For businesses that would rather focus on growing instead of building a payment solution from the ground up, consider the benefits of a payment integration.
Efficiency is the main benefit of a payment integration. Because the less time a business owner spends building out a payment solution, more time is allowed for building out features in their application.
In this blog post, we will highlight key benefits of a payments integration from our perspective as experts in the payments industry.
Work smarter, not harder
Building a payments solution is similar to building a car, and the Dwolla Platform is a pre built engine. If you were building a car, would you rather build an engine from the ground up, or install a pre built engine?
By integrating with the Dwolla Platform, businesses are choosing a proven payment integration platform that can save time and money. Companies are able to implement a non-branded ACH payout solution in as quickly as ten days.
For example, GOAT is a mobile marketplace for rare sneakers that had a payout flow creating unsustainable costs and friction for its sellers. The company needed a non-branded ACH payout solution that could be implemented quickly and scalable.
“It got so bad that we began using a credit card to accelerate payouts,” GOAT co-founder Eddy Lu said.
Within ten days, GOAT integrated Dwolla’s API and maintained end-to-end branding, while mitigating direct and indirect costs.
Flexibility, security and scalability
When searching for a payment integration, we’ve come up with a list of nine considerations for effectively evaluating different payment solutions.
The most important consideration for any payments integration is functionality; does the integration do what is needed within you application?
Customers using the Dwolla Platform have found that the RESTful API can be integrated to fit most use cases or funds flow needs. For example, by setting up a webhook subscription, businesses can seamlessly monitor and respond to Customer and transfer related events. This allows for greater transparency and a robust user experience.
In addition to functionality, an important part of your payment integration search is finding a secure solution with pricing that scales. As you grow, profits and transaction volume will grow as well. Pricing that takes a fee or portion of every single transaction can stifle profit growth.
With that in mind, Dwolla has designed three product plans; two are designed with licensing fee style pricing allowing for more predictable costs. Our third product plan—Start—comes with no monthly minimums or long-term commitments, and pricing is on a per-transaction basis.
Lower transaction costs
Excluding cash transactions, ACH transactions have some of the lowest transaction fees. These low fees are another benefit of a payment integration.
For example, a $500 transaction would come with various fees depending the platform used to transfer the funds:
- ACH cost – $0.55
- Paper check cost – $1.22
- Credit Card – $9.60 (1.9 percent fee x $500 transaction + $0.10 transaction fee)
A typical wire transfer can charge fees of anywhere between $15 to $30.