U.S. Expansion Paces Big 2012 for Ogone
Jan. 24, 2013
Belgian Payment Service Provider (PSP) Ogone today reported strong growth in 2012, posting a more than 35 percent increase in transactions—worth €16.6 billion ($22.2 billion)—processed by its platforms worldwide. The company is enjoying growth globally in Europe and Asia and secured a European e-money license through its mid-year acquisition of Tunz.com , a Belgian e-wallet provider. Some of the most exciting things, though, are happening in the U.S., according to James Byler, Ogone’s regional head of North America, where the company opened its first office at the beginning of 2012 and brought several major e-commerce retailers on board with significant operations overseas.
“We’re focusing on very large e-commerce companies in the U.S. that want to do, or currently are doing, transactional business abroad,” said Byler. “We’ve had some pretty good success with major clients like Dell, Bose and Staples. We recently signed Starbucks. We’re running all their non-U.S. business.”
Byler said the value proposition that is winning the PSP big U.S. clients, and the way it differs from much of its competition, is that it will work with just about all the major acquirers—more than 250 worldwide. For small and midsize merchants, a one-stop gateway/acquirer relationship might be advantageous, he acknowledged. But for the top e-commerce companies in the world, which Ogone is targeting, choice matters.
“We pitch acquirer agnostic,” he said. “Instead of getting stuck with one acquiring platform, we connect to basically every major western acquiring bank. We say ‘you shouldn’t be pigeonholed into one merchant account. Whatever market you’re entering you can pick out the biggest acquirers, pound away and get the best rate, then choose who you want.’ That strategy brings value to large merchants that have that acquiring infrastructure already.”
In addition to the U.S.-based retailers Byler mentioned, Ogone expects to add more, with a pipeline that looks “better than anticipated.”