PRN: Mail Order World 2011 - Strategic Alliance Between Wirecard and RatePAY
PRN: Mail Order World 2011 - Strategic Alliance Between Wirecard and RatePAY.
Mail Order World 2011 - Strategic Alliance Between Wirecard and RatePAY
MUNICH, October 5, 2011 /PRNewswire/ --
- Online installment payments as flexible solution for mail order
- Retailers benefit from higher sales with simultaneous payment guarantee
- Optimum supplement to existing payment methods
The Wirecard Group and RatePAY, a subsidiary of the EOS Group which belongs to Otto Group, have agreed a far-reaching strategic alliance in order to give installment payments an even stronger foothold on the market as a key payment instrument for online purchases. Retailers benefit from a payment guarantee linked to the payment process.
In future, both companies will jointly offer RatePAY installment payments for the German market. RatePAY installment payments, which can be processed without using Deutsche Post's Postident identification service, and can thus be processed online without changing media, opens up additional sales potential for mail order retailers by bringing higher conversion rates. In so doing, RatePAY is responsible for processing the purchase for Internet retailers, and thus the associated processes with the consumer. Wirecard Bank AG provides the requisite financing services, including the payment guarantee.
At the same time, online shop operators who already use Wirecard solutions can round off the range of payment methods they offer by adding RatePAY installment payments.
"Both RatePAY and Wirecard have extensive risk management expertise. Our competence in installment payments and process management is the perfect supplement to Wirecard Group's experience in online payment processing. We are looking forward to working together," commented RatePAY's management director Miriam Wohlfarth.
Michael Brinkmann, EVP Partner Management for Wirecard AG noted: "Together with RatePAY, we offer our corporate customers both additional comfort when approaching customers, and also support, in particular, in developing additional sales potential and increasing liquidity. Retailers can approach totally new customer groups with installment payments."
From traditional installment payments, those with a pre-payment, to zero-percent financing: there is a large range of financing models for bricks-and-mortar retailers. In contrast, in the past installment payments have not recorded particularly strong growth rates for online retail, as the Postident method that was needed led to a change of media, and thus often to the purchaser failing to complete the purchase. According to a study by the Handelsverband Deutschland (HDE) published in November 2010, purchases financed with installment payments in the eCommerce sector totaled just five percent.
RatePAY GmbH is a service provider focusing specifically on online retailers. RatePAY offers its customers invoiced purchases or installment payments without the need to change media, and in so doing it takes on end-to-end processing, the default risk and purchaser checks (identity, creditworthiness, etc.). The Berlin-based company was formed in December 2009 by Internet and payment services experts. RatePAY belongs to the international EOS Group, an Otto Group company.
Wirecard AG is one of the leading international providers of electronic payment and risk management solutions. Worldwide, the Wirecard Group supports over 12,000 companies from a wide range of industry segments in automating their payment processes and minimizing cases of default. Wirecard Bank AG is a Principal Member of Visa, MasterCard and JCB and operates as a credit card acquirer in 69 countries around the world, involving over 100 transaction currencies and 18 payout currencies. Part of the Wirecard Group, Wirecard Bank provides innovative solutions in the fields of corporate banking, prepaid and co-branded cards, along with account products for both business and private customers. Â
Wirecard AG is listed on the Frankfurt Securities Exchange (TecDAX, ISIN DE0007472060, WDI). Â
Wirecard media contacts: Â Â Â Â Â
Company Codes: Bloomberg:WDI@GR, RICS:WDIG, RICS:WDIG.F, ISIN:DE0007472060