The Green Sheet Online Edition
October 11, 2010 • Issue 10:10:01
Bundled terminal and data plan
Through the decoupling of a payment terminal and the wireless data plan on which it runs, POS solutions provider ExaDigm Inc. is offering what it believes is an unusually cost-effective payment acceptance plan.
ExaDigm's Wireless Value Bundle is a mobile, purpose-built payment terminal combined with a national wireless data plan that clients rent for one monthly fee. According to ExaDigm, no other fees are involved - no upfront conversion cost, no cost for the terminal and no per transaction fees for using it.
"We own the manufacturing and the hardware, and we have our own wireless service program, which, unlike a gateway, there's no transaction fee you pay per day," said Scott Holt, Senior Vice President of Business Development for ExaDigm. "Because we're not involved with any third party, it really drives that cost down."
The company noted that the terminal is Payment Application Data Security Standard compliant and includes a PIN option for PIN-based debit, a swipe piece for swipe payments and a receipt printer. The terminal is mobile, but is also big and sturdy enough to be used as a countertop terminal at brick-and-mortar locations, said Maribel Davis, Director of Sales for ExaDigm.
Billing and technical matters simplified
The terminal runs on a Linux operating system that allows software and application changes either over its wireless connection or through a plug-in to the terminal's USB port. The service includes a 24/7 technical support line, and Holt said both technical and billing issues are made easier by virtue of it all being under the jurisdiction of one company.
"One value add is that, because we're a single billing entity, the ISO is not having to deal with multiple different providers," he said.
"So the small guy that doesn't have that infrastructure, we provide that for them. It's a very simple solution, it's straight out the door, they don't have to worry about any infrastructure, and it's a very easy way to build a portfolio."
ISOs that subscribe to the Wireless Value Bundle pay the monthly fee and can then either sell it to merchants for the same amount or mark up the price - although Holt said ISOs are encouraged to keep the price low so as not to defeat the purpose of the value bundle.
Reassignment option to escape fees
Davis said ISOs that rent the Wireless Value Bundle are beholden to a 12-month contract, but they are not necessarily subject to cancellation fees if a merchant drops the plan before that 12-month period elapses.
"In the event that a merchant decides to cancel, the ISO needs to get the unit back from them, and then he can reassign it to another merchant without incurring any cancellation fees from ExaDigm," she said.
Davis added that the product is an "easy and cheap" way for merchants to make PCI upgrades without major outlays or technical work.
"Rather than having to buy a whole new system, you can get this for $25 a month and it's instantaneous PCI compliance," she said. "They don't need to worry which application do I need to download, or will the current manufacturer even support an upgrade to the top level? Some just can't be upgraded."
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