New offering enables a wide range of new use cases and cross sell opportunities.
MONTREAL, Nov. 29, 2023 /CNW/ -- Nuvei Corporation ("Nuvei" or the "Company") (Nasdaq: NVEI) (TSX: NVEI), the Canadian fintech company, announces today that it has launched its card issuing solution in 30 markets globally. Nuvei clients can now offer their customers, employees, or contractors physical and virtual white-labelled cards.
The company's global acquiring footprint, combined with the newly launched issuing capability, creates a differentiated value proposition for both Nuvei and its clients. The combination of issuing and acquiring capabilities offers revenue accelerating benefits to customers through same day funding, on-us processing, interchange optimization, and instant transaction reporting.
The new offering is currently available in 30 markets across the European Economic Area, with a roll-out to the UK, US and Latin America planned for 2024.
The new service will offer businesses a variety of use cases, including:
- Virtual cards for B2B customers to pay suppliers.
- Payment cards for payouts, which has utility for customers operating in Marketplaces, Insurance, iGaming or the Gig economy; and
- Wallet-as-a-Service, where Nuvei will manage the entire end-to-end process and distribution for customers, supporting specific use cases such as loyalty programs.
There are multiple benefits Nuvei issued cards can bring to businesses, their employees, and their customers. These include:
- Working capital efficiency: virtual cards enable businesses to instantly access and utilize funds collected from their customers. Once the customer's transactions have been captured, virtual cards can instantly be issued and used by the merchant to pay suppliers, employees, or other customers. There is no need to wait for the funds to settle before making use of them, hence enhancing working capital. This benefit is useful for instance, in the case of Online Travel Agents purchasing flights or hotel tickets on behalf of their customers.
- Improved authorization rates: When merchant branded cards are used for purchases and Nuvei is both the issuer and acquirer, transaction approval rates can increase. One use case for this capability can be seen in the retail sector, when merchants issue their customers refunds on a virtual or physical card and those customers use their funds in the same store. If transactions are acquired through the same payment processor who issued the card, approval rate improvements will be seen.
- Seamless and cost-effective payouts: virtual and physical cards are fast and easy to issue. They enable businesses to push funds out to their customers or workforce at speed, and often lower cost than traditional payouts to existing cards or directly into bank accounts. Insurance claims, government disbursements and gig economy payouts are primary use cases where card issuing can add value. Because once issued, virtual cards can be used instantly, anywhere cards are accepted, this proposition also creates value in areas where businesses or governments must make payments to parts of the population that are unbanked.
- Increased customer loyalty: merchant issued cards can be both physical and virtual and are white labeled to the merchant's brand. This can help increase brand awareness and affinity while giving merchants an opportunity to reward their customers. Retailers can use card issuing to process customer refunds for example, and connect card use to reward schemes designed to improve customer loyalty.
Nuvei Chair and CEO, Philip Fayer commented on the announcement: "We're thrilled to launch card issuing as an additional module to our full stack technology platform. This solution has practical applications for our clients, benefiting their customers by improving their own working capital and simplifying their back-office processing. The launch of our card issuing solution is another example of our dedication to finding new ways to accelerate the business of our clients across the different verticals we operate in, all while growing our own total addressable market."
About Nuvei
Nuvei (Nasdaq: NVEI) (TSX: NVEI) is the Canadian fintech company accelerating the business of clients around the world. Nuvei's modular, flexible and scalable technology allows leading companies to accept next-gen payments, offer all payout options and benefit from card issuing, banking, risk and fraud management services. Connecting businesses to their customers in more than 200 markets, with local acquiring in 47+ markets, 150 currencies and 669 alternative payment methods, Nuvei provides the technology and insights for customers and partners to succeed locally and globally with one integration.
For more information, visit www.nuvei.com
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