There Are a Few Simple Things Everyone Should Know About Global Processing 

 

• When you process outside of the country your customer is in, it is considered a cross-border transaction.

  

• Cross-border transactions are prone to more declines, higher fees, and your customer may see additional bank charges. These three factors make for a perfect storm when it comes to cross-border payments.

 

To process in-country, retailers can:

 

• Set up local entities, banking relationships, and infrastructure in every major country in which they are selling.

 

• Working with CPS allows you to process where your local customer is and reap all the benefits of in-country processings without a physical location or local bank relationships.

 

 

 

It’s important to not just to support alternative payments, but to also make sure that they are optimized for physical goods merchants.

 

 

Important Elements of Global Money Management 

 

 

01. 

 

Guaranteed rates – Many retailers do not have the ability to lock in their FX rates through the entire payments lifecycle. Unfortunately, this leads to inefficiencies in data and reporting on global business. For some companies, returns account for over 20% of the business, and uncertainty in currency fluctuation is bad news when changing rates mean even bigger losses.

 

02. 

 

Reporting – Many e-commerce platforms are either not designed for global money management or are not optimized to track global variables like currency fluctuations on returns. CPS works with merchants and their existing systems to provide comprehensive reporting.

 

03. 

 

Currency fluctuation and global pricing – CPS has developed a tool for retailers to better understand how currency fluctuation around the world can affect their business. Access the tool here and follow the simple instructions.