Spreedly’s One-Year Advanced Vault Update

Almost one year ago to date, our team here at Spreedly launched the Advanced Vaulting solution. 

Today, the Advanced Vault has transformed into a vital service that can enhance traditional credit card vault solutions. As the Senior Product Manager at Spreedly, I believe we have the ideal capabilities to provide both new and existing customers with the data and services needed to adopt the Advanced Vault.

Advanced Vaulting has proven itself to be a highly useful and valuable service for our clients. Compared to a traditional card processor, the Advanced Vault solution provides exceptional additional capabilities that can match the unique orchestration needs of each customer.

With the one year anniversary of the Advanced Vault fast approaching, let’s take a look at how things have progressed over the last 12 months and some of the key successes driving adoption. 

Advanced Vaulting One Year Later: A 2024 Update

The Advanced Vault takes our traditional vault and adds a collection of products, features, and services that allow our customers to gain more value from the vault. This extra value can, in turn, drive transaction success, provide richer metadata, and optimize overall lifecycle management with your payment system. 

Features like network tokenization keep cards in a ready-to-use state and expand on the data of those cards, aiding customers in making data-driven decisions based on the cards that are vaulted. 

After this first year of the Advanced Vault, I’ve found one of the biggest benefits to be the diversity of features under one umbrella product. The Advanced Vault removes complexity from the many bits and pieces that make up a payment system, making it easier to use all of the features combined.

As the Advanced Vault continues to grow, we will continue to add more features to it. However, merchants need not worry about the release of new features, as we plan to evolve the product for the benefit of the merchants who already use it along with new customers. 

Advanced Vaulting ultimately has proven to remove the complexity of orchestrating different features and products for merchants. 

Advanced Vaulting: A Success Story in Numbers

Two core tenets of the Advanced Vault are automation and rules, which help merchants manage their individual vaults while simultaneously removing the developmental burden from merchants’ plates. 

One of the things we’ve done is build-in a contact cardholder management service, which automatically removes cards from the lifecycle management process if they’re not getting valuable updates. 

For example, one of my merchants, prior to turning on the Advanced Vault, was already using lifecycle management, but 66% percent of their updates were low-value updates. After turning Advanced Vaulting on, they saw this percentage reduce drastically to 30%. Across the board, customers have experienced an average 43% decrease in these low-value updates with Advanced Vaulting. 

Some additional successes of the Advanced Vault over the past year include:

• From zero payments enrolled in Advanced Vault this time last year, we now have 100 million payment methods enrolled in the Advanced Vault solution.
• Underlying features such as lifecycle management and network tokenization have grown significantly, with a massive 25% increase in adoption, respectively.
• Still a newer technology, network tokenization has increased its volume from 1 out of 150 transactions occurring with a network token to now 1 out of 20 transactions.
• For ease of use and simplified vault management for customers, we developed a free API endpoint that customers can use without incurring a charge, allowing them to manage stored cards. Customers have currently adopted the API endpoint for managing their vault, but we expect this number to grow substantially in the next 12 months. 

From an implementation perspective, Advanced Vault is a relatively simple process. It’s easy for most clients to switch over from another service to turning on the Advanced Vault. Additionally, the Advanced Vault is no code, allowing customers to toggle the solution on or off from their application portal. 

Meanwhile, other customers have benefited from the Advanced Vault as an opportunity to review the state of their vault and ensure all cards held in the Advanced Vault are valuable. 

What to Expect from Advanced Vaulting in the Next 12 Months

Over the coming year, I have no doubt network tokenization will continue to grow.

At a certain point, not every transaction running through our system is done with a payment method that makes sense to be in the Advanced Vault. For a one-off payment, for instance, you don’t really need to keep that payment method there, and you might not need to charge that payment method again. So, lifecycle management might stay where it is currently, but I expect network token adoption to increase.

Last year, we released a new product under lifecycle management that provides real-time updates for Mastercard. This resulted in a growth from 5% to 13% of the lifecycle management under Mastercard.

Currently, we’re working on similar real-time functionality for Visa. When we release that, the number of updates we have on time and on demand will increase. Visa accounts for 65% of payment methods in the Advanced Vault, and this real-time functionality will drastically increase the number of updates that come back on demand, providing more value for customers.

Along with improving the Advanced Vaulting implementation process, we also plan to allow customers to self-serve some of the cleanup process, which will lead to more customers adopting the service.

Gain a Modern Competitive Edge with Advanced Vaulting

Advanced Vaulting provides you with a simplified approach to vault maintenance and payment method storage. With enriched data and active vault management, Spreedly helps you optimize for cost, efficiency, and a cutting-edge payments ecosystem. 

Powered by rules-based automation, the Advanced Vault provides you with the flexibility you need to keep stored payments evergreen, all while expanding your operations. 

Plus, Spreedly provides you with a PCI-compliant framework to reduce the complexity of compliance, further simplifying the payment ecosystem and process. 

With Advanced Vaulting, you can build new value in your payment system. Talk to Spreedly today to learn how our Advanced Vaulting solution can benefit your business.  

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