PayU to be a pioneer of payments routing and approval technology with patent

By Edlyn Cardoza

PayU, the FinTech and e-payments business of Prosus, has today announced that its patent for technology, which will improve payments routing and approval, has been accepted.  

As disruptors in the payments space, the multi-payment processor optimisation concept was first developed by Zooz, which applied for the patent with the United States Patent and Trademark Office in 2015. As Zooz was acquired by PayU in 2018, the patent stipulates that PayU owns the rights to this technology, which simplifies the end-user experience and optimises each transaction on PayU’s payments hub.  

Since the patent was filed, more companies have begun to develop similar technology, demonstrating the value of this solution in the payments space. However, despite the increasing number of other companies developing similar types of products, the patented innovation developed by PayU remains the most mature in the market. The technology has been available on PayU’s platform since 2016, with a significant number of customers already using it in the company’s key markets  

Now that the patent has been approved, it positions PayU as one of the most cutting-edge digital payments platforms, facilitating global businesses to ensure high approval rates for both local and cross-border transactions. The technology will further enable PayU to develop competency in payment optimisation, and the filing of the patent is one of the many ways that PayU has sought to innovate its end-to-end payment solution.  

The smart routing engine offers more than 100 routing configurations to ensure that every possible scenario a merchant may face is accounted for.  Merchants can route payments according to credit card issuer, the geographical location where the payment was made or a card was issued, and more. Payment A/B testing for routing configurations is also an option. 

The accumulated data that the solution records provide the base for its smart intelligent routing, which routes payments to their optimal end-destination and thus ensures the best approval rates possible. The engine’s flexibility allows merchants to re-configure routing rules in real-time, so that they can see the immediate effect on their revenue. 

PayU’s customers benefit from the solution’s flexibility, by adding and removing payment methods and changing transaction routing configurations. That flexibility and the unlimited routing options allow for on-the-go adjustment of payment stacks, and maximisation of ROI and approval rates. If certain configurations do not work, changes are easily performed, and a data dashboard helps businesses to see the effect in real-time.  

Commenting on the patent, Ronen Morecki, PayU’s CTO said: “PayU has set out to create the most cutting-edge solutions for payment optimisation and performance. our patented routing engine brings together top innovation that allows merchants to enjoy the highest approval rates thanks to an intelligent routing mechanism that gives merchants utmost control and flexibility to adapt their payment stack to their dynamic needs.”