SafetyPay: Augmenting Global Payments Infrastructure with Alternative Payment Solutions

SafetyPay is a non-card payment platform encompassing the largest bank network in Latin America. The company enables e-commerce bank transfers, online cash payments and cross border transactions for a global market of consumers. 

Today, the company operates the largest network of banks and cash collection points in Latin America, the result of over 10 years of effort. SafetyPay has a presence in 17 countries and has partnered with 380 banks with 180,000 collection points. 

To become one of the most relevant alternative payment network in the world, the company’s journey has encompassed: 

• Heavy investments to build a global payment network with strategic partners 

• Build a platform and services relevant to merchants, end consumers and banks to gain scalability and profitability 
• Geographic expansion, developing a footprint across Latin America and Europe  
• Diversification of the revenue streams through the addition of new verticals, focusing on gig economies, retail, marketplaces, online education, gaming, and travel (airlines and OTAs)  
• Increasing the product offering and enhancing value proposition, which focused on the financial inclusion of those consumers that are underbanked or those who chose bank transfers or cash to acquire goods and services 

An Experienced Leader 

Gustavo Ruiz is the Chief Executive Officer of SafetyPay. He has gained extensive experience in several sectors such as payments, banking, and travel industries throughout his career, having led American Express Bank in Mexico. Gustavo’s strategic vision and knowledge of international markets are helping SafetyPay achieve its aggressive performance goals, including the increasing market share and enhanced bottom-line results. Operating with an entrepreneurial mindset, he has been able to create a new space in a convoluted industry by proving an alternative payment method that brings opportunities, even in a crowded market, to open new channels for growth. Gustavo’s vision has allowed for the right investments while setting up the company with a very high growth rate within an appropriate control and risk framework. As a result of his clear vision and perseverance, SafetyPay has been able to weather several storms, become stronger and continue to stride forward, making the company what it is today. 

Simplifying Payment Methods with Innovative Solutions 

Innovation at SafetyPay has enabled and streamlined alternative payments for consumers who could not access e-commerce while, at the same time, it provides merchants with a tool with a real-time payment notification. The platform allows for a risk-free, no fraud environment as consumers wishing to pay with bank transfers access their own banking accounts, and those using cash, will pay for goods or services at collection points. 

Industry-wise, SafetyPay has been able to provide a win-win solution where consumers, merchants and banks benefit from the alternative payment channels while promoting the expansion of the market. 

Disrupting Payments through Collaboration 

SafetyPay has been able to innovate and disrupt the payments segment given its solid understanding of the key players in the marketplace, such as banks, merchants, platform service providers, gateways. The company also provides an environment in which all operate in conjunction and everybody can make gains or profit by interacting together. 

Leveraging Technologies to Position Brand 

SafetyPay has taken the forefront and integrated RPA (Robot Process Automation) to service all transactions through automated processes. As technology continues to evolve, the company has set the foundations to be able to not only leverage existing technologies but also advance by integrating machine learning which will translate into artificial intelligence offering a greater understanding of consumers' needs and behaviours thereby improving adoption and customer experience. 

Addressing Initial Complexities 

Among the biggest challenges SafetyPay has faced in its history, the cost of creating the infrastructure, which was significant, and convincing its strategic partners to invest were the major challenges at the beginning. Another challenge the company faced was bringing the right mix of investors during different stages of the company’s initial development, as they needed to be patient and be convinced that the investment needed was over a long period of time before turning the company profitable. SafetyPay has been growing at double-digit rates, being profitable, while expanding its products and services. 

Invaluable Honours and Recognition 

Since its inception, SafetyPay has been received numerous awards and accolades for the delivery of its innovative and effective services. The company has been recognized as Top 10 Payment and Card Solutions Providers in Europe from Banking CIO Outlook. SafetyPay’s CFO Juan Soto has been awarded Excellence in Finance Leaders in FiNext Awards. SafetyPay is also a key partner of Despegar.com. 

Besides, top investors have recognized the value of SafetyPay and committed funds because they believe that financial inclusion is key to provide a better way of life for consumers in Latin America. 

Envisioning the Way Ahead 

SafetyPay is very optimistic about the future. The company is in a strong position and is well diversified. SafetyPay has new value-added services, especially for cross-border transactions and multi-currency settlements that are very hard to replicate. The company also believes that there is a lot of value in the e-commerce space, and it anticipates continuous growth at a high pace given the strength of its bank network, merchant base and pipeline. Additionally, SafetyPay’s business has proven to be very resilient as recently seen through the COVID pandemic. The company took quick actions to ensure business continuity and also was able to find new opportunities to expand into new verticals and segments. The rise of e-commerce, online retailers, digital goods, the gig economy and online education are among those who have benefited in the past few months.