According to Juniper Research, optimized payment processes can increase purchase conversion rates by 35%. In network marketing, where hundreds of payments to distributors and customer order payments are processed daily, connecting a reliable payment system is a crucial component of stability and successful MLM company development. But how do you choose the right payment solution for your business? Let’s figure it out.
Criteria for Choosing a Payment System for MLM Business
A payment system is a tool upon which the continuity and convenience of financial transactions between customers, network marketing distributors, and your MLM company will depend. Here you have two main options: direct connections to banks or using payment services for businesses.
Entrepreneurs often prefer payment services because they offer a simpler verification process and flexibility in international payments. There are dozens of such services on the market, and to choose the best payment system for an MLM business, consider the following criteria:
1. Security
The payment system must adhere to modern PCI DSS security standards—this ensures the protection of your data, customer personal data, and all transactions from unauthorized access and any fraud. You can further analyze the reviews and reputation of payment services on the market to ensure their reliability.
2. Available Payment Methods and Multicurrency
According to Applause, 76% of consumers abandon a purchase due to the lack of a preferred payment method. Therefore, when choosing a payment system for an MLM company, ensure it supports credit and debit cards, digital wallets (like Apple Pay, Google Pay), and other payment methods. Moreover, if you plan to expand your business in multiple countries simultaneously, the chosen system should operate in all these countries and support various currencies. This will make your MLM business more accessible to a broader audience, facilitating dynamic growth.
3. Speed of Payment Processing
Some payment systems process transactions instantly or within a few hours, while others may have delays of several days or even weeks, especially for international payments. To increase the trust and satisfaction of your partners and clients, prefer a service that processes payments in real-time or with minimal delays.
4. Commission Rates
Payment systems for businesses typically charge fees for domestic and international transactions, currency exchange, or other financial services. Compare the commission rates of several such services to find the optimal balance between the cost of their use, quality of service, and speed of payment processing.
5. User Support
Technical issues or difficulties with payment processing can occur in any online service. Therefore, when analyzing various payment systems for network marketing, also consider the availability of 24/7 customer support systems. This is extremely important for the timely resolution of any issues and maintaining the loyalty of your customers and distributors.
Considering all these criteria, you can choose a payment system that meets the needs of your network business, allowing you to quickly and securely make payments to partners and receive payments from customers.
Popular Payment Systems for MLM Companies
Among the popular payment services our clients often choose for their network companies, include:
1. Stripe
Stripe is one of the most used payment solutions among small startups and large international companies. This payment system is now available in 46 countries worldwide, supports over 135 different currencies, and offers more than 50 payment methods. Stripe also stands out with its comprehensive suite of tools for processing bulk payments and fully customizing payment processes to meet specific business needs. Stripe charges 2.9% + $0.30 for online transactions in the USA, and for international payments, an additional 1% is added to the base commission. A further 1% commission is charged for currency conversion.
2. Payeer
Payeer combines the capabilities of a digital wallet and a payment system for businesses, allowing users to store their funds, make transfers, accept payments, or exchange currencies online. It operates in 127+ countries and supports traditional fiat currencies such as USD and EUR, as well as cryptocurrencies like Bitcoin, Tether, Ethereum, Litecoin, and others. Payeer is well-known not only for its versatility but also for the speed of transaction processing. The commission for transferring money between users within the Payeer service is 0.5%, and for processing transactions from other payment systems or bank cards, a commission of 1% to 4% is charged.
3. LiqPay
LiqPay is a payment system for businesses that provides tools for accepting payments on websites and in mobile applications. The service supports payments from 120+ countries in UAH, USD, and EUR. LiqPay also allows for full customization of the payment form—you can adjust its design and functionality to suit your MLM company, thereby increasing your users' trust. An important note is that verification in LiqPay requires a phone number registered in Ukraine or European countries. The basic commission for transactions in LiqPay is 1.5%, and for airlines, insurance organizations, and tour operators - 2.2%.
Besides standard payment systems, more and more entrepreneurs are now looking for additional tools for conveniently accepting payments for their goods and disbursing rewards to partners in cryptocurrency. And this is not surprising, as digital currencies are rapidly gaining popularity worldwide.
Integrating Crypto Payments as a Competitive Advantage
Cryptocurrency payments are distinguished by their high speed and security thanks to blockchain technologies, low commissions, and the absence of any geographical restrictions. According to a study by Forrester Consulting, companies that accept cryptocurrency as a payment method can attract up to 40% new customers. Therefore, incorporating cryptocurrencies into your network business will significantly enhance its appeal to network marketing distributors and customers on the international market.
By offering MLM companies integrations with various payment systems through advanced API, we also provide flexible solutions for processing crypto payments on four blockchains (BTC, Ethereum, Tron, and Binance). Thanks to the full automation of payment processes, low fixed commissions, and ease of connection, each of our clients receives a reliable solution for easy and quick acceptance of payments and disbursements to partners in cryptocurrencies.
Summary
Thus, a properly chosen payment system for an MLM business is not just a means of receiving payments and making disbursements. It is a tool that ensures the continuity and automation of financial operations, the security of all transactions, and the ability to quickly scale the business. Having various payment options and a convenient payment system improves the user experience for your clients and partners, contributing to increased sales and the development of the MLM distributor network. Our team at FlawlessMLM will help you select the best payment system and create unique software for the successful growth of your business in the long-term network marketing market perspective.
