Magazine Article | March 20, 2013

Channel-Friendly Integrated Payments

By Justin Zeigler, Director of Marketing, Datacap Systems, Inc

Helping ISVs find success through Integrated Payments

What is unique about your channel program?
A completely dealer-centric sales model sets Datacap apart. As the only middleware provider that sells exclusively through authorized POS/ECR resellers, Datacap Systems offers an unparalleled level of revenue protection to the channel. ISVs write to a single, comprehensive interface and are immediately assured that the dealers they’ve authorized to sell their products are exclusively handling paymentsrelated installations and upgrades. Because installations are handled by trained POS resellers, merchants receive highend payment solutions coupled with top-tier implementation, service, and support.

Authorized resellers and POS integration partners enjoy account protection via Datacap’s dealer-centric sales model; the significance of which is compounded by Datacap’s various solution as a service programs that generate recurring revenue for the reseller/POS partner through payment processing profit-sharing initiatives.

How do you help ISVs grow their business through integrated payments?
Payment processing support is one of the core obstacles that ISVs (both start-ups and established players) face in today’s business solutions marketplace. New payment industry standards and evolving technology trends require regular updates and new product releases. Because of the exorbitant amount of labor and expense that goes hand in hand with direct integrations to payment processors, many developers feel forced to take shortcuts and interface directly to one or two payment platforms and turn away customers not willing to utilize one of their limited selections. Any successful ISV will tell you that this is a recipe for anemic sales figures.

This is where Datacap Systems can help. We offer simple interfaces for POS developers that instantly provide integrated payments support for all payment processors for credit, debit, gift, loyalty, EBT, and FSA/HSA transactions. Validated out-of-scope interface options remove all card holder data from the POS application, eliminating the need for a POS-specific PA-DSS validation. DatacapConnect™, Datacap’s comprehensive payments system architecture, enables ISVs to combine PC-based POS, mobile payments (NFC/cloud/mobile POS extensions), ECRs, unattended kiosks, and vehicle-based payments into a single offering without additional development. Utilizing “in-scope” or “outof- scope” command interfaces, transactions are submitted at the store level, enterprise level, or directly to acquireroperated cloud-based servers. Not only do Datacap’s payment solutions serve to expand the capabilities of an existing POS application, but more importantly, they allow ISVs to spend development dollars on innovative POS features instead of never-ending payments-related development/certifications.

How do you help your partners build recurring revenue programs?
Recurring revenue programs lead to higher profits, the ability to weather sales slowdowns, and for the veteran business owners among us, optimized company equity. But, the dilemma that many businesses face with SaaS models is the obligation to supply a POS system and payments software/hardware upfront and assume the risk that the merchant may not make it through the payback period, leaving the dealer with used equipment and little to no income to show for it.

Datacap has implemented a variety of dealer-centric solution as a service programs with top-tier payment processors that provide ongoing processing residual payments to Datacap integration partners and their associated dealer channels. These programs present a conduit for easy entry into a recurring payments sales model, without the upfront investment inherent in most SaaS initiatives. Datacap partners can now earn recurring processing residuals from a variety of payment processors without the need to purchase paymentsrelated hardware or software. ISVs can reinvest the income from these programs to improve their business, stabilize their sales commissions, or leverage the earnings to create a comprehensive SaaS offering for the POS application, hardware, and integrated payments.

Contact Information
Datacap Systems, Inc
100 New Britain Blvd, Chalfont, PA 18914
(215) 997-8989