July 6, 2005
BACKSTAGE AND iDEAL
06 July 2005 -
On 1 September,
the latest payment product, iDeal, is to be launched.
But, what are the implications for Backstage, Siennax' Billing Services proposition?
Since the emergence of e-commerce, around a decade ago, various payment systems have been developed to encourage payment online and micropayments. Although a number of these projects proved successful, they are highly fragmented and there is a distinct lack of an internationally accepted product. Furthermore, many Internet users would much prefer to use their own bank, instead of some other payment system for online purchases.
iDEAL
The latest Dutch solution to this problem is known as iDEAL; a payment standard for direct Internet payments. It will enable consumers to pay for their Internet purchases using their own bank's trusted Internet banking platform. iDEAL was developed for Rabobank, ABN AMRO, ING Bank and Postbank. iDeal also offers Internet entrepreneurs guaranteed payment and the ability to immediately check whether payment has been effected.
The benefits that iDEAL offers online consumers include swift and secure payment in a familiar environment. After all, iDEAL links the users directly to the Internet bank where they usually arrange their financial matters online. This system has therefore removed the major stumbling block that previously prevented more widespread online sales/ purchases.
Backstage and iDEAL
The combination of iDEAL and Backstage offers new powerful possibilities for the improved facilitation of e-Commerce.
iDeal is suitable for real-time payments, not batches of collection orders. With the assistance of Backstage, the on-line invoice created and sent by e-mail can also be equipped with a pre-prepared iDeal transaction. The consumer can then pay for the iDeal transaction directly using a link in the e-mail message. With a view to ensuring prompt payment, however, Backstage's automatic demand procedure can be utilised to issue reminders.
The costs involved in using iDeal render it unsuitable as a payment product for micropayments. Its combination with Backstage, however, offers the ideal mix. iDeal guarantees payment, while Backstage enables the smallest possible pre- or post-payment sum. Backstage offers countless possibilities in this field. The combination of the two therefore yields an attractive marketing and pricing alternative to premium text messaging or calling expensive service numbers for on-line games, page views, or payment for MP3s or ringtones.