A new site called MerchantBidding.com is making it easy for small to medium businesses to get comparable quotes from multiple payment processing vendors.
The site is not intended solely for subscription websites, but the filter on the homepage makes it easy to sort bids simply by indicating that your company is a “service/card-not-present/Internet” business. Merchants must also enter their monthly debit/credit volume and the average transaction amount.
The site will then list a number of vendors that fit your needs, as well as a breakdown of pricing (see screenshot below). One of the most helpful features is that the site notes charges and fees that you will likely incur but are not included in the monthly rate, including batch fees, chargeback fees, set-up and cancellation fees. The site also gives the specific breakdown of how percentage cuts and flat fees vary for Visa, MasterCard, Amex, Discover and debit charges.
And the site is free to merchants. Vendors must pay to bid and can choose from three options:
- $35 per month for continual bidding abilities (good for vendors who think they’ll get leads quickly).
- $200 for a lead resulting in a closed deal (for more skeptical vendors).
- A revenue share plan with MerchantBidding for closed deals.
With the average acquisition cost hovering around $350 for payment processors, both vendors and merchants should benefit from MerchantBidding’s unique system.
Note: None of the bids list whether vendors offer Account Updater, a critical retention technology for subscription sites that can be difficult to get. You should definitely make sure to ask about Accoutn Updater when following-up on any of these bids. For a list of questions to ask when evaluating vendors, see the Related Insider Member Resources below.
