Merchant Processing Specialty: Building Supply Industry

building supply photo

Resources

Slide: CenPOS Overview

Blog: CenPOS

YouTube.com/3Dmerchant

CenPOS Sales Sheet : Select benefits, overall capabilities 3 pg pdf

Sales: 954-942-0483

Contact

Update: Cenpos check processing includes ACH, Check 21, and check guarantee. Recurring billing and einvoice optional.

Typical Problem

High volume of commercial credit card orders via phone results in frequent non-qualified interchange rate qualification fees. NQS, EIRF, and standard interchange rates are listed on merchant processing statements. Sounds greek? These categories cost up to .70% more on every transaction, and there are other avoidable issues that can raise fees even higher.

Your processor may have additional non-qualified or 'downgrade' fees on top of that.

An even bigger concern is PCI Compliance. Building materials companies always have on account customers, and some of them will keep a credit card on file. However, the typical credit card authorization form is a ticking time bomb for identity theft.

Solution

Knowing what to look for and preventing downgrades is critical. But who has the time? The solution is technology that automates interchange rate qualification across all payment channels- swipe, mobile, key entered, online, etc.

Our cloud technology reduces credit card processing fees without requiring merchants to change credit card processors. Additionally, the tokenization feature dramatically improves PCI compliance and efficiencies. Credit card authorization forms with full card data are replaced with PCI compliant forms that are instantly created whenever cards are securely stored on private cloud servers. Full card data is replaced with a random alpha-numeric token, which is then used to initiate future transactions. This method is far more efficient, saving all the keystrokes associated with the old way.

Background

Christine's family includes 3rd generation family builders, lumber yard/ building supply company owners, and home renovation management. We know your business.

ACTUAL MERCHANT PROBLEM

A wholesale building supply company sells products with low margins and very high dollar value. The effective rate for credit card processing was manually monitored by reviewing credit card statements, and was creeping higher and higher. Less than 10% of all sales were with debit cards and 85% are rewards or corporate cards.

HOW WE SOLVED IT

CenPOS Smart Terminal with automated switching for retail card swipe and key entered. There were multiple factors contributing to the ‘interchange downgrade’ problem. One of them is key entering transactions on a retail merchant account. Because full track data is not received, the transaction is downgraded.

CenPOS eliminated all the issues causing non-qualified transactions with proprietary methodology, including interchange optimization. One key differentiator is the ability to dynamically identify the card type, presentment requirements and then automatically send the correct data needed to qualify for the lowest interchange possible. This is impossible with any desktop terminal on the market today because even if there were enough memory, it would be out of date all the time. The intelligence of CenPOS is incomparable in the merchant marketplace today, even among the few other hosted payment solutions. The problem with other virtual terminals is they have no intelligence. They basically operate just like desktop terminals, except that they are in the cloud.

In a year over year comparison, from July 2010 to July 2011, the bulding supply company effective rate dropped 0.2%. Given the increases in processing rates during this period, it's a great achievement!

Additional benefits: Manual monitoring to spot trends was eliminated, saving controller time. Merchants can visually glance at any schedule or have custom automated reports sent via email. The ability to look up past transactions by multiple personnel and by different criteria than the processor offered is a continual timesaver creating efficiences in back office operations.

3D Industry Rating

80% of building suppliers and related retail stores analyzed could realize 5-25% savings per month by implementing our recommendations, and 100% could improve PCI Compliance. Overall, this industry has below average payment processing cost management capabilities and poor PCI Compliance.