15 Sep

How Can Delivery Businesses Benefit from Faster Pay-Outs?

Delivery services have exploded in popularity across Europe and the world. 15.05 billion deliveries were completed worldwide in 2020. All those deliveries need to be paid for, and the technical challenge of dealing with those payments can distract merchants from their core business goals.

So, how can effective payment processing help delivery businesses? We’ve previously touched on how merchants can develop an effective payment integration strategy, but today we will talk about speed.

The Challenge

You’ve probably felt it before. The clenching sensation in your stomach, the twitch in your eyebrow as anger starts to rise, the tightening of your fist as you cling to your phone, hoping your payment will go through, praying to hear that knock on the door before your stomach finally decides to eat itself. Some people are tolerant of waiting for food, but most people aren’t. Mix hunger with digitization, and we’re no longer used to waiting for the things we want. In fact, 58% of consumers don’t want to wait more than 40 minutes for their deliveries to arrive.

Faster payment processing times aren’t only essential for accepting payments on behalf of users looking to make purchases; they’re also vital for a flexible pay-out process. Gig economy users and sellers don’t want to wait for their earnings. They should be able to quickly and efficiently access the money they have earned when they want to, whether in sporadic bulk pay-outs or at the end of every delivery. The process should be efficient, smooth, and fast.

The Solution

There are four parts to help you deliver faster payment processing times.

1. Selecting the right payment service provider is essential.
It’s important to look out for; infrastructure location vs. operating countries, available features vs. required ones, a wider range of paying and payout options, high uptime with transparent reporting, and the ability to scale and have a solid business continuity plan.

2. Fraud is also getting complex as payment acceptance is growing and digital commerce is scaling.
Merchants need to be better equipped against this change, it’s essential for them to evolve their prevention strategy at a high pace, while maintaining a strong level of accuracy. Implementing intelligent fraud prevention that can detect and prevent fraud in real-time by leveraging machine learning capabilities will help them deliver faster payment processing times.

3. Real-time monitoring is vital.
There are different payment processing players, including the gateway, acquirer, issuer, network, and anti-fraud solution. Each layer comes with a risk of underperforming. It’s essential to have real-time performance tracking with circuit breakers defining various patterns, this helps businesses to be more proactive against any issues.

4. Having a fallback and retry mechanism is key.
If the primary payment service provider is not performing transactions, businesses should be able to process payments through the secondary payment service provider without impacting the user experience. This helps ensure business continuity. On the other hand, if the transaction gets declined due to technical issues, the payment platform should have the ability to retry the transaction attempt through the same or another payment service provider without forcing the user to enter their card details again.

Get Faster Payment Processing Times with Payrails’s Cloud-Native Operating Platform

It is vital to have a payment platform that provides a wide range of integrations, high uptime, resilience, and a set of comprehensive features designed to maintain faster processing for both pay-ins and payouts.

Our cloud-native operating system is built on multiple lines of defenses and failover mechanisms. It seamlessly connects with various integrations, including anti-fraud and payment service providers.

Schedule a call today to get faster payment processing times.

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