How Paddle increased acceptance by 2% through AI and deep partnership

Running a digital product business business can be challenging, but Paddle is out to change this. As the Merchant of Record for SaaS, app, and AI native businesses,, Paddle takes on the operational and regulatory complexity of global selling while continuously improving revenue performance across the monetization journey. As a tech powerhouse fueling other software companies, it’s important Paddle gets its tech stack right – and that includes its payment service provider (PSP). 

With over 10,000 customers, Paddle’s reach is global. Pioneering. Innovative. It needs leading acceptance rates and localized payment flows to keep advancing. So Paddle partnered with Checkout.com to bring optimized transaction processes, global support, and a 2% higher acceptance rate on Checkout.com traffic for its customers. 

Challenge: Driving higher acceptance rates and cost efficiency

Paddle’s business model relies on companies entrusting their payments to Paddle instead of managing them in-house or sourcing their own PSP. And the best way for Paddle to win their trust? Industry-leading acceptance rates. 

Paddle also needed a PSP that could contribute to its broader mission of continuously improving revenue performance for customers. It sought a true partner to provide expert guidance and cost optimizations along the way, important for a business that relies on strategic enhancements to maximize its revenue. That led Paddle to look for a PSP with deep regional knowledge, proactive engagement, and a commitment to collaboration. 

User experience was another area where Paddle sought continuous improvement. Paddle consistently looks for new ways to optimize the monetization journey for customers. Improving visibility into payment performance was one opportunity to further increase revenue while reducing operational complexity. This insight led Paddle to form a strategic partnership with Checkout.com. Here's how the journey has unfolded so far.

Solution: A proactive and collaborative approach

Checkout.com provided Paddle with a comprehensive, hands-on approach to payment optimization. Key solutions include: 

Optimized payment routing 

Checkout.com’s AI-powered Intelligent Acceptance automatically optimizes every payment through smart routing and authentication, helping Paddle capture more revenue from every payment opportunity, reduce costs, and unlock untapped revenue – essential for driving its margins. 

Local acquiring 

As a global business, Paddle accepts 30+ currencies and plans to expand. Checkout.com’s local acquiring licenses in the EEA, UK, US, and Canada support Paddle’s ability to accept multi-currency payments while eliminating unnecessary cross-border and FX fees. 

Issuer outreach 

Checkout.com’s Issuer Outreach team removes acceptance rate barriers by effectively engaging with issuers. After identifying a chance to increase Paddle’s acceptance rate with Bank Polska, the team intervened, leading to rule changes at the bank that significantly boosted Paddle’s acceptance rate. 

“Checkout.com’s Issuer Outreach has delivered real results for Paddle. That’s a testament to Checkout.com’s investment in the area, the strength of its issuer relationships, and its proactivity in identifying when to engage issuers.” William Hand, Director of Products, Payments

‍Collaboration 

From performance monitoring to requesting product feedback, Checkout.com’s deep partnership with Paddle spans all areas – driving direct improvements in Paddle’s payment performance. 

Weekly reviews track rising acceptance rates and identify areas for improvement, while Checkout.com’s tailored optimization workshops, detailed support, and direct product-team engagement reduce Paddle’s operational burden.

Results: Big wins for Paddle’s acceptance rate and cost savings

This partnership is helping customers streamline their business operations, payment by payment. The result is a cycle of improved user experience for both Paddle's customers and their end-buyers, with fewer payment declines and enhanced local payment options.

To recap on Paddle’s big wins as a result of its partnership with Checkout.com, and to introduce some more:

• 2% acceptance rate increase on all Checkout.com traffic

• 49% uplift in acceptance rate with Bank Polska thanks to Issuer Outreach

• $135,000 saved per year from Checkout.com’s network cost optimizations, with an additional $100,000 per year opportunity identified

• Hundreds of hours saved due to enhanced operational efficiency, responsiveness, and access to a dedicated Account Manager and Performance Manager

In less than one year, Paddle’s transaction volume with Checkout.com has grown 3.3x – reflecting its continued trust in the partnership. With a shared focus on innovation and efficiency, they continue to prove that collaboration brings real results.

“One of the biggest things we value is Checkout.com’s overall expertise, from fraud mitigation and scheme fees to local regulations and acceptance rate improvements. That depth of insight helps us make better decisions, improve payment performance, and continue scaling our volume with confidence.” William Hand, Director of Products, Payments