eCommerce

The eCommerce Payment Triad

August 12, 2020 2 min read

The world of eCommerce is challenging enough without having to find the right partners. Cardpay Brazil's Sales Director, Rodrigo Schemann, dives into the all-powerful eCommerce payment triad

Unlimint team
Your payment experts

By Rodrigo Schemann – Sales Director of Cardpay Brazil

The path of an eCommerce sales transaction is complex. Before even being authorized and captured, it undergoes several validations by multiple companies. For your business to be successful, the determining factor is the correct choice of partner, one that can take care of these financial transactions with ease.

But what makes a good partner for your business? It comes down to whichever offers the most flexibility, the best security, and most variety in terms of payments. We call this the eCommerce payment triad, and they are the main players when it comes to scalability, sales conversion, and payments.

The payment acquiring company is the one responsible for capturing, routing, and settling sales transactions carried out within a virtual store. The acquirer is the holder of the money and is responsible for offering a wide range of payment methods for online stores. In addition, it also directly engages with existing payment methods (Visa, Mastercard, Elo, Amex, etc.) to authorize transactions.

What Makes a Good Acquirer?

Good acquirers operate in the eCommerce environment with considerable versatility. They offer a wide range of products and services like user verification, payments retry, bins queries, adherent and specific sales response codes, alternative payment methods, tokenization, recurrence flagging, and more.

Sales conversion rates within any business are directly linked to your chosen payments acquirer, meaning their performance, security, and range of services are vital. Many participants in the payment ecosystem will venture into the eCommerce world without knowing the features or specifics of digital operations, which can lead to disaster. 

Fraud Control and Prevention

Equally important are the companies that provide fraud control and prevention services. The main role of any anti-fraud system is to reduce financial losses due to transactional fraud. Consequently, these companies are responsible for ensuring the security of all eCommerce sales transactions, as well as managing chargebacks.

A well-designed business needs an efficient database, systems for obtaining recurrent and systemic data, machine learning, flexibility, and modularization, among many other tools and processes. These characteristics differentiate good anti-fraud tools and providers from the bad ones.

Chargebacks, as mentioned above, are transactions that aren’t recognized by the cardholder (buyer), and are, in most cases, fraudulent purchases.

When it comes to eCommerce or SaaS platforms, we have great examples like the Brazilian collaborative commerce platform – VTEX – which actively competes against global giants like Magento, Oracle, and Salesforce. This successful eCommerce platform operates atop robust code and a state-of-the-art modularized system, providing retailers with everything they need to sell their products.

Successful online merchants should adhere to the following – always look for an eCommerce platform that offers you the opportunity to work with several payment partners simultaneously. A great eCommerce platform should promote flexibility for its users, and if it doesn’t – then it’s time to look elsewhere!

Online Retailers – Shop Around to Find that Golden Triad

If you’re an entrepreneur that has set up their brand on the online market or just entering this segment, keep this powerful triad in mind to guarantee your success in the world of business.

What would the best approach be? Do your research, don’t be afraid to ask questions, ask for references, and validate the product before signing any contract. But above all, ensure that there will be a team that understands the world of payments and that can support you and your business needs in the best way.

Find out just how Cardpay can enhance your business, and help take you out to markets worldwide! Visit and contact us here for a free consultation: https://www.cardpay.com/apply

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