Payments as a Service Tracker™ DECEMBER 2017 From Laying Plinth To Processing Payments: How Mobile Is Changing The Construction Game How Buildertrend pairs payments with Target unveils a smartphone- Check out the top providers customer acquisition and scheduling to based payment platform in the PaaS space simplify contracting and construction – Page 10 (News and Trends) – Page 17 (Scorecard) management — and make it faster – Page 6 (Feature Story) Table of Contents PAGE What’s Inside 03 The latest developments in international Payments as a Service solutions. PAGE Feature Story Scott Siegert, director of client services at construction management software provider Buildertrend, discusses how the company’s platform helps contractors go from securing a proposal to finishing a job — and getting paid when the job 06 is done. PAGE News and Trends 10 The latest headlines from around the PaaS space. PAGE Methodology | Top Ten Providers Best of the bunch 15 Who’s on top and how they got there. PAGE Scorecard The results are in 17 See the top PaaS providers. PAGE About 73 Information on PYMNTS.com and Paysafe. Acknowledgment The Payments as a Service Tracker™ was done in collaboration with Paysafe, and we are grateful for their support and insights. PYMNTS.com retains full editorial control over the findings presented as well as the methodology and data analysis. Payments as a Service Tracker™ © 2017 PYMNTS.com All Rights Reserved November 2017 | 2 What’s Inside EXECUTIVE INSIGHT With consumers expecting instant payments and faster deliveries, how can smaller merchants compete in a market that is exceedingly dominated by players like Amazon and Walmart? “The best advice I can give is to partner up with a payments provider who really understands your business. Payments can be incredibly complicated: regulatory and compliance rules, payout management and international payment acceptance can all conspire to overwhelm even the ith simplicity, speed and convenience brightest entrepreneur. A smaller player who tries Wbecoming the new name of the game, it to go it alone might find the steep learning curve appears the days of complicated payment systems will suck a lot of time, focus and energy from other are numbered. parts of scaling up the business. Collaborating with a provider who can deliver a value-add, ‘boutique’ The growth in smartphone penetration has led to services approach can be a unique selling point the augment of instant connectivity and commerce for any platform business, setting it apart from the — and with that has come the rise of merchants bigger players. To this end, a turnkey solution can focusing more on the tech they offer than the enable and position a platform business to grow products they sell. Domino’s, for one, has built its revenue and even punch above its weight – a brand on its online and mobile technologies, definitely an ace up the sleeve.” solutions that offer simple, convenient sales and create a fast and seamless delivery process. Now that consumers have gotten a taste of life in the fast lane — thanks to nearly instant shipping CARLA ERLICK, and constantly available customer service and Senior Vice President, Sales and Business support — their expectations are higher than ever. Development at Paysafe Group. Having consumers complete complicated, confusing payment processes when it comes time to pay their tabs just doesn’t fit the bill anymore. Payments as a Service Tracker™ © 2017 PYMNTS.com All Rights Reserved November 2017 | 3 What’s Inside Over the past month, technology and service To find the rest of the latest headlines from the providers increasingly looked to make sending Payments as a Service space, check out the and receiving money easier for consumers and Tracker’s News and Trends section (p. X). companies alike — and debuted new tools and solutions aimed at doing just that. Building a new kind of construction solution Managing a construction site is no easy job. Here’s a snapshot of recent, notable Payments as Between keeping tabs on subcontractors, creating a Service (PaaS) news: invoices and collecting payments, there’s plenty Target is bringing customers a new smartphone that contractors must track while turning plans into payment platform in time for the holiday shopping reality. season. Its new mobile wallet, available for iOS That’s where companies like construction and Android devices, allows shoppers to make management platform Buildertrend come in. purchases using the Target REDcard through the According to Scott Siegert, the company’s director Target app. In addition, the app’s Cartwheel feature of client services, Buildertrend is combining helps users find discounts and savings during the payment processing, scheduling and other checkout process. construction-oriented features to take the friction Meanwhile, financial services provider Nordea wants out of the construction management process. to make paying bills a bit more social. The company In a recent interview with PYMNTS for this month’s is partnering with digital payments firm Nets to Tracker feature story (p. X), Siegert discussed the allow Norwegian customers to pay utility bills using challenges that come with managing the full length Facebook Messenger. With the fully automated of a project’s lifecycle — and how the company is service, users can make payments — anytime and helping contractors do it right from their mobile anywhere — by initiating an online conversation in a devices. Messenger chatbot. Elsewhere in Europe, payment processing company PaaS Tracker updates Wirecard is helping the Austrian Post create a The December issue of the Tracker profiles payments hub. The company is partnering with more than 100 global PaaS providers and their sendhybrid, a subsidiary of the Austrian postal contributions to the growing payments market. service, to enable electronic post box users to The Scorecard also features five new additions this digitally settle invoices in real time from the month: Bridg, Buckaroo, Dalberry, Magnius and hybridService portal. Secure Trading. Payments as a Service Tracker™ © 2017 PYMNTS.com All Rights Reserved November 2017 | 4 What’s Inside Percentage of customers who say their online 78% payment experiences influence their decision to return to a retailer’s eCommerce site Percentage growth of mobile 75% payment usage in the fast food industry in 2016 Anticipated growth in transaction FIVE 32.26% volume in the global mobile FAST FACTS payments market from 2014 to PLATFORM SECURITY 2019 Percentage growth of the U.K.’s 43% alternative finance market in 2016, driven by small businesses Expected growth rate of online shoppers 50% between 2013 and 2018, reaching 1.68 billion, based on U.N. research Payments as a Service Tracker™ © 2017 PYMNTS.com All Rights Reserved November 2017 | 5 From Laying Plinth To Processing Payments: How Mobile Is Changing The Construction Game Payments as a Service Tracker™ © 2017 PYMNTS.com All Rights Reserved November 2017 | 6 FEATURE STORY “When we talk about project management or even collecting payments, these are all things that our customers want to be doing and need to be able to do on a job site.” Even before shovels break ground and crews arrive, Getting the job there’s plenty that contractors need to get done if For a job of any size or scope, the first step — and they want a construction job done right. perhaps the most important one — is winning the From building proposals and creating estimates bid process. to finding subcontractors and scheduling shifts, A large part of contracting goes beyond just contractors’ responsibilities can seem endless. Add working on the construction project, Siegert it all together, and they sometimes feel as if they explained. It also entails securing help to make spend more time managing a job than actually it easier to execute. Finding customers, building working on it. bids and planning proposals are all crucial for That’s a problem that can be efficiently solved contractors, but it can be a frustrating, time- without pen and paper, according to Scott consuming process with no guarantee of payment Siegert, director of client services for construction when it’s all said and done. management platform Buildertrend. Buildertrend software works to enable contractors In a recent interview with PYMNTS, Siegert to generate sales leads and interest in their explained how the company’s software platform companies, Siegert said. The platform offers helps its more than 11,000 contractor customers automated email marketing tools designed to reach manage everything for a project right from the job those who are planning or considering building site — including creating proposals, connecting with or remodeling. It also helps contractors build and managing subcontractors and employees and, proposals and bids with both start-from-scratch and of course, getting paid when the job is done. premade templates. Users can save successful bids as custom templates for use on future proposals. Payments as a Service Tracker™ © 2017 PYMNTS.com All Rights Reserved November 2017 | 7 Feature Story If customers like what they see, Buildertrend’s month. It connects them with subcontractors, like software allows them to sign off instantly via a electricians and plumbers, to get those to-do list mobile or desktop device. This helps contractors items done and helps with both scheduling and avoid wasting time that could be spent working on paying for their work. the construction project. “When we think about project management, we “Our users can reach out to their customers think about trying to help with all of the different and then build out an estimate — complete [activities] you would need to be able to conduct with appropriate markups for their prospective from a job site,” Siegert said. “There are features customers — so the customer can see exactly what built in for everything from a contractor’s daily the bid calls for and know what they’re approving,” punch list or to-do lists to scheduling things and Siegert said.