Benefits, Best Practices, and Trends for ISV Payment Integration in 2023

Consumers now anticipate quick, convenient, secure payment procedures due to the phenomenal rise of the online payment industry. regardless of the platform that is used to carry out the transaction.

Considering this, the current generation of independent software vendors (ISVs) must differentiate themselves from their rivals by offering a seamless and safe transaction experience. If you want to be successful as an ISV, you must offer a seamless and frictionless integrated payment experience.

What Are Integrated Payments?

Systems that are embedded directly within software programs and serve as a payment gateway are known as integrated payment solutions. This enables users to pay using the app without going through a third-party system directly. Work 365's ISV partners can produce invoices, take online bank payments, make receipts, and pay bills directly through specialized software platforms by utilizing integrated payment processing systems.

What Advantages Do Integrated Payments Offer?

Online payment processing systems are continually developing. There has never been a more pressing need to stay on top of a changing corporate environment and evolving consumer expectations. Integrated payment solutions offer a smoother user experience while simultaneously helping generate business revenue.  ISVs and their clients can both benefit greatly from integrated payment solutions. The following are some advantages and best practices:

1. Integrated Payments Increase Revenue While Saving Time and Money

Managing funds can be expensive and time-consuming, but integrated payments make it possible to tokenize and retain banking information. As a result, it is not required to be entered each time a new payment is handled. Data from the customer is automatically inputted and retrieved as necessary. Everyone engaged benefits from the time and bother savings, especially with regard to recurrent payments.

2. Integrated Payments Make You More Competitive in a Clogged Market

Adding an alternative such as an integrated payment solution gives ISVs a leg up in the payments sector—especially when payment processing solutions are crucial to corporate operations. 

Bank payment processing for ISVs is beneficial for a range of reasons, including:

Increasing the utility of an ISV's product, which is excellent for owner exit at a higher payout

Cutting back on the amount of work clients must perform to run their company.

Developing ISVs' integrated payment solutions knowledge so they can offer the finest client support.

3. Fast, Safe, and Secure Integrated Payments

While there are benefits to digital payment methods, the worry about data security breaches never really goes away.

ISVs can offer tokenized, regulatory-compliant technology without managing private payment data thanks to integrated payment solutions. Tokenization is a technique we utilize at Work 365 to guarantee user security as they take advantage of this improved convenience. For independent software sellers, it can be tough to incorporate new software to satisfy the needs of their customers without losing revenue or causing mistakes in regular operations.

Consumers are being conditioned for instant gratification when making purchases because payment trends are changing so quickly. Enterprise-class integrated payment capabilities are essential for futureproofing and business growth for ISVs. Any ISV business proposal gains value from the seamless integration of payment automation, reconciliation, and real-time data analytics.

4. Integrated Payments Offer the Most Effective Defense Against Payment Fraud

Credit and debit card fraud is on the rise, according to Federal Reserve research on payment fraud in the US. The research states that "in recent years, the total value of noncash payments in the United States increased while the overall rate of payments fraud, by value, was rising. The risk that a payment is fraudulent has increased along with the quantity of payments.

According to the report, between 2012 and 2015, there were 30.4 million more instances of credit card payment fraud than there were in 2012. Further, debit card payment fraud occurrences jumped from 13.7 million to 28.7 million. Card-not-present fraud significantly increased in the US between 2015 and 2016, rising by 36%. The entire value of the loss was $4.57 billion (about $14 per person in the US).

In addition to the risk of becoming a victim of fraud, businesses run the risk of having their reputations harmed by customers. You must convey security and stability so that potential customers feel comfortable making purchases on your platform.

5. Integrated Payments Deliver an Outstanding Customer Experience

According to Walker's Customers 2020 research, customer experience will be at least as significant to customers as price. Losing a customer is quite likely to happen after a bad buying experience. Many shops are aware of this trend, and 75% of responding companies boosted their investment in customer experience technology, according to a Gartner poll.

Any issues with the shopping process may lead to a lost sale. If you want to maximize your earning potential, you must identify, handle, and eliminate any causes that lead to online shopping cart abandonment.

6. Integrated Payments Can Improve Your Financial Results

A recent survey found that 69.80% of online shopping carts are left empty without being filled with anything. Think about that for a second. Can you afford to lose approximately 7 out of 10 clients simply because they wavered at the point of purchase? Shopping cart abandonment can occur for a variety of reasons unrelated to the payment process, but 55% of customers will specifically back out of a purchase if they are required to enter their payment information again. Are you willing to bear the loss when 17% "didn't trust the site with credit card information" or 18% mention a "complicated checkout process"? Finally, when 7% complained that “there weren’t enough payment methods”, is that an acceptable loss?  

The statistics from the survey indicate that e-commerce merchants lose $18 billion (about $55 per person in the US) annually because of abandoned shopping carts. While you’ll never be able to recoup 100% of that sum, surely that’s not money you’re willing to just leave on the table.  You can increase the number of completed sales you have overall by using properly connected payments.

How Can Work 365 Assist ISVs With Payment Integration?

In North America and Canada, Work 365 collaborates with a wide range of ISV and SaaS providers to provide direct bank payments through an easy API integration. With data-rich, secure, and effective tokenization technology, you can streamline sending, requesting, and reconciling payments. You can foresee your future demands with a payment processing partner like Work 365 thanks to an easy, secure interface that is already incorporated into your software platform.

With multiple collaboration formats to suit their business, our ISV Partner Program offers an atmosphere where ISVs may flourish.

Work 365 is a subscription billing solutions and subscription billing service for Microsoft partners and software vendors to streamline recurring billing and improve customer engagement.