Helping a Global Payment Service Provider Unlock New Business Potential
Processing payments reliably and rapidly
A full-service partnership
Challenge: Extending payment offering
As a forward-thinking business this global payment services provider uncovered a way to complement their existing European payment by offering Direct Debits. As a way to optimize their service portfolio and unlock new business potential, the client offered their customers Direct Debit as an additional payment method in Europe while receiving the revenue in their designated currency. However, with little expertise in handling direct debits in Europe, this Global Payment Service Provider looked to Arvato as their full-service partner - capable of providing Direct Debit and related services (reconciliation-to-reporting) in key European countries. The service was required on a white label basis so that it could be provided as part of the clients processing suite. In addition to requiring support with Direct Debit services, the finance department needed to ensure adherence to local banking and payment requirements that vary from country to country and bank to bank.
Collection of over 98 million on behalf of the clients merchants
since 2005 annual growth rate of 25% with regards to transactions
Improved cash flow and reduced Days Sales Outstanding
Reduce of fraud and late payments
Upgrade of security standard based on Arvato finance’s certifications and experience
Solution: White label and reliable
In Arvato the client found a full-service partner who was reliable, efficient and skilled in the creation of the tailor made service they required. To facilitate the white label service, Arvato would receive real-time and offline bank account validation requests and process direct debit settlement files from the client on behalf of their merchants.Arvato tailored the program even further by selecting partner banks in Europe and opening trust accounts on behalf of the client as well as setting up and managing the local payment and information flow. As a result, the client could rest assured that Arvato adhered to all local banking requirements and regulations for each country- and, or, bank. Arvato’s services and approach were perfectly integrated and aligned with the clients processing suite, enabling them to provide a complementary payment offering to their global merchant base.
Based on the partnership with Arvato, our clients merchants were able to offer their customers an additional payment method in Europe without having to make changes in their existing processes.