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small-business-related services." An MLS with industry found an area of specialization can touch on all four
knowledge can offer a merchant a complete service above benefits.
package, with discounted, bundled solutions and the
added benefit of having one agent to handle everything, Each market has unique needs and buzzwords; MLSs who
instead of five different specialists, he said. offer targeted solutions and speak the industry vernacular
will get respect, Wooten added.
Specialize, diversify or do both
Develop a Silicon Valley mindset
Sonny Wooten, Vice President of Business Development
at National Benefit Programs LLC, said MLS specialists Sarah Schaaf is Chief Executive Officer at Headnote, a
are indispensable to merchants because they help them technology company that provides transactional services
solve problems. Specialists can diversify within a niche to legal firms. Headnote recently enrolled in Commerce.
by addressing different areas of interest with multitiered Innovated, a four-month accelerator program run by
products and solutions, which may include financing, Silicon Valley Bank and First Data Corp. "As an attorney
discount programs, and gift and loyalty programs. who was raised by two attorneys, selecting the legal
industry was an easy decision," Schaaf stated. Her work
Diversification can be useful for both specialists and at her parent's law firm, and as a litigator in Google's legal
generalists, Wooten noted. Agents who specialize in auto department, inspired Schaaf to create vertical solutions
dealers can provide targeted solutions to sales, rentals, for the legal industry.
repairs, accessories and retail departments. Generalists,
whose target markets vary, can promote diversified "I wanted to use modern technologies to solve
solutions to broadly appeal to their base. inefficiencies mostly caused by paper transactions and
regulatory restrictions," she said. "Most processors will
Wooten suggested MLSs offer bundled, discounted not board attorneys. The legal industry's cash dependence
services and offered a potential opening, as follows: "Walk and potential for fraud makes it a high-risk category. We're
in and say, 'I can touch many aspects of your business and working with mentors at Commerce.Innovated to address
be a great partner for you. I can save you thousands by these issues."
giving you one procurement portal, with access to 55 of the
most-used vendors, for simple, quick, multiple benefits.'" Make processing a value-add
Some agents fear product discussions may overburden
Wooten expects the old days of selling countertop terminals conversations with prospects. Wooten recommends de-
to soon be gone. Smartphones and tablets have immense emphasizing credit card processing. "Flip the script by
computing power and can do everything, he stated. MLSs leading with a suite of products instead of processing," he
need to evolve from terminal-based to technology-based said. "Direct processing questions to your website, where
selling. "Decide if you want to specialize, diversify or terms of service are clearly stated."
do both," he said. "Don't stay stuck in the physical world
without a baseline or reference point." "MLSs should see themselves as business services agents,

Find the right vertical not processing agents," added Tucker. "Value-added
services, formerly served on the side with a merchant
MLSs whose specializations match their interests and account, can be the 'main dish' going forward, with
skill sets can improve conversion rates, Wooten noted. He processing bundled into services as a 'value-add.'"
supplied the following examples of how to tailor a sales
pitch: According to Wooten, traditional MLSs are far outside
• Technology: Online gamers who understand basic their comfort zones in the digital age. "They wish merchant
programming and use tablets at home might lead acquiring could be the way it was, but technology,
with technology. regulations and globalization have forever changed the
game," he said. "Those who don't integrate service offerings
• Return on investment: Finance graduates with are heading to devastation."
accounting and number skills could highlight ROI,
break-even and cost savings. Field test mobile, on-demand apps
• Communications: Marketing specialists could MLSs don't have to travel far to observe consumer behavior.
focus on image, marketing and how to use payment Raymond Pucci, Associate Director of Research Services
card acceptance to grow average ticket and improve at Mercator Advisory Group, periodically downloads and
communications. field-tests mobile apps in what he termed an "unscientific
• Productivity: Operations specialists could lead method" of testing their effectiveness and identifying any
with how to use one software application on a barriers to adoption.
merchant's server to manage multiple business tasks
and streamline efficiencies. Consumers gravitate to apps that offer convenience,
• Multiple benefits: A generalist who has not yet immediacy and value, and are quickly discouraged by
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