Adyen, the Dutch payments platform that recently usurped PayPal’s reign at eBay, announced its direct API integration with the Mastercard Account Updater service. Qualified merchants processing with Adyen globally can now increase revenue from card-on-file payments by automatically updating Mastercard accounts in real time.The direct API connection helps to prevent card declines due to account changes caused by expiration dates or new replacement card numbers, among other reasons. Microsoft and Twitter are among Adyen’s merchants using the Mastercard Account Updater service.
“The subscription economy is experiencing massive growth, with 100% increase year-over-year for the last five years. Beyond digital services, Adyen is seeing a strong uptake in physical products like cosmetics, fashion and bicycles now offered as a subscription service. Payments are a critical touchpoint for ensuring uninterrupted service for customers and sustained revenue for merchants,” explained Adyen Chief Commercial Officer Roelant Prins. “Adyen, together with Mastercard’s Account Updater, is focused on making the highest number of payments succeed by automatically updating card data at the point of transaction, preventing involuntary card declines due to expired or replaced cards.”
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“Today’s consumers have their card information stored at multiple online stores and in the event the card gets replaced, it is an inconvenience to remember and update the card details at all the stores,” observed Mastercard Executive VP of Security and Decision Products Johan Gerber. “As the first payments platform to use our Account Updater API, Adyen is giving merchants a powerful tool to provide a better, seamless consumer shopping experience by automatically updating the details.”
Founded by Pieter van der Does and Arnout Schuijff in 2006, Adyen’s use of the Mastercard Account Updater API can be activated instantly with no merchant integration required. With offices across the world, Adyen serves customers including Facebook, Uber, Netflix, Spotify, Casper, Bonobos and L’Oreal. Last March the payments platform launched of its POS offering in Singapore, then extending its unified commerce footprint to 27 countries and more than 4,000 cities.
Bloomberg reported that Adyen had announced its intention to go public and generate as much as 947 million euros ($1.1 billion) for existing investors in one of the biggest European fintech IPOs in years, valuing the company at $8.3 billion.