Direct integration and PSP integration

There are two ways to use Vipps MobilePay:

• Direct integration: The merchant or partner uses the API Platform directly.

• PSP integration: The merchant or partner uses the PSP's API. The merchant or partner doesn't have a direct communication with us, and doesn't use our services directly. Without a direct integration, it's not possible to use all functionality provided by our APIs.

How the PSP API works

The PSP API is a "card token lookup service".

The Payment Service Provider uses our PSP API to look up the user's card, and it provides tokens for the users' payment cards back to the PSP. The PSPs uses a token to process the payment, and then send us an update to us about the success or failure.

Benefits of direct integration

The ePayment API (and eCom API) offers some important improvements over integrations based on the PSP API:

1. Direct integration gives you full control over the integration and the user experience, and lets you customize it to your specific needs. This leads to a better user experience for your customers and also increased conversion.
2. Extremely high completion rate. With a direct integration, you use the Vipps MobilePay APIs directly without any additional steps or middleware. Our long-term efforts in optimizing every aspect of user's payment flow and the transaction processing has resulted in a typical improvement of 1-3 percentage points higher payment completion rate with direct integration over PSP integration (numbers for the Norwegian market). There are several reasons for this, but a big part of this is world-class optimization within delegated SCA (Secure Customer Authentication) and 3-D Secure management (see below).
3. With direct integration there is no need for the user to confirm with 3-D Secure, (Verified by Visa, Mastercard ID Check), BankID, NemID, etc., as this additional security provided when logging into the Vipps or MobilePay app. There are simply no unnecessary steps where the user can "drop off". We have taken care of the regulatory required "strong customer authentication" (SCA, required by the Payment Services Directive 2, PSD2), as we have regulatory approved delegated SCA from the card issuers. Details: When do users get a "soft decline" and need to complete a 3-D Secure verification?
4. Retry functionality: If the user attempts to pay with a card that is declined, the user can retry with a different card, while still in the same payment process. This results in a higher success rater for payments. The PSP API does not have this functionality, because it's the PSP, not us, that (attempts or) makes the charge.
5. Easier and faster solving of problems. With direct integration, you get help directly from Vipps MobilePay, and there is no other party involved. You get help from the same people who have developed the APIs and who have access to all code and logs.
6. Express checkout, where the user selects shipping address and shipping method in the Vipps or MobilePay app, is only available with direct integration.
7. Profile sharing, which lets merchants ask for the user's profile information (name, address, email, phone number, birthdate, etc.) as part of the payment flow, is only available with direct integration.
8. With direct integrations the merchant is guaranteed to get the money, as Vipps MobilePay takes the risk in case of fraud.

High success rate of direct integrations

We have very high success rate (low drop-off) for direct integration. Almost every user selecting to pay with our brand completes the payment. The success rate is significantly higher than when using a payment card directly.

When comparing success rates: Remember to compare data for when the user selects payment method, do not compare Vipps MobilePay to numbers for when the user has selected card payment and already has manually entered the card number:

• Our drop-off data: Measure the success rate after the user has selected Vipps or MobilePay.
• Drop-off rate for cards: Measure the success rate after the user has selected card, but from before the user has to enter the card details.

Users that select Vipps or MobilePay will simply have to use biometric log-in to the app and confirm the payment.

See: Why do payments fail?