details. The customer gives their permission for money to be taken from their account at set intervals, such as weekly or monthly.

They’re often used for subscriptions like Netflix, memberships such as the gym or even utility bills.

What is a Direct Debit?

A Direct Debit can be a recurring transaction or a one-off payment. The customer will provide their bank account details to the company and will authorise the payments to be taken directly from their account. Direct Debits are often used for larger payments, such as rent or mortgage payments, as well as utility bills.

What are the key differences?

As you can see, recurring card payments and Direct Debits are very similar forms of payment. So similar, it can be confusing to distinguish between the two. They both require the customer to authorise the payment and the funds are taken on a set schedule. What they’re used for can cross over too.

So, what is the difference?

How the money is taken

How recurring payments work differs from Direct Debits when it comes to the way the customer authorises the payments. For a Direct Debit, the customer must complete a Direct Debit mandate form providing their bank details, granting the business permission to take funds from their bank account.

The way a recurring payment works is the customer will provide their card details, either debit or credit card, granting permission for the funds to be taken from their chosen card.

How the funds are processed

Recurring payments are usually much quicker than a Direct Debit. They can be processed immediately or on the next working day. Direct Debits, on the other hand, can take several days for the funds to clear. So, if a payment needs fast clearance, setting up a recurring card payment would be the ideal option.

How to cancel the agreement

Since the payments are set up in different ways and the funds are taken differently, it’s no surprise that how to cancel the payments differ too. Direct Debits need to be cancelled via the bank and recurring payments need to be cancelled via the card issuer or organisation they are set up with.

How flexible they can be

Recurring card payments are far more flexible than Direct Debits. With recurring payments, the schedule can easily be amended or paused in an instance, as well as provide price variations, making them much more customisable. Whereas with Direct Debits, although making amendments is possible, advance notice needs to be given by both the consumer and the business.

Recurring card payment dashboard showing how these payments can be managed

How refunds are made

For the customer, Direct Debits can be more secure due to the Direct Debit Guarantee. If money is taken by mistake, the bank usually has the responsibility to pay the refund. They will refund the payee and then raise an indemnity claim against the company, known as a Direct Debit Indemnity Claim Advice (DDICA) report in which the company has the opportunity to dispute the refund.

Whereas with a Continuous Payment Authority, the liability lies with the company and in a usual case, the merchant would log in to the CRM they use to issue the refund.

The failure rates

Since Direct Debits are taken straight from the customer’s account, the main issue for failed payments is if they have insufficient funds. As soon as the funds become available, the payment can be taken. However, there are more opportunities for a recurring payment to fail, such as an expired card. Therefore, Direct Debits tend to have lower failure rates.

However, you can implement features to combat expired or stolen cards. For example, network tokens will automatically update a customer’s card details based on the information provided by the card scheme network. This is facilitated by the process of network tokenisation in which a customer’s card details are stored as a unique string of digits so that recurring payments are secure and easily taken.

Should you accept Direct Debit or recurring card payments?

As you can see, the purpose and outcome may be the same, but how a recurring payment works is very different from a Direct Debit.

Both recurring card payments and Direct Debits have their own benefits and are ideal for receiving recurring revenue, but which one you choose will depend on your business model. If you want quick processing times and more flexibility, then recurring payments would be your optimal choice.

However, if you want to reduce churn, Direct Debits may be more suitable. Alternatively, you can check out our blog on how to beat churn and make your business model more autonomous with recurring payment tools like network tokens and multi-card registration.

For more information on how recurring payments work and how Nomupay can boost your revenue, get in touch or take a look at our ultimate recurring payments guide.

Is your business making the most of social commerce? This new approach has been gaining a lot of traction lately and is becoming increasingly popular among businesses and consumers alike. And guess what? It's not just a passing trend in the wake of the pandemic - it's here to stay!

In fact, even back in 2019 87% of consumers felt that social media informed their purchases, with 30% of consumers saying that they’d buy directly from these channels. Those percentages will only increase, so, if you’re not optimising your social media platforms, think about how much revenue you could be missing out on.

Plus, in these challenging times, social commerce is becoming an even more important tool for businesses. It's allowing them to quickly and easily launch an e-commerce store and checkout within their social media platform, which is especially useful for those who don't have the means to build their own website.

We’re not surprised this form of contextual commerce is on the rise, but let’s take a look at the benefits and how you can integrate it into your business strategy and increase the amount of ways you can accept online payments.

What is social commerce?

Social commerce is a type of ecommerce that allows consumers to make purchases via social media platforms. It is a way to shop that's more convenient and personalised to your needs. Imagine scrolling through your social feed and being able to make a purchase of something that catches your eye without having to leave the app. Pretty cool, right?

It’s designed to work in a way that feels natural and intuitive for customers. It's all about creating a seamless and enjoyable shopping experience that fits into our daily lives. So if you need a way to improve your customer experience, social commerce might just be the answer you've been looking for!

Examples of social commerce

There are a range of ways you can use social commerce to advertise your business. Let’s take a look at some of the examples:

Social shopfronts

Platforms like Facebook and Instagram partnered with Shopify and BigCommerce to create social shopfronts. For merchants, the possibilities are endless.

With Facebook Shops, you can organise your product catalogue by collections and categories, just like any other e-commerce site. Shoppers can save and order products either through the app or directly through the merchant's website, depending on the merchant's preference. The best part? You can manage everything from within the social media site itself, without having to go back and forth between different platforms.

And that's not all - Facebook Shops and Instagram can integrate with Messenger and WhatsApp, making it easy for you to communicate with your customers and provide great customer service. You can even get insights for each product within your shopfront.

Shoppable posts

Regular, organic posts like Instagram Stories, Instagram Reels, Pinterest pins, Facebook images and carousels, and TikTok videos can be shoppable too. They just look like a normal post adding to the natural and seamless experience. The only indication that the products shown can be purchased via the channel is the icon or a label in the corner showing that the products are tagged.

Social influences

A big trend for social media these days is user-generated content (UGC). Content creators can even be more influential than celebrities these days. UGC can also reach a wider audience than any ads you create – One study by LTK found that in 2022 alone, this type of content made $3.6 billion and a huge 75% of Gen Z shop via these creators. So, it’s safe to say, especially if you have an e-commerce business, merchants can’t afford to ignore this type of commerce.

The benefits of social commerce

Social media users have seen a 79.1% jump in just five years. This means that the possibilities for social commerce are also growing, and it's becoming even more user-friendly and interactive.

Facebook Shops is not just a game-changer in the world of e-commerce, but it has the potential to revolutionise this type of commerce on a global scale. But how? Why is social commerce so important? Let’s take a look at the benefits of social commerce to retailers.

So, if you’re not making the most of your social media platforms, now could be a good time to start! But if you’re already on top of it, why not see what other types of commerce you could optimise, for example, voice commerce.

To learn more about the future of payments, get in touch with Nomupay today!

NomuPay, a modern end-to-end payment platform purpose-built for expansion into regions of high cross-border and e-commerce growth, has raised $53.6m. The round was co-led by Finch Capital and Outpost Ventures, an investment platform of Neuberger Berman, with participation from individuals.

Peter Burridge, CEO of NomuPay, says “Every growing international enterprise knows the problem of ‘multiples’ when it comes to payments. There are multiple countries, multiple payment types, different payment use cases in each nation, a variety of channels, and an endless list of changing regulations. As a result, expansion slows down. Companies have to maintain countless technical integrations and vendor relationships while reconciling global payments. At NomuPay, we remove the burden of ‘multiples’, by unifying fragmented payment networks. In the face of continued technological, market, method and data fragmentation, we provide companies with an ‘all-access pass’ to global payments, enabling enterprises to continue to expand globally, and to future-proof payment strategies.”

NomuPay’s Unified Payments (uP) Platform provides omnichannel payment acceptance and payout disbursements through a single API integration. Engineered to simplify fragmented payment infrastructure throughout Southeast Asia, Europe and Turkey; the uP Platform provides scalable payment solutions and robust data management and reporting capabilities. An ‘all-access pass’ to payments, NomuPay’s uP Platform is gateway agnostic and capable of augmenting existing payment infrastructure with ease.

Radboud Vlaar, Managing Partner of Finch Capital, says “Under the Leadership of Peter Burridge, NomuPay has made a series of licence acquisitions, and top-level hires that have helped to take the company to the next level. On top of this, the company has built a Unified Payments Platform that unlocks local payment acceptance and payout disbursements in geographies that have long lacked a unified system, through a simple and single integration. We are very excited to see how NomuPay address the burning need of clients in these core markets.”

David Dubick, Partner of Outpost Ventures says, “We’re thrilled to partner with the deeply experienced team at NomuPay and be a partner with them in this next phase of growth. Throughout our conversations with NomuPay we’ve been continually impressed by the technological implementation of the uP Platform, its ability to solve a wide range of issues faced by enterprises and marketplaces in global payments, as well as their approach to distribution and the initial partners who are using the platform at scale.”

NomuPay has successfully started to onboard new clients as of Q4 2022, and is now actively scaling the business in their core markets. The team continues to add new markets to the uP Platform, as well as continuing to invest in product development.

What’s the most important factor for any business to succeed? Conversions! If your conversion rate takes a hit, then all areas of your business will struggle. But don’t fret, there are many ways to optimise your website to increase sales, and it all begins with data.

Transactional data is there to be leveraged; the key is in how merchants use it to retain both revenue and consumer loyalty for long-term growth.

We’ll guide you through the key avenues where a transaction could be gained or lost, whether that be in how you accept online payments with the methods you offer, checkout page friction or lack of data to understand your demographic.

What causes a lost sale

Before we take a look at the strategies used to increase sales, first let’s see what could be holding you back. When a customer goes to make a purchase, the number of elements that can cause them to abandon their basket can happen before the customer even clicks ‘go to checkout’. Even after that, the threat to your bottom line hasn’t gone yet.

The main elements that can have the biggest effect are site optimisation, checkout flow and fraud. They’re variables that occur at different stages of the customer journey but can all affect merchant revenue and customer retention.

How to increase e-commerce sales

As we’ve mentioned, leveraging transactional data for every completed and abandoned purchase can give a very telling picture of both the success and downfalls of your processing; and how it can further be used in marketing campaigns.

Data can dictate where your customers are dropping off in the journey, but here are some of the key elements that you likely need to optimise.

Cart abandonment rate

Let’s begin by looking at cart abandonment, focusing on getting products through the checkout successfully, without friction, to increase consumer retention and loyalty.

Only last year, cart abandonment rates were at 72.86%. Whilst this figure has come down slightly in recent years, it is much higher for mobile and tablet devices. Due to a lack of alternative payment method offerings and optimisation, the friction created through checkouts on these smaller devices spikes cart abandonment rates to 85.65% and 80.4% respectively.

Working out the main cause for your consumers to abandon their cart will lead you in the right direction to see which element you should optimise first.

Alternative payment methods

The list of alternative payment methods (APM) available these days is pretty long, but does that mean you should offer all of them? Not necessarily.

If we look at devices on a surface level and just take size into account, it’s obvious that trying to fit everything from the desktop checkout into smaller screens doesn’t always work. Simply, one size does not fit all – at the checkout or in traditional marketing.

Instead, use data to see which payments are the most popular in the market to add them to your offering, and then which ones amongst those are mostly used by your consumers to implement into your mobile checkout.

Mobile checkout with alternative payment methods

Since we’re used to speed and convenience these days, striking a balance between providing a range of payment methods that can fulfil a one-click checkout without slowing down the loading speed by offering too much is key.

So, digital wallets are a good place to start. In the US alone, Apple Pay users have been forecasted to hit 48.7 million in 2023, so that’s a lot of consumers you’re targeting. A case study from Google also found that offering Google Pay as a default for new users increased conversion by 20x.

Frictionless security standards

Optimising the checkout flow with APMs can also help resolve friction that occurs from security compliance. The additional security steps at the checkout can often dissuade genuine customers from making the purchase.

Shoppers were often declined at the checkout due to a false decline (where valid card information is incorrectly rejected) caused by overzealous fraud parameters. However, since the use of biometrics has become the norm when using smartphones these authentication steps feel like second nature these days. Therefore, with the right APM, security measures can be met in a way that reduces the number of do not honours and false declines that a merchant has to deal with.

Another way merchants can ease friction at the checkout is by providing the option to save the customer’s card details; it’s a PCI-compliant way to make the checkout flow even quicker. By securely tokenising their card, the customer can use a one-click checkout journey without the need to verify the payment during every transaction.

Predicting fraud

One of the most important objectives for any business to obtain a profitable revenue is to reduce fraud. Friendly fraud, like chargebacks, can make a big dent in a business’s revenue due to a rise in refunds, wasted shipping costs and fines from the banks and card schemes.

Due to chargebacks alone, merchants lose an average of $3.75 for every $1 lost due to the added fees. So ensuring you have the right tools in place to combat this will help your bottom line.

Rather than offer a one-size-fits-all approach to fraud, like a lot of services, our suite of tools gathers information from every data point and assesses where and how it can be utilised. This insight can highlight how different demographic elements are suited to different strategies; just like differing marketing campaigns.

Fraud checks performed as a standard across the payments space are:

A trio of tools we offer are as follows:

Comparing this data against other data sets will help to detect discrepancies. Not only that, the more insights you gather, the more Machine Learning tools can use algorithms to perform predictive analysis on consumer spending, which helps to determine whether a transaction is likely to be fraudulent or not.

From this data, you can set rules on how to proceed to trigger methods such as 3D authentication or to set warnings for when a merchant is likely to receive a chargeback. Basically, data can be used to keep you ahead of the game when it comes to fraud so that you can limit the damaging costs and keep your revenue up.

Know your customer

Without insights you might as well build out campaigns with a blindfold on. It’s fundamental when it comes to understanding your consumer base so that you can create an effective marketing strategy to increase your website conversion rate. The mass market is more fragmented than you think, so you need to be able to target multiple markets whilst maintaining a cohesive brand message.

Unified Platform transaction report

Keeping pace with actual purchase behaviour allows marketers to redirect campaigns to specific behaviour, such as an abandoned cart email campaign. The key here is to use insights from transaction data over time, to measure the flow of behaviour and add this to the current demographics.

All of the data you gather, including from the standard fraud checks combined with the regularly acquired data such as consumer demographics, a retention score and the RFM score (Recency, Frequency and Monetary Value) can be used to provide a solid picture of your consumer base. By determining the consumer’s purchasing behaviour, you can tailor marketing messages, explain motives behind these changing patterns and give methods as to how to maximise individual response rates.

The goal? To identify promising areas of growth and enhance direct response rates to marketing campaigns to ultimately, improve customer retention.

How to increase your conversion rates with Nomupay

Here at Nomupay, we offer solutions that target the pain points and friction in processing and reconciliation that causes a drop in your conversions.

Our smart fraud suite provides the tools to track and manage the risks to your business, alongside chargeback alerts, IP blacklists, verification processes and more. Combined with 198+ alternative payments to choose from, 300+ local acquirers to increase authorisation rates and in-depth reporting and analytics, all integrated within a unified dashboard, you’ll have all the answers you need to hand so that you can implement an efficient strategy to grow your business.

Are you ready to get access to all the analytics you need to create strategies to increase your sales, improve your customer retention and reduce the risk of fraud, ultimately increasing your conversion rates? Get in touch with a payment specialist today.

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