Deutsche Bank is acquiring payment service provider Better Payment Germany GmbH, based in Berlin to provide banking and payment services across the country.
Over the next 12 months, Deutsche Bank plans to integrate fintech’s technology into its product range to provide banking and payment services via existing Better Payment channels, as it expects a surge in demand for the services in the future.
Deutsche Bank further added that the company’s services with its existing customers will remain unchanged.
Expanding its market share in payment processing and increasing the acceptance rate
Kilian Thalhammer, head of merchant solutions at Deutsche Bank said, “Better Payment gives us broader market access in payment processing. With the knowledge of their employees, existing dealer relationships, and technical solutions, we can accelerate our growth in the German market, which is key to us”.
The bank plans to provide further banking and payment services via the existing Better Payment channels. “We will develop additional synergies by integrating the respective products from Deutsche Bank and Better Payments,” Thalhammer said.
Better Payment’s platform enables retailers to accept the common payment options through its ‘white label’ solution. It provided a branded online payment gateway to banks, financial service providers, or Software as a service (SaaS) providers. The fintech currently has contracts with 1,500 retailers and these will remain after the acquisition is completed.
The full acquisition not only gives the company access to the customers of the fintech but also its technical setup. Moreover, the typical customers of Better Payment are not small traders, but larger companies that need a technical infrastructure for accepting payments.
Better Payment operates a service for the technical processing of online payments. For this purpose, the company uses a payment platform, "online payment gateway" to carry out and receive online payments. The platform enables retailers or clients to accept all common means of payment and be able to receive all types of payment consignments.
Better Payment provides its own "online payment gateway" as a "white label" solution to other companies and it does not operate under its brand. For these "white label" customers, payment processing is a useful addition to their product portfolio.
In June, the bank partnered with Fiserv, a payment and financial services technology provider to offer payment acceptance and banking solutions in Germany.