Adding payment processing to your software matters tremendously because of the added revenue for your software company. What matters also is your choice of processor.
Gingergaye here with Electronic Money Company. Today I am going to discuss why choosing the right payment partner up front with a strong relationship manager sticks your software customers to you long term while allowing you to focus on software support and not get bogged down servicing the merchant processing, which is not your line of expertise.
Upfront Questions When Choosing a Payment Processor
Here are some reasons why merchants look to switch processors:
- The rates are too high
- The processor keeps adding on more fees and higher rates
- The processor has no direct relationship manager and the ISV clients have to deal with a 1-800-IGNORE-ME phone number for support
- The processor’s support line is always answered by somebody different who has no direct interest in taking care of that client
- The processor’s support line is in a different country where customer service reps speak English as a second language
- Onboarding of new clients is handled by a switchboard, not a dedicated relationship manager
Be sure to check up front if the payment processor your are considering to manager your clients is up to the task of taking care of your clients they way they deserve to be taken care of.
How a Relationship Manager Simplifies Merchant Onboarding
The merchant application and approval process is often one of the most complicated parts of launching an embedded payments program.
Each new merchant must go through underwriting, risk review, and compliance checks before their account can be approved.
A relationship manager works closely with the software company to guide merchants through this process.
They help merchants complete their applications correctly, collect required documentation, and communicate with the underwriting team to move approvals forward as quickly as possible.
Instead of the software company trying to manage these steps internally, the relationship manager takes responsibility for controlling the payment application process.
This significantly reduces the operational burden on the software provider and creates a smoother onboarding experience for merchants, keeping your clients happy.
Choose a Payment Partner Who Provides a Dedicated Relationship Manger Who Will Support Your Clients with Outstanding Service!
Merchants may need assistance understanding their funding schedule, managing disputes, or interpreting transaction fees. They may also need help adjusting payment settings, resolving processing issues and hardware issues connected to your software.
Once merchants are approved and processing payments, questions inevitably arise, such as:
- When will my deposits arrive?
- Why is my deposit missing?
- Why did I receive a chargeback notification?
- What are these fees on my statement?
- How do I update my banking information?
- Can you help me with my terminal device which is not working?
With a dedicated relationship manager, these questions go directly to someone who specializes in merchant services. The relationship manager becomes the primary contact for payment-related support, allowing the software company’s team to stay focused on what they do best—building, maintaining, and supporting the software platform.
This separation of responsibilities benefits everyone involved.
The software company avoids becoming overwhelmed by payment support requests.
Merchants receive help from someone who truly understands payment processing.
Issues are resolved faster because the right expert is handling them.
The result is a better overall experience for both the software company and its customers.
Customer service and support is where a relationship manager plays an absolutely critical role.
How the Right Payments Partner Increases Merchant Stickiness
Choosing the right processor or sales office to support an embedded payments program has a major impact on merchant retention.
When payments are integrated smoothly and supported by a knowledgeable and attentive relationship manager, the software platform becomes more valuable to the merchant.
- Payment rates are fair and stay fair with no increases or surprise fees
- Merchants have a smooth onboarding experience
- Relationship managers from the payment processor provide white glove ongoing support to your clients
When these systems work together seamlessly, merchants begin to rely on the platform not just for software functionality, but for their entire payment infrastructure.
This creates a powerful level of “stickiness.”
Switching to another software platform would require the merchant to change not only their operational tools but also their payment processing setup. That kind of disruption often discourages merchants from moving to another system.
As a result, the software company benefits from stronger customer retention and longer merchant lifetimes.
Electronic Money Company has an outstanding record in ISV relationships. One of our ISVs got bought out by a payment processing company. The clients refused to leave. It took the ISV a year to force the move before they could complete the sale.
Call me, Gingergaye, at 505-296-2847 to start a conversation on this most important aspect of your software business.
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Other topics you might be interested in: Avoid Costly Mistakes: Download our free report, 5 Mistakes to Avoid When Choosing a Credit Card Processor
