As Indian businesses strive to meet the increasing expectations of consumers for hassle-free payment processes, they are constantly incorporating new payment methods and expanding their range of payment choices. This shift indicates that the future of payments in India will involve using multiple payment gateways (PGs). However, integrating with multiple PGs requires significant costs and technological effort. Consequently, many businesses in India face challenges in providing the seamless payment experience that modern customers expect. To address this issue, a payment orchestrator becomes essential.

What is Payment Orchestration?

Payment orchestration is a simple solution that allows businesses to integrate multiple payment gateways and processors with a single API integration and creates a central hub optimising transaction routing, reducing costs, and maximizing payment success rates.

Payment orchestration involves integrating and managing the entire payment process, including transaction routing, and settlement. Payment management solutions like flowWise achieves this by connecting businesses with various payment aggregators, acquirers, and banks through a unified software layer. Additionally flowWise also enables your finance team to track critical metrics such as risk, refunds, reconciliation, settlements for all aggregators through a unified dashboard. 

How does Payment Orchestration/Routing work?

Payment Orchestrators can be assumed to be helpful guides that give direction to your payments. They use clever routing mechanisms to figure out the best route for payments. These guides operate through Payment Orchestration Platforms (POPs), directing payments to the most reliable service providers. This reduces problems and makes sure more payments succeed.

In a real-life scenario, when a user buys something online and adds it to cart, the payment journey begins. As they go to the checkout page and pick a payment method, the Payment Orchestration Platform takes charge. It manages the whole process, guiding the payment details to a payment gateway. The platform then cleverly sends the payment request to different processors, strategically avoiding issues and increasing the chances of success.

By using multiple processors and a smart routing system, payment orchestration avoids payment troubles and boosts success rates. This not only enhances customer experience but also ensures a higher rate of payment success. So, payment orchestration isn’t just about accepting payments – it’s like having a plan that makes every part of the payment journey work better.

Benefits of Payment Orchestration to a Business

Payment Orchestration Platforms optimize every transaction for increased revenue. These platforms simplify end-to-end payments, leading to enhanced customer experiences, higher online sales, and increased revenue. Let’s deep dive. 

• Seamless Integration with PAs: Through payment orchestration, merchants gain the ability to integrate numerous local and global payment aggregators via a single integration, significantly reducing the time and tech effort required for individual integration. For instance, businesses seeking to offer alternative payment modes can effortlessly connect with a provider that caters to specific customer payment preferences.

• Diversity in Payment Methods: A key advantage of payment orchestration platforms lies in merchants having access to an extensive array of payment aggregators and modes. As business requirements evolve, these platforms facilitate the seamless addition of multiple payment methods. This proves especially beneficial for companies dealing with a diverse customer base possessing varied payment preferences, encompassing credit or debit cards, mobile wallets, or “Buy Now, Pay Later” options.

• High Success Rate with Intelligent Payment Routing: With orchestration platforms enabling AI/ML-powered as well as rule-based routing, businesses can set up their routing logic to ensure the highest possible success rate and also the flexibility to switch between PGs in cases of payment failures and downtime. 

• High Conversion Rate through Enhanced Customer Experiences: Recognizing that customers are prone to abandoning their shopping carts if the checkout process is overly complex or time-consuming, payment orchestration platforms step in to prevent such occurrences. They achieve this by crafting a streamlined checkout experience that include diverse payment options, saved cards, and intelligent retries across payment gateways. These features collectively contribute to making transactions frictionless for consumers and increasing conversion rates.

• Reduced Operational Cost through Comprehensive Business Intelligence: A modern orchestration platform goes beyond transaction facilitation. Providing a unified view of PG or mode-level performance, these platforms present insights that enable informed decision-making. Platforms like flowWise offer a unified view of critical metrics such as risk, refunds, reconciliation, settlements for all aggregators through a unified dashboard. 

• Enhanced Revenue Generation: With a simplified payment process, enhanced conversion rate a high payment success rate and reduced operational cost, orchestration platforms set businesses up for driveing revenue and strengthen the foundation for business’ sustained growth.

Payment Orchestration with Cashfree Payments

Cashfree Payments’ flowWise is a one-stop payment management solution that helps businesses not only route payment to achieve up to a 10% higher success rates, and boost their revenue by up to 20%, but also prevent and block fraudulent transactions with its built-in integration with RiskShield. Additionally, flowWise Native, India’s first self-hosted solution gives merchants the flexibility to go-live with payment modes and scale their payments natively in their  own environment, leading to data security and 10x lower cost of orchestration. 

Know more about flowWise.