Understanding Integrated Payments What Exactly Are Integrated Payments? Integrated payments refer to the incorporation of payment processing capabilities into other business systems or software applications. The process involves embedding payment functionality directly within the software or platform that businesses use, such as point-of-sale (POS) systems, e-commerce platforms, and business management software.
How Do Integrated Payments Differ from Standalone Payment Solutions? Standalone payment solutions are separate applications dedicated solely to processing payments. This means that end-users need to switch between different applications to perform any payment-related tasks.
The Revenue Impact Seamless User Experience Integrated payments allow users to check out, enter payment information, and complete the purchase on the same page and terminal. This not only makes the buying process more efficient, reducing wait times and friction, but also contributes to improved productivity, reduced cart abandonment, and enhanced user satisfaction, both in physical stores and online.
Simplified Reconciliation Bid farewell to the hassles of manual reconciliation. Integrated payments automatically capture transaction-related information, such as sale amounts and payment types, streamlining the reconciliation process. This enhances the accuracy of transaction records and frees up valuable time that can be better utilized to grow and nurture the business.
Robust Reporting for Informed Decision-Making Knowledge is power, and integrated payments provide merchants with a wealth of transaction and customer-level insights. Robust reporting tools empower businesses to make informed decisions, understand customer behavior, and tailor strategies to meet evolving market demands.
Enhanced Customer Satisfaction Faster checkouts, the ability to accept various payment types, and the overall efficiency of integrated payments contribute to heightened customer satisfaction. Happy customers are loyal customers, and loyalty is the foundation of sustained business success.
Comprehensive Support Under One Roof Navigating the intricacies of software and payments is made much easier when support is consolidated under one roof. Integrated payments streamline the support process, ensuring that merchants have a single point of contact for any assistance they may require.
Predictable Cash Flow Faster Payment Processing This point may be obvious, but it is still worth highlighting nonetheless. Integrated payment systems streamline the entire payment process, from point of sale to transaction completion. Faster processing times mean that funds are deposited into the merchant’s account more quickly, reducing the time between the sale and the actual receipt of funds.
Reduced Friction in the Payment Process Reduces manual data entry and ensures real-time updates across all systems. Automated reconciliation enhances efficiency, reduces errors, and provides real-time insights, contributing to a streamlined accounts receivable process. This, in turn, helps to decrease outstanding payments, accelerating cash flow and supporting overall financial health.
Improved Invoicing and Billing Automated invoicing ensures that bills are sent promptly, and integrated systems can track payment status in real-time. This predictability in billing contributes to a more stable cash flow and eliminates the need for your end users to spend time manually tracking down unpaid invoices.
Subscription and Recurring Payments Integrated systems simplify the process of setting up and managing subscription and recurring payment models. Predictable revenue from subscription services ensures a steady and reliable cash flow. Merchants can better forecast future income, allowing for more effective financial planning.
Flexible Payment Options Integrated payments empower businesses with an omni-channel product suite that supports both card-present and card-not-present sales. Whether it's in-store or online, merchants can effortlessly accept a variety of payment methods, including credit cards, ACH, Apple Pay, and more. This versatility ensures that businesses not only meet the diverse preferences of their customers but also foster loyalty by providing the flexibility they demand.
Increased Security Measures Every time a customer is redirected to a third-party processor, there's a chance that their sensitive information could be at risk. Integrated payments significantly increase security through a multifaceted approach. Utilizing encryption and tokenization, these systems secure sensitive data during transmission, rendering it unreadable and unusable to potential attackers. Integrated payment solutions must also adhere to Payment Card Industry Data Security Standard (PCI DSS) requirements. Compliance with PCI DSS ensures the implementation of robust security practices, further fortifying these systems and ensuring merchants and customers alike can trust in the security of their transactions. To learn more about PCI compliance and its importance in the payment industry, check out our blog <here>.
Selecting the Right Integrated Payments Solution So, you think your business is ready to take the next steps toward integrating payments. Before you begin the process, there are a few key factors you must consider when selecting your ideal payment provider to partner with:
Customization and Scalability: Look for a provider offering developer-friendly APIs and SDKs that effortlessly connect their gateway and devices to any existing application. A client-centric solution set indicates a commitment to addressing the unique needs of your end users. Ensure your provider offers an end-to-end payments platform with agnostic gateway connections, prioritizing speed, cost-effectiveness, and scalability in software integrations. Security and Compliance: Prioritize a provider with a validated point-to-point encryption (P2PE) payment integration. This not only enhances security but also reduces the scope of cardholder data environments and PCI-DSS requirements, resulting in significant time, effort, and cost savings. A robust and compliant foundation is crucial for the security of your payment processes. Support: Your provider needs to be fully dedicated to your success, offering guidance throughout the entire integration process. From installation and training to ongoing maintenance and support, a reliable partner should provide comprehensive assistance. Ensure they’re committed to delivering a seamless and supported experience throughout your payment journey, extending beyond the initial integration. Healthy Revenue Shares: Partner revenue shares transform payments into a revenue stream, not a cost center.As a software provider, your primary goal is to enhance the lives of your end-users—making them better, simpler, and easier. Delaying the integration of payments could risk losing these users to competitors who have already embraced this essential feature. We encourage you to assess your current payment strategies and explore adding integrated payments for sustained financial growth and customer satisfaction.
Learn more about how Propelr can help you seamlessly integrate payments into your business. (hello@propelrpay.com | propelrpay.com). 
