Learn how Echo gives platforms more flexibility and visibility over their multi-party flows, by connecting pay-ins processed by their PSPs to Mangopay's infrastructure.
Many platforms are now at the stage where scale brings a different set of payment challenges. Larger transaction volumes, more markets, and multi-party flows have made these businesses outgrow their initial all-in-one payment provider and move towards a multi-PSP setup.
Managing multiple payment partners is technically difficult. Different settlement data, APIs, reconciliation, refunds, disputes, and other edge cases handled through multiple PSPs create operational complexity that overwhelms finance and payments teams. On the other hand, vendor lock-in can leave platforms tied to end-to-end payment setups that are hard to adapt to any new business changes. Platforms may find themselves caught between two challenging circumstances. Either a multi-provider setup gives them more flexibility to adapt and expand, but also creates more complexity. Or a rigid end-to-end setup can be easier to manage, but offers less room for changes as the business evolves
Echo is Mangopay’s response to all these challenges. The PSP-agnostic approach enables platforms to centralize the payments processed by their PSPs in one single place for reconciliation, wallet allocation, splits, and payouts. PSPs continue to process pay-ins, while Mangopay’s infrastructure becomes the point from which the platform manages downstream money movement.
What’s more, this approach flips the traditional negotiation power dynamic. Platforms keep using their existing PSPs, while having more flexibility over how the rest of the payment flow is managed without tying their payment operations to a single provider.
Millions of transactions and multiple providers make for a challenging combo
As platforms scale and expand to more markets, they need more payment providers to serve new markets and greater volume. However, this comes with a lot of fragmentation, which shows up at exactly the point where platforms need more flexibility: right after the payment has been accepted.
Fragmentation is a real challenge when it comes to transactions because every payment can trigger several movements. Funds may need to be held, split between different parties, allocated to specific wallets, released at different times, or used to support refunds, rewards, and re-spend. The payment has been accepted, but the platform still has a lot to manage. For this reason, platforms need flexibility over when and how funds move between all the stakeholders. They may also want to create new payment experiences after the pay-in, from faster payouts and loyalty programmes to wallet-based re-spend, without rebuilding the main flow every time.
Scale also exposes another issue. There is often no single owner of the full fund flow when several providers are involved. Each provider manages and delivers their own part, while the platform is left to connect all the dots and bring all the payment information together.
That is one reason reconciliation remains so manual. Mangopay research found that 86% of enterprise platforms still rely mostly on manual reconciliation, despite the transaction volumes and complexity involved. Platforms need an automated way to connect payment information with the funds received, attribute those funds correctly, and trigger the next step only when the money is there.
Where and how Echo steps in to address these challenges
Echo addresses the complexity of a multi-provider setup and brings three key benefits: flexibility, visibility, and automation.
A flexible multi-provider strategy
Platforms continue working with PSPs that already make sense for their business and add or switch providers when needed. The difference is that changing who processes the pay-in no longer involves disrupting the full payment migration process.
User onboarding independent of the PSP mix
Platforms can apply one KYC process regardless of how many providers are involved. The payment setup can change in the background, while the user experience stays the same.
Centralized flows for a complete view
Payments processed by multiple PSPs connect to Mangopay, so reporting and payment data are no longer split between providers. Platforms can manage settlements, reconciliation, and payouts and have more visibility over the flows.
Automated reconciliation
Echo automatically matches the received funds with the corresponding wallets. Payouts can then take place once the funds have been confirmed, reducing the manual checks needed before the money is moved.
Choose who does what in your payment flow
Mangopay gives platforms the choice to use one infrastructure end to end, or connect it to the payment providers they already rely on.
Use Mangopay end to end: Accept pay-ins with Mangopay alongside other payment providers, then manage the settlements, reconciliation, wallet balances, and payouts via Mangopay.
Use Mangopay after pay-in: Your existing providers handle the payment acceptance, while Echo connects those pay-ins to Mangopay for everything that follows.
Taking the value of Mangopay's wallet infrastructure further into the multi-PSP ecosystem
Mangopay has long enabled platforms to go beyond payment acceptance. For over more than ten years, some of the leading platforms have used our infrastructure to launch new financial services, create virtual banking environments, move from classifieds to transactional revenue streams, and simplify highly fragmented payment flows without losing the flexibility required for customized flows.
Echo adds another dimension to the value of our wallet-first payment infrastructure by giving platforms more flexibility and clarity in multi-PSP environments. For the platform economy, launching Echo marks a move away from provider-dependent payment setups towards a more scalable model.
Contact us to see how Echo fits into your current payment setup, and get ready to bring more flexibility, visibility, and control to your payment operations.
