HT Drinks has launched a new open banking payment method, removing the expensive interchange fees it otherwise incurs.
Going live this week with open banking provider Bankzy, the wholesaler has launched the solution across its three depots in London, Birmingham and Brighton.
It means customers can pay for goods directly from their business bank accounts, removing the role of Visa or Mastercard in the payment process. The wholesaler therefore incurs lower charges due to the lack of expensive credit card interchange fees.
“HT Drinks has been considering open banking for some time and we are very pleased to be working with Bankzy,” said HT Drinks director Sagar Thakrar.
“We are launching open banking at our branches as from 6 December to offer customers a simple and secure payment option in just a few clicks through their mobile devices.”
HT Drinks became the 15th wholesaler to go live with the solution since Bankzy debuted with Lioncroft Wholesale in April. Recently, it partnered with Khanjra International, East N West Cash & Carry, Time Wholesale, and London Wholesale, bringing its solution to a total of 25 depots.
With several other wholesalers planned for the new year, including KCS Cash & Carry, Bankzy expects to be live in over 100 depots by the end of 2024. It said wholesalers can typically save up to £10,000 for every £1m processed via the solution.
KCS MD Kiran Singh said: “We see clear benefits from offering Bankzy Open Banking as a payment method in the new year, not just for our own bottom line metrics, but to enhance our customer offering through the Bankzy Rewards loyalty offering. It aligns to our growth plans for our business as we move forward.”
Bankzy MD Gregg Morris said: “Seeing the number of wholesalers selecting Bankzy Open Banking since launching, it is clear we have a market-leading proposition.
“Providing wholesalers with a single deployment solution to process card payments and open banking payments sees us adopt a commanding position to best minimise their costs.
“Welcoming Unitas member HT Drinks as the latest wholesaler is a clear signal to the Industry that Bankzy Open Banking is becoming the optimal choice for UK wholesalers.
“Our ecosystem of Bankzy users is now over 1,000 in the London region alone, which will have material benefit for future wholesalers opting to accept us as payment method in depot.
“We are already seeing significant cross-wholesaler usage by users – this will in the long term provide significant benefit to all wholesalers who select to work with Bankzy.”