Contents
- What is Payment Orchestration and Why is it Important?
- What is Payment Orchestration?
- Why Is It Important?
- Global Markets and the Role of Payment Orchestration
- Integration with Different Payment Methods
- High Transaction Costs
- Scalability and Flexibility
- A Strong First Step for Global Markets: Payment Orchestration
- Payment Orchestration Platforms Playing an Active Role in Global Markets
- Meet Craftgate to Gain Competitive Advantage in Global Markets!
E-commerce processes continue to show rapid growth momentum worldwide. Moreover, this growth is also evident in global markets. In fact, it is expected that 33% of e-commerce spending will be cross-border by 2028. There are many points that businesses that want to increase their share in global markets should pay attention to.
One of these points is payment processes. In this article, we will discuss how payment orchestration platforms can accelerate expansion goals in global markets, increase efficiency and profitability, and reduce transaction costs.
What is Payment Orchestration and Why is it Important?
What is Payment Orchestration?
Payment orchestration is a technological solution that allows businesses to reach different payment providers through a single central platform, eliminating the burden of the integration process that they have to carry out with each one separately.
This system aims to diversify payment processes, manage these processes from a single point, ensure smooth payment transactions, optimize costs and improve customer experience.
Why Is It Important?
- Provides ease of integration: While businesses often have to integrate each new payment provider they sign up with, payment orchestration greatly simplifies this process. Businesses can add new providers without having to change their existing infrastructure, allowing them to adapt quickly to changes in the market.
- Saves costs: Payment orchestration offers businesses the opportunity to receive payments across multiple providers via the most cost-effective solution. For example, Craftgate enables payment requests to be received via the most advantageous virtual POS with its Smart and Dynamic Payment Routing feature, reducing costs per transaction and optimizing overall payment costs.
- Increases payment success rates: Increases transaction approval rates and reduces payment rejection rates by dynamically routing between different payment methods and providers.
- Improves customer experience: Increases customer satisfaction and loyalty by offering different payment options and seamless transaction processes.
- Provides strength in the global market: It adapts to local regulations and payment preferences for businesses operating in different countries and regions, thus providing a competitive advantage in the global market.
To examine the details of the advantages that payment orchestration can bring to your business, you can review our article titled “ What is Payment Orchestration? ”
Global Markets and the Role of Payment Orchestration
Integration with Different Payment Methods
Cultural differences in different markets directly affect payment habits. For example, while cash on delivery or bank transfers are more common in some countries, credit card payments may be preferred in others. Therefore, it is very important for businesses to understand the payment preferences of consumers in their target market and offer them the most suitable payment options in order to establish themselves in the market.
Managing multiple options such as credit cards, bank transfers, digital wallets, local payment methods can be complex and costly for businesses.
Payment orchestration platforms, as we mentioned above, make it easy to work with different payment methods on a single platform. It eliminates separate integration processes and offers businesses a strong entry into their target markets.
For example, Craftgate allows member businesses to make agreements with international payment methods with high payment acceptance rates such as Stripe , Payoneer , PayPal , AliPay, Klarna , Afterpay , Clearpay, Braintree, Paytabs and receive payments in 9 different currencies.
High Transaction Costs
Varying transaction fees and conversion costs across payment providers can negatively impact a business’s profit margin, while failed transactions and refund rates also add additional costs.
Payment orchestration optimizes transaction traffic and reduces transaction costs with solutions such as Smart and Dynamic Payment Routing that direct payment requests to the lowest-cost payment providers.
Scalability and Flexibility
As your business grows, you expect your payments infrastructure to keep pace. Insufficient scalability can lead to payment bottlenecks and customer churn.
At this point, payment orchestration platforms offer flexible solutions in parallel with the growth of businesses. Easy integration with different payment methods in global markets, smart and dynamic payment routing solutions, and solutions that allow them to receive payments even in case of system payment errors can be given as examples.
In this way, transaction volumes increase, the number of successful payment transactions also increases, and businesses can manage their payment processes smoothly while expanding into new markets.
These solutions help businesses overcome key challenges in their payment processes and gain a competitive advantage in the global marketplace.
A Strong First Step for Global Markets: Payment Orchestration
Payment orchestration solutions offer businesses critical features to gain competitive advantage in global markets. We can evaluate all these advantages under the following headings:
- Cost Advantage: Dynamic payment routing optimizes transaction fees across geographies to choose the lowest cost provider in each region, allowing businesses to reduce the amount they pay in payment fees.
- Diversity in Payment Methods: Support for multi-currency and local payment methods across geographies enables businesses to adapt to the unique payment preferences of each country. This flexibility appeals to different customer segments in the global marketplace, expanding market reach and increasing local customer loyalty.
- High Customer Satisfaction: In terms of improving customer experience, smooth and secure payment processes positively affect customers’ shopping processes. Offering various payment options appeals to the different shopping habits of global customers and speeds up purchasing processes.
- Data analytics and optimization: For businesses operating in global markets, being able to manage payment processes from a single point provides a significant operational advantage. Thus, businesses can make strategic decisions and improve their performance by analyzing payment data from their overseas operations.
Payment Orchestration Platforms Playing an Active Role in Global Markets
With the diversification of online payment systems, the payment orchestration market is also developing rapidly. There are many advanced payment orchestration solutions that stand out globally.
Some platforms also serve as a payment service provider, while others, like Craftgate, focus solely on orchestration.
The most notable of the global payment orchestration platforms are as follows:
- IXOPAY
- Spreadly
- Nuvei
- Checkout.com
- Bridge
- Akurateco
- Ikajo
- Nexio
- Corefy
- Magnius
Although the features offered by these platforms vary depending on the end user and business needs in the geography they focus on, they are generally similar. For detailed information about these solutions, you can review our article titled “ Globally Known Payment Orchestration Providers ”.
As can be seen, in today’s world where payment service providers are diversified, the orchestration platforms that businesses can work with are also quite diverse. Although there are main platforms that play an active role in different geographies, this diversity becomes even more evident when it comes to different geographies. The advantages that these orchestration platforms offer to businesses vary depending on the technical capabilities and competencies of the platforms.
At this point, it is almost imperative for businesses to determine their priorities and needs. However, the question of which orchestration solution to choose is definitely on their agenda. Many parameters come to the fore when evaluating preferences. If you do not have an expert team or experience in the payment field, these parameters can be quite confusing.
If you have an agenda about which payment orchestration platform would be more advantageous for your business, our article titled “ How to Choose a Payment Orchestration Platform? ” will provide you with an effective roadmap.
Meet Craftgate to Gain Competitive Advantage in Global Markets!
Since the online payment world is inherently a specialized field, businesses may have difficulty successfully analyzing and determining direction in their target market’s consumer payment habits. At this point, a strong payment technology and deep knowledge become an indispensable requirement for them.
Gaining competitive advantage in global markets becomes possible by optimizing payment processes. At this point, Craftgate payment orchestration allows member businesses to expand their market access and make a strong entry into their target markets thanks to easy access to frequently preferred payment methods in different geographies.
It also helps them save money with its smart routing feature that minimizes commission costs for all these different payment methods.
A seamless and secure payment experience ensures the satisfaction of a global customer base, while data analytics and optimization facilitate strategic decision-making. These features not only provide businesses with cost advantages, but also provide a strong competitive advantage internationally.
You can contact our expert team in the field of payment to gain a competitive advantage in global markets with the solutions offered by Craftgate !
