Adyen, a prominent financial technology platform, has published a report entitled "Strategies to Reduce Your Total Cost of Payments" that offers valuable insights for businesses that are seeking to optimize their payment processes. The report identifies opportunities to substantially reduce costs and increase revenue by implementing effective payment strategies, as evidenced by data from 100 global enterprise businesses.
The analysis emphasizes that interchange and scheme fees account for 85% of the payment costs for businesses, with cross-border transactions being up to 59% more expensive than domestic ones. Adyen emphasizes the significance of processing payments domestically in order to reduce expenses. Furthermore, businesses were able to save $1.08 billion in the past year as a result of real-time updates to their primary account numbers (PANs). Another significant discovery from the report is that businesses suffered a $474 million loss in 2023 as a result of offline declined transactions.
To prevent such losses and minimize complexity, Adyen suggests employing innovative solutions. It also promotes the use of a single provider to process payments across geographies and channels, which can assist in the optimization of operations and the release of resources, particularly in reconciliation departments.
