Offering your customers a fast, simple, and seamless checkout experience is a critical piece of the buyer journey. Spreedly's Account Updater and Network Tokenization solutions work together to store your customer's payment details for return shoppers and/or subscribers. All while ensuring their customer payment details are up-to-date by automatically refreshing expired or invalid cards; this keeps your customers happy but also transacting.
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Rough transcript of Spreedly Solutions Stack: Keep Customers Transacting:
Let's turn our attention to how to keep customers transacting when they store payment methods with you. But first let's take a step back and talk a little bit about what is payment orchestration. Your business is unique and how you interact with your customers and transact with your customers is unique, so you need to have a payment strategy that's tailored to the unique needs of your customers and your business. After all, your business is very different. The products and services that you sell, the markets that you operate in, the types of customers that you interact with, all are unique to your business. So an all in one single type approach, a one size fits all approach to payments is not going to work for your business. You need to have a tailored approach, and that's what payment orchestration is all about. Accessing a diverse, inclusive ecosystem of payment services in order to mix and match and build the payment strategy that's perfect for your business and for your customers.
Storing and Refreshing Customer Payment Details
It's important to offer the best payment experience possible for your customers and that often means allowing them to store their credit card or other payment details with you for subscriptions or for returning shoppers. So for a subscription by storing the payment details, that means it's easy to transact each month or each period in order to renew the membership for the customer, and for returning customers, where there isn't a subscription business, you may be looking to make it easy so that the next time they come back, they can make another purchase without having to re-enter their credit card details, and that makes it for a great payment experience. But those stored payment methods of course they expire over time, cards get canceled, et cetera. So how do you keep the cards that are on file evergreen and ready to transact? Well to deliver a great customer experience, what you need to be able to do is efficiently capture and securely store those payment details but also to refresh them over time, to make sure that they're always the most current version of that card, and that you're alerted when it's not and refresh automatically behind the scenes, so that your customers are just always transacting with the most current version of their card.
Routing Transactions Intelligently
So how does that fit within the broader concept of payment orchestration? Well orchestration is about maximizing your revenue, and if you have stored payment methods that are not able to transact because they've expired or are no longer valid, well, that's going to minimize the revenue for those transactions by leading to declines. It also impacts on the longer term because customers will be frustrated by those declines as well and may not renew a subscription if there is a decline somewhere in the process. So keeping your customers' stored payment methods evergreen allows you to maximize revenue and that's why it's a key part of payment orchestration. A related challenge is around outages. You're also not able to transact if the payment service that you're working with, the gateway that you're working with goes down. Now what you want to be able to do is to proactively route transactions to an alternative gateway, so that of course requires having multiple payment services available to you, and an orchestration engine that is able to then direct transactions from the down gateway to the service that's available to keep people transacting. That's a vital part of helping your customers stay connected to your systems and allowing them to transact even when one of the links in your chain goes down.
One of Spreedly's customers is a major entertainment provider that sells tickets and subscriptions for major concerts and other kinds of entertainment events. During one of their on-sale peaks, one of the payment services that supports this company actually went down and that meant that they weren't able to transact with that particular gateway at that time. Now the nature of this business is very spiky, which means that there are huge peaks of inbound traffic coming in, demanding to be able to transact in order to purchase tickets, and during those bursts, if the system is down, if they're not able to transact, that can lead to an immense loss of prestige and revenue. But with Spreedly, they're able to proactively move to a different gateway and continue their transactions, and as a result, happy customers and a very successful event.
Let's look at the key components of the solution. First is around tokenizing. Tokenizing the payment methods that are being stored within the vault. Spreedly is built with security at its core and so with our universal token, you can secure payment details in our card vault. That means that whenever you're ready to transact, you can use those tokens to transact with any payment service, all through a single API, and all while minimizing your PCI scope. Plus, because the tokens that you're storing are portable, you're able to connect to any payment service that you like, so if one is out, no problem, you can simply route those transactions to another provider and keep on transacting. Accurate and current card data keeps transactions flowing and your customers happy, but stored cards are regularly canceled or expired and that disrupts your ability to transact with the cards that are stored in your vault, and that hurts customer relationships and also can negatively impact your overall revenue. With Spreedly's account updater, you're able to refresh the stored cards so that they're ready to transact. You get international coverage and the power to select which accounts that you want to update, down to the individual card level. Plus, your team gets rich details on updates for further analysis and action, and that keeps your stored cards transacting and revenue growing.
Another approach to keep cards refreshed is through network tokens. Network tokenization allows you to have tokens that represent your cards that are evergreen, that never need to be refreshed. They give you the benefit of higher security, better customer experience, as well as authorization success rate improvements as well. But how do you leverage the power of network tokens without being tied to a single payment service provider? Well Spreedly actually gives you the best of both worlds. It's the power of network tokens and the ability to use them across multiple service providers. So you actually have the option, the flexibility to use either a network token or a secure vaulted PAN token, depending on what's ideal for your service provider and for your transaction. That allows you to leverage the power of network tokenization, but retain the flexibility that's critical to your business.