What is Payment Orchestration?
What is payment orchestration?
Payment orchestration consolidates complex payment setups involving multiple payment providers into a single, unified whole. Working with multiple PSPs means dealing with disparate APIs and data formats that are different for each provider. IXOPAY reduces this complexity by harmonizing all PSPs via a single, common API and unifying all transaction data in a single, uniform format for all providers.
A payment orchestration platform acts as a single command and control center for all payments processes.
- Route transactions to the best-suited provider
- Provide fallback options in case the preferred PSP is unavailable or a transaction is declined
- Analyze transaction data across all providers in a single dashboard
- Define unified risk rules for all transactions
- Unify transaction data across all providers
- Easily integrate additional systems (CRM, ERP etc.) with a single data format for all payments
How it Works
The IXOPAY Payment Orchestration Platform takes on the role of conductor, ensuring that all aspects of your payments are in harmony. The IXOPAY Payment Orchestration Platform depicts the entire transaction lifecycle from checkout to settlement and reconciliation, as well as interfacing with external systems.
Checkout
This starts with a consumer choosing a payment method and entering their payment information at checkout. Sensitive payment data is securely transferred to IXOPAY to be stored and tokenized. Stored payment methods can be reused with any connected PSP. A single API is used to submit transactions, eliminating the need to integrate and maintain multiple different APIs for each PSP.
Risk Analysis
Prior to processing, the transaction can be analyzed for indication of fraud using IXOPAY's in-built risk engine and/or third party fraud and risk providers.
Routing
IXOPAY forwards the transaction to the desired PSP for processing based on your routing rules. For example, a transaction involving a credit card issued in France can be routed to a PSP with acquiring capabilities in France, increasing the likelihood of the transaction being approved.
Inform Customer
If the transaction is declined, or the PSP is unavailable, the transaction can automatically be retried with another PSP. If the transaction was declined (e.g. the consumer has reached their credit limit), the consumer can attempt to complete the payment with a different payment method.
Trigger Backend Processes
If a transaction is successful, further steps need to be taken: goods need to be prepared for delivery, subscriptions need to be activated etc. Transaction data can be exported to external systems (order management, CRM) to trigger these downstream processes. The same data format is used to export transaction data irrespective of the PSP, reducing the number of different interfaces and data formats that need to be handled to one.
Reconciliation and Settlement
Once a merchant receives their funds from the PSP, IXOPAY checks that the correct amount has been deposited and that fees have been applied correctly. Any discrepancies are flagged and conflicts can be resolved manually. Automating the settlement and reconciliation process streamlines an otherwise laborious and time-consuming task.
Transfer to External Systems
Once the settlement and reconciliation processes are complete, transaction data can be exported from IXOPAY, either as reports or for import into external systems, e.g. for accounting purposes. This process is unified across all PSPs, using the same data format for all connected PSPs.
Who benefits from payment orchestration?
Our Enterprise payment orchestration benefits large enterprise merchants with complex payments setups involving multiple payment service providers (PSPs). In particular, the Enterprise solutions caters to merchants who:
- are active globally or in multiple regions and need to cater to local consumer preferences
- are looking to quickly expand into new markets and cater to local payment preferences
- require the ability to easily add or remove individual PSPs from their payment stack, and thus need to avoid vendor lock-in
- need to offer a wide range of local and international payment options via multiple PSPs
- require fallback options for processing payments
- need to consolidate transaction data and earnings across multiple regions
- want to reduce the complexity and overheads that comes with maintaining multiple PSP integrations
If your requirements are less complex, e.g. you only use a small number of PSPs, take a look at our standalone products or the Starter and Growth packages.
How can I benefit from payment orchestration?
Payment orchestration caters to the needs of merchants who rely on a large number of PSPs. Key reasons for integrating multiple PSPs include:
Don't Need the Full Package?
If you do not need the full capabilities of IXOPAY's powerful payment orchestration platform, you can also acquire individual modules.
Want to know more?
If you would like to learn more about IXOPAY and how a payment orchestration platform can help your business consolidate and streamline your payments processes, get in contact with us! Our sales team will be happy to advise you.
Get in touch!