Fast payment increases trust in online marketplace

Online Payment Platform is a payment service provider (PSP) that focuses on trading platforms and marketplaces, and the payments that take place there. “This is a fast-growing sector, and Marktplaats.nl is of course one of the best-known examples”, says co-owner Maurice Jongmans. “Others include Natuurhuisje.nl or car sharing- and crowdfunding platforms. Online Payment Platform serves around 150 of these types of platforms throughout Europe.”

Jongmans explains that there is a trend towards large businesses setting up their own platforms for the trade in second-hand products, for example. “Like a big electronics firm that offers consumers a discount on a new TV if they sell their old TV on their platform. Companies are either setting up their own platforms or integrating the service in their own site.”

According to Jongmans, trust is the highest priority on these platforms. “So we always identify the buyer for our client as part of a customer onboarding. Then we offer a link to a payment option, such as iDEAL, PayPal or credit card. Sometimes we hold on to the money until a product or service is delivered. At Natuurhuisje.nl, the lessor only gets the money after the renters check in. And at Marktplaats.nl, the seller receives payment after the product is delivered. That creates trust among both parties.”

Trust is also based on the speed of processing and payment. Jongmans: “And sometimes things go wrong with the latter. If a product is delivered to the buyer by mail on Friday afternoon, then sometimes the seller doesn’t receive the money until sometime on Monday morning. That’s because the payments aren’t processed during evening or weekend hours.”

“Consumers expect speed in every area today, and that includes the area of payment. So we aim to meet that expectation. To that end, we recently started using Rabobank’s Business Instant Payout API for payments. It facilitates payments 24//7, including nights and weekends. When a seller receives their money soon after a buyer receives the product, it feels a lot more honest for both parties.”

Jongmans explains that Online Payment Platform was involved in the development of Rabobank’s Business Instant Payout API. “Then we ran a successful pilot project. Now we can process around 15,000 payments per day even faster, so you’re talking about a huge benefit. We look at payment solutions from an innovative perspective, and we’re happy to be able to do that with a party like Rabobank. Right now, for example, we’re looking at a link where we can receive a notification within a few seconds when the seller receives payment, so we can inform them in turn. That’s another step towards creating trust in trading platforms and marketplaces.”