- Monday - Friday 9 AM - 5 PM
- 43300 Southern Walk Plz #166 Ashburn, VA 20148, USA
- 515 Consumers Rd #210 North York, ON, M2J4Z2, CANADA
- (+1) (202) 902-6226
Online beauty and cosmetic store
Story
During our discovery meeting with the Founder/CEO, our client expressed a desire to reduce processing fees and offer next-day funding.
How we helped
Our CNP experts mapped out the client’s ecosystem and implemented the following changes to increase productivity, reduce security threats, improve customer experience, and reduce operating costs.
Our firm negotiated with several payment processors, including the one our client was using. For the final approval, we presented our clients with three different pricing models.
Based on the type of transaction, we optimized the interchange. In addition, we implemented A.I security features which reduced fraudulent chargebacks by 78% monthly. Increased payment gateway security (AVS and 3D secure)
As a result of this upgraded platform, the CEO has access to detailed reporting, increasing productivity, increasing revenue, and, most importantly, maintaining customer satisfaction. In addition, operating costs have been reduced, and fraudulent transactions have been prevented.
Result
Avrage Monthly CreditCard Valume: $2,765,000 CAD
Annual processing valume: $33,1800,000 USD
- Annual saving $51,600 CAD
- NO rate increase since 2020!
- Reduced chargebacks by 88%
What we learned?
Over the past 24 month, online payment processing have increased by 800% due to the COVID19, which is created a fantastic opportunity for retailers. However, in the past 24 months, we have noticed fraudulent online credit card transactions have increased by 48%.
Online businesses tend to pay a higher rate because of the type of transaction they are receiving, which is known as CNP or Online transaction. There is also more risk associated with card not present transactions, which can threaten any online business.
Online businesses stay with their processor by average of two years more than any other industry because of the complexity and cost of integration and chance of downtime for the operation. This also results in a higher processing fee paid by the merchant.