The Brink’s Co., likely best known for its armored trucks used to transport money and other valuables, has launched a payment processing service for e-retailers.
Brink’s Checkout, officially announced earlier this month, enables web merchants to accept credit and debit card payments along with eBay Inc.’s PayPal transactions. The service complies with Payment Card Industry Data Security Standards—a set of rules created by payment card networks to protect cardholder data.
“As e-commerce has grown, we think our name brings great credibility in this space,” says Nasser Chanda, president of Brink’s Global Payments.
He says Brink’s will charge merchants 2.9% of each transaction plus 30 cents. That’s the same rate PayPal charges to process card transactions on behalf of e-retailers, though it offers discounts for larger merchants. Brinks also offers customized pricing for mid- to larger-sized merchants processing over $50,000 per month.
Brink’s will focus on marketing and selling the service to e-retailers. 2Checkout.com Inc. is providing the “core payment processing technology,” fraud prevention and support for multiple languages and currencies to enable e-commerce purchases around the globe, says Tom Dailey, CEO of 2Checkout. The service is capable of transactions in 15 languages and 26 currencies.
Brink’s enters a competitive field, says Denée Carrington, a senior analyst covering e-business for Forrester Research Inc. Indeed, data from Top500Guide.com show at least 15 payment service providers being used by merchants included in Internet Retailer’s 2013 Top 500 Guide. That includes 258 merchants that report using PayPal—nearly 52% of the Top 500. On a related note for the Brink’s service, 46 merchants in the Top 500—or 9.2%—offer shopping via multiple languages, and 293 of Top 500 merchants—or 58.6%—ship goods internationally.
Carrington say Brink’s might have one big advantage in attracting customers to its new service—its reputation.
“The e-commerce payment service provider space is very crowded, highly competitive and commoditized, which makes it difficult for a merchant to make sense of the myriad options available to it or the trade-offs between vendors,” Carrington says. “So a brand it already does business with or that represents trust will be a big advantage for Brink’s Checkout.”
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