What are the main pain points you find in today’s payment market, and how is PayU helping you to improve your payments?
Companies looking to grow and expand into Latin America markets need a solution that allows them to scale their operations as new markets develop. Just to share a few key facts:
- International payment gateways like Stripe or Paypal have less than 60% in payments acceptance rate in Latin America.
- Latin America customers are used to paying in local currencies. Scaling businesses need to integrate with either a cross-border payment platform or a leading payment gateway in each country.
- Payment gateways often require a bureaucratic process to allow new merchants to enable recurring payments and subscriptions.
- Due to the high inflation rates, local businesses need innovative business models with more flexibility on the amount and cycles to charge their customers.
IncreasePay offers an omnichannel and scalable solution to manage subscriptions and recurring payments locally throughout Latin America.
We specialize and serve some of the top companies from four industries, SAAS, Insurance, Banks and Financial institutions and Education. So the main pain points we have been able to solve are that they no longer need to understand, negotiate and integrate with each payment provider. Instead, Increase negotiated and integrated to the top ones and they only need to set their payment logic and to wait to see their incomes grow.
Together with PayU, we give our clients the possibility of making their collections in different currencies at a lower cost, facilitating their commercial development in the different regions that our clients target.
What factors do you find affect approval rates the most?
We see the reasons for the approval rate for different companies, industries and countries. On average the main source of unapproved transactions is the lack of funds, the second one are conditions recognized and stopped by the anti-fraud engines and the third one is that for recurring transactions the security code can’t be null.
We share a list of recommendations that need to be taken for companies seeking to increase their approval rate.
Have you seen a change in user behavior since the pandemic? Can you share which adjustments you had to implement?
We started developing IncreasePay at the end of 2019. We had it as an internal product and we decided to bring it to the wider market.
During Covid-19 new consumer behaviors span all areas of life, from how we work to how we shop to how we entertain ourselves. These rapid shifts have had important implications for businesses and consumers and accelerated the adoption of recurring services.
The adoption of IncreasePay accelerated as we were the first subscription engine focused on Latam, which accelerated businesses who noticed their consumers value buying comfortably from their homes and accessing a variety of products and services with a certain frequency.
We are now helping these businesses to automatically manage their recurring charges, to have control over their income flows and to increase their collectibility to keep scaling even as the pandemic hopefully recedes.