Interoperability refers to the ability of different systems or platforms to communicate and operate together effectively. In the context of digital wallets and QR payments, it involves the ability to carry out transactions using different payment methods such as credit and debit cards, and leverage their benefits in an integrated manner. This enhances convenience and flexibility for consumers while expanding business opportunities for payment companies.

Benefits of Interoperability

1. Greater adoption of digital wallets: Interoperability extends the adoption of digital wallets. Users can use them across various establishments and services, using various payment methods and linking them to their bank accounts.

2. Financial inclusion: It opens the door to financial services for individuals without access to traditional bank accounts, as they can load funds into their digital wallets from different sources.

3. Cost reduction: Interoperability can reduce transaction costs by eliminating the need for multiple transactions on different platforms.

4. Enhanced customer experience: It offers users a smoother and more convenient payment experience by allowing them to use their preferred payment methods, thereby increasing user engagement and retention on the platform.

Why Payment Processing Companies Should Embrace Interoperability

Payment processing companies that adopt interoperability become more competitive by offering merchants and end-users a wider range of payment options. While many companies may believe that this requires significant investment and takes months to implement, the reality is that hiring a specialized interoperability team will not only ensure the company’s positioning but also provide a quick return on investment by retaining customers.

In many Latin American countries, regulations drive the adoption of interoperability standards in the payment sector. Therefore, every payment processing company needs to consider implementing interoperability into their applications or wallets.

Interoperability can help payment processing companies expand into new markets and collaborate with different business partners. This directly influences tourism and international exchange, with proper integration and compliance with regulatory requirements for currency conversion within the wallet. Applica has developed the first successful case of international interoperability in the region between wallets: Yacaré (Argentina) and Pix (Brazil), allowing Brazilian tourists to make purchases in Argentina with their own currency.

As technology advances, interoperability becomes a key requirement to remain relevant in the digital payments industry. In countries with unstable or changing currencies where cash usage is challenging, it ensures that payment processing companies maintain stable growth.

In summary, interoperability in payments and digital wallets is essential to offer an efficient and competitive user experience. Payment processing companies that embrace this trend can significantly benefit by meeting changing consumer demands and adapting to evolving regulations.

At Applica, we are committed to the positioning and stable growth of our clients. We specialize in interoperability by developing the necessary integrations for each project. Are you thinking of incorporating payment methods into your digital wallet? Contact us, and we will provide you with advisory support to ensure the correct implementation.