Checkout.com, a global digital payments provider, announces the results of its commissioned 2024 Total Economic Impact (TEI) study conducted by Forrester Consulting.
The independent study outlines a three-year, risk-adjusted present value and ROI for a composite organization “comprised of interviewees with significant experience working with Checkout.com.”
Forrester’s cost-benefit analysis revealed that Checkout.com delivered “an 182% return on investment (ROI) to customers over three-years.”
The study indicated a full return “on investment could be achieved within the first six months.”
Additionally, the net present value (NPV), or the total value of “an investment opportunity for Checkout.com customers over three-year engagements, stood at $12.4 million, underscoring, in our opinion, the profitability of long-term collaboration with Checkout.com.”
Because payments acceptance rates translate “directly into revenue, leading businesses are always chasing ever better rates and the study shows that high-performing enterprises achieve even higher performance when they work with Checkout.com.”
The study, based on customer interviews and aggregated data, “included customer testimonials emphasizing the high-performance payments achieved when working with Checkout.com.”
All customers interviewed were large enterprise consumer businesses “that were already working with other modern digital payments providers and achieving above industry benchmark acceptance rates.”
The study showed a 2.1% uplift in acceptance rates “by working with Checkout.com. For the composite, the benefits of this uplift resulted in an additional $13.4 million in revenue within the first 3 years of onboarding Checkout.com.”
Additionally, payment retries, which correlate “with significant drops in conversion, were reduced by 7% thanks to Checkout.com’s ‘Intelligent Acceptance’ feature, which uses machine learning to continuously improve payments performance.”
As well as improving conversion this reduction “in retries additionally yielded $1M in cost savings in avoided scheme and gateway fees.”
The study finds that Checkout.com “helped the composite build effective and tailored risk strategies.”
Customers said they appreciated the velocity “with which Checkout.com’s Fraud Detection Pro flags suspicious activities, detects new fraudulent trends, and updates criteria into its fraud engine using machine learning.”
Customers were impressed that Checkout.com’s delivery of “reduced chargeback rates had no negative impact on their payments performance – bucking a long held belief that there is an inevitable trade-off between performance and protection in payments.”
As Black Friday and Cyber Monday fast approach it is notable “that the study finds improved reliability during volume surges for the composite.”
According to the study, Checkout.com can support large surges “in volumes, which enabled the composite to handle seasonal spikes in payments (e.g., during Black Friday, the Christmas shopping season, or product launches).”
The composite improved its customer service by “leveraging the uptime of Checkout.com and its customer-first support team which is available around the clock. Interviewees described those two factors as crucial, especially for agile businesses.”
According to the study, Checkout.com has “a deep understanding of the composite’s payment needs in its service provision. Because of this, the composite can count on a team of experts across multiple areas such as integration, customer success, and solutions engineering.”
Rory O’Neill, CMO, Checkout.com said:
“As digital technology continues to transform the experience consumers have with brands, the payment process becomes increasingly important to driving conversion and loyalty. We are proud that the independent proof points in the Forrester TEI findings show that customers that work with us thrive in the digital economy, that’s what keeps us obsessed with delivering high performance payments.”
