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Chan-Sarantopoulos has seen growing adoption of POS The Ingenico team wants reseller partners to have the
systems and pay-at-table solutions but noted these cus- requisite tools to manage the entire device lifecycle, with
tomized solutions take time and effort to implement. "We readily available support as solutions evolve from hard-
don't offer integrated POS systems unless merchants spe- ware to cloud services and enterprise software, he stated,
cifically request them," she said. "For example, a merchant adding that they continue to evolve their terms of service
paid me on a full POS system a year ago, and I am still model, because they've learned what may be important
waiting for him to submit a menu to complete the order. for one partner is different for another reseller or large re-
One of his hesitations is staff training and receptivity." tailer.
Suzanne Palys, director of marketing and new product
training at Choice Merchant Solutions, Avoid channel conflicts

Meaghan Wood, payments technology consultant for
cited new hardware platform benefits. "New payment ter- bank partnerships at Fiserv, has seen channel conflicts
minals offer more advanced features, security and func- erupt over equipment pricing at large ISOs and financial
tionality compared to older basic models," she said. "And institutions. "I managed financial institution partnerships
newer terminals provide more flexibility with merchant- for Fiserv in acquiring, and a lot of financial institutions
friendly programs." Choice has taken advantage of these don't realize they can get equipment discounts as part of a
features by adding pay-by-text, consumer financing at the revenue sharing partnership deal," she said. "We routinely
POS, cash discount, surcharging, ACH and e-check solu- structured incentives where a new partner could receive
tions to its platform. gratis or discounted hardware to kick off the new partner-
ship."
Angela Carranza, vice president, integrated solutions at
Secure Bancard, said she prefers cloud-based terminals The problem, Wood stated, is that merchant level sales-
to "clunky old analog devices" because they streamline people (MLSs) make their money and livelihood on hard-
payments acceptance. "With cloud-based solutions, mer- ware sales, and these partnership benefits can create a
chants have a lot more flexibility to accept payments and tenuous, tension-filled dynamic between competing goals
they don't have to be tied down to a phone line attached and compensation plans. "If we want to address the lion's
to a wall," she said. "For me, newer devices are an easier share of FI-issued merchant programs and their hardware
sell. Everyone wants faster payments and the flexibility to challenges, you have to address and understand how their
accept payments from any location, using mobile devices, partnerships are structured and align accordingly," she
virtual terminals and ecommerce solutions." said.

Carranza also noted that app marketplaces, which can be Competing prices among equipment aggregators, manu-
integrated on POS platforms and countertop terminals, facturers and Super ISOs can create additional conflicts
give merchants more ways to streamline business man- for merchant acquirers, noted a downstream ISO who pre-
agement. "Some third-party applications can assist mer- ferred to remain anonymous. The sub-ISO stated that af-
chants with employee scheduling, time clocks, payroll, ter committing to 50 countertop terminals a month as part
QuickBooks and so much more," she said. of an ISO partnership deal, he was offered lower prices
Customize, protect services for the same products by legitimate and gray-market ven-
dors; however, the alternate vendors offered no recourse if
Bunney advised service providers to provision app mar- products had defects or became obsolete.
ketplaces with merchants' needs and desires in mind. Ex-
plore the expanded app menu and select services you will Expand product mix
offer and how you will deliver them—whether through Jennifer Sherman, senior vice president of product at NMI,
the cloud, application or a button on a terminal—and has seen an uptick in contactless transactions and com-
narrow the choices to create an ideal environment where mercial off-the-shelf devices (COTS) usage during the
merchants can easily access and leverage these apps to en- pandemic. "The same technology and NFC chip that sits
hance loyalty, reporting, payroll management and other on your phone and lets you use Apple and Google Pay will
business tasks, he stated. also let you take a payment, which means SMB merchants
don't have to buy or swap out their POS hardware to get
"We want to make sure merchants and partners leverage something that supports contactless when it's in their
the right solutions and tools to be successful," Bunney said. pocket today," Sherman said. "And tap on mobile solutions
"We recommend encrypting all transactions and not just allow consumers to tap their credit card or smartwatch or
for our platforms, because bad guys are always focused on mobile wallet or mobile device and make a payment."
finding the weakest link and point-to-point encryption is
nearly impossible to crack." Even as we emerge from COVID and see vaccination rates
rise, NMI studies indicate people remain fearful of dis-
Resident applications on the marketplace are also signed, ease transmission, and nearly 30 percent of consumers are
Bunney said, referring to a security protocol that ensures uncomfortable using cash, Sherman stated. "We know 78
only approved applications are on PCI-certified terminals. percent of retailers use some form of contactless payment

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