TJC case study: Recuperating failed recurring payment transactions with Paysafe and Vindicia
Sep 17, 2020 | By Direct Commerce
TJC (formerly The Jewellery Channel) has partnered with payments platform Paysafe and subscription management provider Vindicia to stay connected with subscribers by recovering 35 per cent of failed recurring payment transactions
TJC offers customers that buy jewellery and other products online or over the phone the option of setting up a flexible payment plan when they make a purchase. TJC offers the option of 2-7 month recurring monthly payments to the consumers.
However, offering consumers the option of purchasing via a recurring payments plan comes with its own set of challenges. This includes the possibility for payments to fail once the recurring transaction plan has been set up and the products have been shipped to the customer. For TJC, it was a business-critical issue that this potential hindrance didn’t disrupt its ability to offer recurring payments. TJC turned to payments platform Paysafe and subscription management provider Vindicia, an Amdocs company, to prevent this from happening.
Simon Chandramani, VP Sales EU Card Processing at Paysafe Group, says: “In today’s digital age, the subscription economy is thriving. Consumers can subscribe to a vast array of online and physical services including TV and movies, music, fresh produce parcels, flower bundles and pet supplies. However, there are challenges when it comes to billing. By ensuring consumers can set up a subscription service easily as well as minimising the failed transaction rate once recurring payments plan has been authorised, merchants will be able to achieve great recurring revenue. Retailers will also have the time to focus on creating new innovative products and retain customer satisfaction. Without this, the subscription economy will never reach its full potential.”
Retailers such as TJC are constantly evolving, developing new products and services as well as diversifying offerings. Often the sticking point for merchants like TJC that want to offer a recurring payments model is failed payment card transactions, which is frustrating for both the merchant and consumer, particularly when they can be so easily remedied. As we have seen with TJC, by working together and utilising each other’s strengths and expertise, Paysafe and Vindicia have been able to achieve a significant successful recovery rate. This has helped TJC to increase its revenue, reduce churn, enable seamless customer experiences, and extend customer lifetime value. With the tumultuous times retailers have been going through due to the COVID-19 pandemic, this has never been more important.