A Payment Solution for Direct Marketers:
The Krching Case Study27 August 2007
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Who is Krching? |
Krching is an international Buying Group, with its Head Office in Perth, Australia. Members of the group are scattered all over the globe: Sweden, Norway, Indonesia, and the breadth of Australia. This direct marketing company brings together a network that connects across geographical borders.
Members of Krching have access to an exclusive range of Australian products. The range includes health and personal care items, and jewellery crafted from opal, a precious stone found in Australia. Members can buy products for their own use, or can promote the range to their own networks, and earn financial rewards whenever a referred member makes a purchase.
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What's the payment challenge? |
In an international community of buyers and sellers, transferring money efficiently and securely is a challenge. Direct transfers, wiring money, bank drafts, personal cheques…each of these methods are time-consuming and difficult to track. And even worse, many of these payment methods involve high fees and charges that whittle away at profit margins. To complicate the situation, many of the recipients of the money sometimes do not have bank accounts.
Wowpays provides the solution
By using the Wowpays prepaid card, Krching makes it easier for its members to be paid. It's simple, and it's economical.
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Simplicity in action |
The Wowpays system eliminates the need to make manual transfers to members' bank accounts. And at the same time, it solves the problem of how to pay members who don't currently hold bank accounts.
To pay its members their commissions, Krching simply completes a schedule matching cardholders with fund amounts, deposits the funds with the Global Bank of Commerce, forwards the schedule to Wowpays, and the funds are automatically loaded onto the members cards.
The Krching members then use their prepaid cards to withdraw funds from ATMs, purchase goods and services from merchants, or shop online. Payments are secure, delays are eliminated, and all parties can track their transactions online at the Wowpays website.
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The economic benefits |
The Wowpays card saves Krching money each time it pays one of its members. The streamlined system means the end of complex and confusing bank fees and charges.
There are no longer "surprise" bank charges to be tracked and paid. All costs are transparent, can be known in advance, and are contained within the Wowpays card membership.
Delma Davies, President of Krching, is delighted with the service. “One of the main challenges for our business has been to pay our members the commission that they have earned. Operating across international borders makes it very difficult to pay members who sometimes do not have bank counts. The systems we have been using cost too much but now this problem has been taken away by the Wowpays card.
Working with Wowpays, we have made the payment of commissions easy. Wowpays issue the cards to our members and then we can easily get the money to our members, whether they live in Indonesia, Sweden or Australia. The members really appreciate the fact that they are getting their money quicker and at a far cheaper cost than the other methods we were using.
The other real benefit is that for many of our members, they can now transact online as they have a card that works just like a credit card. As many of our members do not have bank accounts, they could not do this before as they could not get a credit card – we have introduced them to a whole new world!"
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