When we launched Daxko Payment Services it was with the knowledge that we could provide better payment services options for our customers and the results we’ve seen thus far have proven that out. So, what are the advantages that Daxko provides?An Integrated Model of Payment: By creating a service with an integrated gateway and processor, Daxko Payment Services allows the Daxko Payment Services team to have visibility, access and control to allow seamless and efficient service throughout the payments process for our customers and their members.Creating Daxko Payment Services for our customers also offers customers these benefits:
- Single Point of Service - Questions about a card decline? Or, wondering why a deposit didn’t hit the bank when expected? Daxko Payment Services offers our customers one point of contact (the Daxko Team) for all questions about payments. Be integrating our payments, we now can provide our customers the award-winning customer service they’ve come to expect when dealing with all types of payment processing questions or needs.
- Transaction and Batch Visibility - Daxko Payment Services offers an online portal with payment history and visibility to allow customers to troubleshoot with their members. For example, the online portal allows Daxko Payment Services customers to search by last 4 digits on a card to find a member that was double-billed quickly.
- Next Day Deposits - We know that any transaction closed in Daxko Operations or in Daxko Spectrum by 5pm CST will be deposited the next day.
- Integrated EMV Compliant Terminals - Daxko Payment Services provides our customers true point of sale capability integrated with the software application.
- Proactive and Automatic Account Updater - This card account updater service avoids CC declines for invalid expiry dates or invalid account numbers. Daxko Operations or Daxko Spectrum customers will sometimes see a monthly draft fail due to an invalid expiration date. Staff is then required to call the member and explain that they were unable to run the card because it expired. Then one of two things occurs, staff time is spent getting updated card information and getting it into the system or the member will realize that they aren’t using their gym membership as much as the used to and they will terminate their membership.
The numbers prove how valuable this service has already proven to be:
CURRENT STATE:Across Daxko in 2016, we saw 379,246 preventable declines due to invalid expiry dates or invalid account numbers. Those declines were worth $29 million (not including future revenue lost on long-term membership value).Based on Daxko Operations and Daxko Spectrum data, we know that 1 in 3 members that have a card decline based on one of the reasons mentioned here will terminate their membership within 30 days.So, across our products, that equals 113,172 terminations. Just a single month of that revenue loss of $8.7 million.Imagine taking those numbers for members stayed one, two, six months or even longer at your health club, YMCA, JCC or fitness center.REVENUE PROTECTED:So, what happens when we add Daxko Payment Services Proactive Account Updater? Our data show that it updates around 40% of card data. Across Daxko with card account updater we could see 35,268 declines prevented, worth 3.48 million for one month and $41.76 million annuallyThe difference between Daxko Payment Services card account updater is that it is “proactive” and “automatic." because it automatically checks the card numbers prior to draft day. It is automatic, secure, and most importantly is proactive. No manual intervention required. It runs automatically every month in the background. In addition, there is robust reporting in both Daxko Operations and Daxko Spectrum.Since we launched Daxko Payment Services Proactive Account Updater, we’ve proactively updated more than 100,000 cards. If we use the same math as we did previously, we’ve prevented more than 40,000 declines, more than 12,000 terminations and retained more than 6 million in revenue.