Managing Multiple Payment methods: Challenges Facing Mass Payers
It’s extremely difficult for affiliate and monetization networks to manage their mass payment obligations. Why is this? Well, imagine having to pay hundreds (or even thousands) of people or organizations all at the same time, and how difficult of a task that is. To complicate matters, imagine these people and organizations are all over the world. Having a working knowledge of the various banking regulations, taxes, procedures, currencies, and payment options for every country in the world is a lot to ask of any accounts payable department. Things become daunting, time consuming, and difficult…at least, if you want to do everything the right way, while ensuring full banking , regulatory and tax compliance, we might add.
Aside from getting the payments from point A to point B, there are many other obstacles that a mass payer must consider. For one, foreign bound affiliate and/or publisher payments need to adhere to compliance regulations in order to ensure that they are not being made to suspected terrorists, drug traffickers or anyone associated with money laundering. By scanning each and every payee (the person or business receiving payment) against the most current blacklists , a business can avoid any chance of becoming associated with high risk individuals that can potentially harm their reputation and flow of money.
Another big challenge that mass payers face on a daily basis is the consumption of their most valuable asset of them all: time. It takes a great amount of time to make direct payments and to correct rejected ones, along with all the paperwork involved in processing a multitude of payments to various places in the world. Between staying in compliance by collecting tax forms, collecting country-specific banking information from the payees, to ensuring on-time and accurate payments are made, there is a lot that goes into making mass payments, which means that there’s a lot of time being allocated toward these duties.
The above mentioned, are but a few of the major challenges that mass payers have to face on a regular basis. So, how can these challenges be alleviated? It takes an enterprise-class payout platform to run a smooth, cost-effective pay-out process. By utilizing a platform that integrates seamlessly into the payer website, it can help to dramatically reduce costs by knocking down direct payment costs by up to 25%, dropping labor costs up to 50%, and nearly completely nullifying rejected payments due to incorrect payee information. Not a bad idea for any mass payer to look into, we’d say.