Reasons to Swap Out Your Current Credit Card Solution and replace it with PaymentCardXpress® (PCX) - #2 Lower Total Cost Of Ownership
What is “Total-Cost-of-Ownership” of a payment solution?
CFXWorks’ view of the total-cost-of-ownership (TCO) of a payment solution, is that it is the sum of all the costs related to fees, hardware, software, management, support, communications, personnel, training, delays resulting in loss opportunity plus all other costs incurred over the useful life of the solution. TCO is a financial estimate of the total direct and indirect costs over the complete lifecycle of the investment in the solution.
CFXWorks believes that too much attention is paid to “processing fees” and too little attention is paid to many of the other costs of selection, purchasing, installing, integrating, operating, and managing the solution.
You need to plug in your own values and draw your own chart. There are a lot of costs involved in installing a payment solution. Here are some most forgotten or ignored:
- Hidden (non-interchange) processor fees.
- Costs related to training personnel.
- Costs related to hardware upgrades.
- Costs related to software upgrades.
- Cost related to support fees.
- Costs related to front and back-office integration.
- Costs related to change management.
- Operating costs.
- Costs related to opportunity loss.
- Costs related products going out of support.