Payment Service Providers for Marketplaces

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Payment Service Providers for Marketplaces

Square has a strong brand reputation and companies find value in growing their businesses using the platform. Conversely, Braintree has global expertise and enterprise knowledge when it comes to payment solutions since it became a division of PayPal. A competitive analysis of Stripe Connect, Adyen Marketpay, Klarna, Square, Braintree, CyberSource, WePay, MangoPay, PayPal for Marketplaces, and PayU has been provided below.

Stripe Connect

  • One of the primary strengths of Stripe is its user-friendly and clean API. The API can easily integrate with websites and the documentation helps users to save time.
  • A benefit of Stripe Connect is that it offers an easy payout solution since payouts can be made automatically. In addition, Stripe Connect has fast partner onboarding. Users of Stripe Connect do not have to worry about stringent laws and regulations, money transmission restrictions, and sanctions screening because the company has designed a simple way of onboarding marketplace recipients.
  • As it stands, Stripe Connect primarily focuses on offering payment solutions to marketplaces.
  • Stripe’s partners include ClickFunnels, AccessAlly, LifterLMS, Squarespace, and WooCommerce.

Adyen Marketpay

  • One of the key strengths of Ayden is that the company has seamlessly blended payments across mobile, online, and physical channels. The fact that the company has an online/offline convergence when it comes to payments has given it a competitive edge.
  • A benefit of using Ayden is that it has a transparent pricing model where merchants can view how their discount fees for each transaction were calculated. Therefore, merchants can guide their customers towards using cheaper payment methods such as debit cards.
  • Ayden solely focuses on offering payments solutions.
  • Ayden’s partners include Oracle Retail, Magento, Salesforce, SAP, and Microsoft Dynamics 365.
  • To penetrate into the US market, Ayden launched a campaign with the tagline “Business. Not Boundaries.” The campaign’s messaging focused on Ayden’s capability in enabling businesses take advantage of new, emerging payment solutions and consequently overcoming their growth barriers.


  • Klarna is a successful company primarily because it continuously innovates and puts products, merchants, and customers first. The company provides a user experience that goes beyond the actual transaction, which gives it a competitive edge.
  • Klarna has a new offering that allows users to pay later. The product is an alternative to traditional credit cards and helps to increase the purchasing power of consumers.
  • As it stands, Klarna focuses on providing payment solutions where customers can purchase goods and pay for them later.
  • Klarna has focused on partnerships as a way of growing its merchant base and extending its reach. The company has partnered with Shopify, Mollie, Wirecard, ACI Worldwide, and Magento Commerce.
  • Klarna launched an international brand campaign in 2019 that used that tagline ‘I Wish I’d Bought it With Klarna.’ The campaign featured Celeste Barber who hosted 60-second episodes on YouTube and Instagram that addressed unique purchase problems made by online shoppers.


  • Square has a strong brand that is trusted. The brand has significantly contributed to the company’s success since it is based on the idea that customers find value in growing their businesses using Square’s products and services.
  • Square guarantees its users fast payments. Users can get their money by the next business day or instantly at an additional fee.
  • In additional to payment solutions, Square offers Point of Sale solutions, credit, payroll solutions, invoicing, and dashboard and analytics.
  • Square has partnered with companies, such as Wix, GoDaddy, and Infinite Peripherals.
  • The company launched a brand campaign in 2018 that used the tagline “Square and fair.” The campaign's messaging was that Square space enables different types of businesses to take card payments.


  • Braintree is a service provided by PayPal, which makes it one of the largest payment processors globally. Therefore, it has enterprise knowledge and global expertise when it comes to payment solutions.
  • Braintree offers a mix of different payment methods, such as PayPal, bank payments, cards, and other leading wallets using a single integration.
  • In addition to offering payments solutions, Braintree has Braintree Extend, a portfolio of data-sharing tools that can be used in managing and scaling a business.
  • Braintree has partnered with companies, such as 3dcart, Demandware, Chargehound, BigCommerce, Magento, and Chargebee.


  • One of the key strengths of CyberSource is that it has a global presence in over 190 countries. Therefore, customers can interact with businesses regardless of their location.
  • A key benefit of using CyberSource is that it enhances the presence of businesses in mobile commerce. CyberSource supports Samsung Pay, Google Pay, Apple Pay, Alipay, Visa Checkout, and Paypal.
  • CyberSource only provides payment solutions.
  • The company has partnerships with Intershop, SAP, Salesforce, Sitcore, and Zuora.


  • One of the key strengths of WePay is its competitive pricing. WePay charges 2.9%+0.30 for every transaction without any overhead costs.
  • In addition to ecommerce, WePay is a platform that is useful for crowdfunding. Many developers view it as the easiest platform to work with when processing this type of payment.
  • WePay solely focuses on payment solutions.
  • In 2019, WePay partnered with Workiz, a field service platform provider. The partnership enabled the companies to develop a product, WorkizPay, which allows same-day payments for customers who have Chase Bank accounts.


  • MangoPay has already established its footprint in Europe with over 2,000 businesses using the platform. It powers crowdfunding platforms, such as La Redoute, Depop, and Vinted.
  • One benefit of using MangoPay is that it guarantees compliance with the regulations of different countries. In addition, the company verifies end-users and merchants who use the platform. The payment solution complies with EU regulations because the company has a banking license that covers all the businesses that are part of the 31 nations of the European Economic Area.
  • MangoPay focuses on providing payment solutions to marketplaces.
  • MangoPay’s partners include JustCoded, Disruptal, and Origami Marketplace.

PayPal for Marketplaces

  • PayPal has a strong brand name and many businesses and individuals trust it. The company continues to strengthen its ties with partners, which will result in new customer acquisitions.
  • PayPal has expertise in “managing payment processing fraud and the associated risk.” An advantage of using PayPal for Marketplaces is that it handles chargebacks and payment disputes.
  • PayPal for Marketplaces focuses on providing payment solutions.
  • Some of PayPal’s partners include Alibaba, Alphabet, and Facebook.


  • In 2019, PayU acquired iyzico, an online payment solutions provider with the highest ranked security in Turkey. The acquisition strengthened PayU’s position in the Turkish payments Industry.
  • One of the benefits of PayU is that it also supports physical stores. PayU allows smart payments through QR codes.
  • PayU only provides payment solutions to businesses.
  • The platform’s partners include Zoho, Shopmatic, Shopify, and Wix.
  • In 2018, PayU launched a marketing campaign to introduce its new product, PayUnow. The campaign used the hashtag #KaamKaNaam on all digital platforms. The messaging focused on the importance of a name in a business and the challenges business people face when accepting multiple payment methods.

Research Strategy

After an extensive search, we did not find any examples of marketing campaigns by Stripe Connect, Braintree, CyberSource, We Pay, MangoPay, and PayPal for Marketplaces. We attempted to look at industry sites such as iSpot, AdWeek, and PR Newswire but to no avail. We further tried to look for information on the company websites but did not find useful information. It is noteworthy that we found a source highlighting a marketing campaign by Braintree in 2017 but details about the messaging and tagline were not provided. We also found examples of campaigns that were conducted more than five years ago. In other cases, we found marketing campaigns for the companies in general and not their marketplace offerings. Therefore, we looked at the official social media pages of the companies to see if we could gather any insights but we did not find any useful information. These pages focused on the different product offerings provided by the platforms. For these reasons, we concluded that information about marketing campaigns for the above-mentioned companies is not available in the public domain. It is noteworthy that we did not find information regarding sales revenue, key marketplaces served, and market capitalization as some companies were private while others did not disclose the information in their annual reports.