Merchant Acquirers and Card Issuers have been concentrating on their specific niches in the payment sector until recently when some players decided to change their approach. The confluence of acquiring and issuing services is aimed towards achieving affordable pricing of merchant services and serving better the increasing number of startups.
As a result, acquirers are now selling payment hardware and services that you could previously find only through issuers. This is a chance to unlock more revenue streams and trigger the advancement of merchant service to boost their bottom line.
Why Acquirers are Issuing
Interchange is the main reason acquirers are making quick steps towards issuing. And though it may mean a cost to Acquirers, Interchange remains a revenue stream for Issuers. No wonder Acquirers are now eyeing the Interchange revenue created from Issuing products to earn more income and cut the cost of acceptance for merchants.
In the past, … Read more