Transforming the Payment Challenge for Industry Vertical SaaS
Vertical Software-as-a-Service (SaaS) companies serve specialised niches or industries with customisable SaaS solutions. The vertical is their industry niche; the SaaS is their innovative solution. These are also some of the most disruptive and innovative companies around. At a time when most outlooks are gloomy and cost-cutting and tech-depression are dominating the headlines, these companies are reimaging markets and efficiencies in the most interesting ways.
Of course, these industry verticals are not new. They’ve been finding their feet within the gaps left behind by the traditional ‘horizontal’ SaaS companies (Microsoft 365, Hubspot, Dropbox) for a while now, but over the past year, their innovative tactics and ideas have gained traction within their unique markets and areas of expertise.
Some of the most well-known vertical SaaS companies on the market today include:
- SimpleLegal - a legal operations platform
- RecoMed - an online healthcare booking platform
- Clarent – a single source of truth for data for senior living
- Nitrogen Wealth – risk and investment management platform for financial advisors
The benefits of vertical SaaS
Before we clamber down the rabbit hole of how vertical SaaS platforms can reimagine their payments, it’s worth looking at how these companies are changing the landscape for small business owners, solopreneurs, and even larger organisations.
The narrow focus of these vertical SaaS tools makes them immensely sharp. Like a surgeon’s knife, they are designed to slice into your problems and simplify your business life. Some of the most impressive benefits include:
- Highly targeted services that plug very specific business holes.
- Less competition within the niche – although this is niche dependent – allowing for improved conversion rates and more market traction.
- Reduced customer churn due to a reliance on a targeted and relevant service.
- Expertise that leads to improved customer trust and builds an ecosystem of loyalty.
- It can save marketing and sales resources by up to 22%.
- The cost of customer acquisitions is reduced by up to eight times less thanks to increased customer lifetime value.
- A highly relevant bouquet of services crafted to suit a particular industry, niche and business need that allows SMEs to build resilient and relevant solutions for their customers.
- This relevance and resilience allows companies to upsell, cross-sell, open up new marketing and business opportunities, and build a financial foundation that’s hard to shake.
- The complex integration challenges that hover alongside horizontal SaaS solutions are almost completely nullified with most vertical SaaS solutions. They’re plug-and-play simplicity.
The challenges of the vertical SaaS
Yes, a vertical SaaS solution is this delicious ecosystem of services curated for a particular business palate, but these solutions can often be plagued by complexities around onboarding, KYC, KYB, AML, and regulatory compliance.
Many platforms within this space are unsure how to embed payments that align with regulatory requirements. They are still finding their feet within highly targeted niches and don’t have seamless and accessible payment solutions. Some only accept ACH or credit cards, others accept third-party cheques; others don’t have clearly defined payment options, or their customers need to follow complex payment procedures; many are relying on third-party websites and platforms to solve their payment challenges.
Finding payment reliability and flexibility is a core challenge for this market, as customers want the accessibility of the solutions they offer, but they don’t want to clamber over payment hurdles to get there.
It is also a challenge to find the right levels of customisation and flexibility that allow customers to flesh out the functionality they need. Typically, these platforms are smaller than the mega corporates, so their ability to create intense customisation tools can be limited. However, this can be resolved by paying attention to what the market wants and building customisations that align with these needs.
A successful vertical SaaS platform has sunk deep into the trenches, gained an in-depth understanding of the market, and knows exactly what its customers need.
Companies within this space are looking for an end-to-end service that includes payments and this is where embedded payment solutions are starting to show immense value. They are integrated, white-labelled and capable, offering companies a far more accessible payments ecosystem that fits in with their business needs.
Finally, competition within this space is increasing, making it critical for SaaS companies to find innovative ways of standing out from the crowd. They must have a solid value proposition, superb customer service and experiences, and innovative solutions.
Let’s talk payments for the vertical SaaS
As mentioned above, payments can be a challenge for vertical SaaS companies and this is one sticking point that shouldn’t hold your company hostage. In fact, it should be the stickiness that holds your customers within your ecosystem because it is so seamless and easy to manage.
You need to have payment options that make it easy for customers to pay and stay. No leaving your website to go to a third-party payment platform that asks for ongoing clicks and steps and can introduce errors and frustration. No lengthy entering of card details and tedious onboarding checks that take time and impact customer delight.
You need a payment solution that can optimise your business, help you overcome all the typical payment challenges that companies face and make onboarding a dream. A solution that handles your KYC, KYB, AML and all other onboarding requirements in a way that‘s accessible and simple for your customers while ensuring you remain compliant.
You need an FCA regulated license that ensures your business is completely compliant with regulatory requirements and expectations.
An authentic partner
UNIPaaS offers an embedded payment solution designed to make payments as smooth as butter and easy as possible. Leveraging our embedded payment tool, your vertical SaaS platform can improve user experiences by making it easier for your customers to gain control over their cash flow and admin. Using our pay-and-go capabilities, you can increase customer stickiness and lifetime value with minimum effort.
Your AML, KYC and KYB checks are handled using our advanced technologies and capabilities. This means you don’t need to worry about regulatory compliance, but you do benefit from frictionless onboarding. Customers enjoy the convenience of an integrated payment solution within your ecosystem – you can white label UNIPaaS with your branding – and the convenience of easily managed payments. No more jumping between websites and third-party payment providers.
We assure you of faster payment processing, improved visibility into payment flows, the opportunity to expand your cash flow by taking advantage of new payment and customer upselling opportunities, and enhanced security.
Discover how UNIPaaS can bolster your revenue generation and growth with a payment solution that fits effortlessly into your ecosystem and transforms your customer experiences.