Trustly: Alternative Payments
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With the rise in mobile banking, Trustly is a facilitator of alternative payments online for over 2500 websites worldwide; differing from industry leaders such as Apple Pay, whilst offering an equally seamless service.
Total Processing is happy to announce that Trustly is one of the 198+ alternative payment methods that we offer alongside other domestic offerings within our bespoke and agile payment gateway.
Regulated by the Swedish Financial Supervisory Authority, Trustly facilitates payments via direct bank transfer as opposed to services that require card details to be entered.
Available across 29 European countries and/or territories, Trustly has a popularity in both high-risk markets and within geographical demographics that hold a preference to spend via e-wallet and bank transfer, over cash or credit.
Such countries include:
Spain
Sweden
Italy
Denmark
Finland
Poland
The UK
Estonia
Started in 2008, Trustly allows consumers to make payments instantly – in real-time – directly from their back via a button placed at an online checkout. Whilst no registration for the service is required on the customer’s side, every transaction must be verified before it can be confirmed. This is most commonly done with a one-time passcode via SMS; that complies with newer SCA compliance parameters.
The process is simple. Users select to pay with Trustly at the checkout and are then asked to choose their bank from a drop-down list where they will proceed to login as normal. They agree that the monetary amount will then be pulled from their account and verified.
Alongside facilitating payments, Trustly can also process refunds to consumers on the behalf of the merchant.
Most commonly used in high-risk industries to cater to large transactions, Trustly has a high use-rate across the travel, e-commerce, gaming and financial service industry; streamlining and even automating, what can be a lengthier process within these sectors.
A one-click solution; Trustly’s services expand to recurring billing solutions within the invoice payments services – within its origin country of Sweden, but has yet to offer the solution globally.
An additional benefit to using Trustly Payment methods, is that the customer will automatically be redirected back to the merchant site after a payment has been taken.
Trustly bypasses card networks to serve more than 67 million consumers across Europe and North America; having been voted the best PISP and AISP initiation service provider in 2020 at the Merchant Payment Ecosystem Awards.
In 2015, Trustly had a revenue of more than 20 million Euros; which was up 85% from the year prior. Utilising BankID security, Trustly allows users to securely make bank transfers without being subject to fees within its portal.
BankID is the leading electronic identification in Sweden and is used by more than 8 million people across a wide range of smart devices.
Additionally, between 2017 and 2020, transactions for Trustly grew by more than 350%.
Trustly, is an alternative option to what can be considered your alternative options such as other one-click methods such as Apple Pay and Google Pay, and is highly popular across Western Europe where bank transfers hold a high use case; like e-wallets do across Asia and likewise, where cash is dwindling worldwide.
The same is not too dissimilar in the UK where 31% of transactions are made via e-wallet or bank transfer; the figure is only slightly higher in Western European countries such as Denmark at 39% and even more so in Eastern European countries such as Estonia at 53%.
Each month, Trustly facilitates more than 5 million payments via its service.
With the increasing use of online banking and a rise in e-commerce, there will be a natural incline in conversions across all APMs, as 44% of all Europeans regularly use internet banking.
Moving Forward in the Payments Space:
The future of Trustly points to an embrace of open banking as this move in SCA compliance allows AISP and PISP providers to move on from screen scraping methods- wherein data is extracted from a customer’s data – to API hosting; with secure access from banks themselves.
This is a move enabled through the possession, inherence and knowledge authentication methods required throughout SCA parameters when making a payment.
This elevates Trustly’s footing in the payment space that providers such as Truly hold in comparison over traditional payment methods.
Why Trustly?
76% of merchants want advanced security measures that don’t impact the digital
experience and Trustly’s call to reduce the need to enter card details in their transaction process, whilst facilitating real-time payments, does exactly that.
Where other APM’s can be considered another one-click alternative, a study revealed that 83% of UK customers preferred security over convenience – especially within Trustly’s market demographic.
This does not mean that merchants need to exclude their options, but by increasing them, they stand to see an increase in conversions with minimal cost and effort in integration through the help of a payment processor such as Total Processing.
Trustly is currently integrated on over 290 German websites, 271 UK websites and 165 Swedish websites.
With a global cart abandonment of 72.86% online via the desktop, Trustly is another payment method that is truly an alternative way to increase conversions with ease.
Sources:
http://thestateofonlinebanking.com/reports/Trustly%20Report-UK-FINAL.pdf
https://www.similartech.com/technologies/trustly
https://help.mintos.com/hc/en-us/articles/360001364018-Is-it-safe-to-use-Trustly-
https://gocardless.com/guides/alternative-payments-europe/trustly/
https://www.emerchantpay.com/insights/in-focus-trustly/
https://www.worldremit.com/en/faq/payments/trustly
https://ventsmagazine.com/2019/06/15/benefits-of-trustly-in-online-deposits-and-payments/
https://trustly.net/blog/2019/05/bring-your-customers-closer-with-an-easier-way-to-pay-invoices
https://trustly.com/en/what-is-trustly/
https://www.netentcasino.com/news/payment-methods-trustly-work/
