Multi-Acquirer Strategy: When You Need More Than One PSP

Why Multi-Acquirer?

Risk Mitigation

Single points of failure are dangerous:

• Acquirer terminates your account - business stops
• System outage - no transactions
• Regulatory change affects your PSP - scrambling for alternatives

Authorization Optimization

• Local acquiring in key markets improves approval rates
• Different acquirers perform better for different card types
• A/B testing reveals optimization opportunities

Cost Optimization

• Route to lowest-cost provider for each transaction type
• Leverage competition for better rates
• Avoid being locked into one provider's pricing

When to Consider Multi-Acquirer

• Processing $1M+/month
• High-risk vertical (termination risk)
• Global customer base (local acquiring benefits)
• Had a termination scare
• Authorization rates are suboptimal

Implementation Approaches

1. Parallel Processing

Both acquirers active simultaneously, routing by rules (geography, card type, etc.)

2. Primary + Backup

One primary acquirer, second activated only for failover or testing

3. Orchestrator-Based

Payment orchestrator manages routing logic across multiple acquirers

Routing Rules

• Geography: Local acquiring for local cards
• Card type: Different acquirers for debit vs credit
• Amount: Route high-value differently
• Performance: Shift volume based on approval rates

Challenges

• Integration complexity (multiple APIs)
• Reporting consolidation
• Token management across providers
• Reconciliation complexity

Key Takeaways

• Single acquirer dependence is risky
• Multi-acquirer makes sense at scale or for high-risk
• Start with primary + backup, evolve to smart routing
• Consider orchestrators for complex routing
• Plan for reconciliation and reporting from the start