Veepee adds payments sparkle to flash sales


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How helped this specialist retailer turn Strong Customer Authentication from an impossible challenge into a revenue optimizer. 

Veepee's success is built on doing things differently. In the early 2000s, while retailers and entrepreneurs were racing to establish ecommerce offshoots and marketplaces, Veepee's founders saw an alternative opportunity — to sell end-of-season and overstock inventory of designer brands through time-limited online 'flash' sales. Two decades later, Veepee has become a multi-billion dollar business, attracting over 70 million customers a year. 

Underpinning Veepee's growth is a forensic passion for the customer experience. Veepee describes this as 'creating the wow'. And payments have always been viewed as a key element in creating that 'wow' for customers. 

Uncovering the right payments partner to navigate the SCA era digital commerce

The arrival of Strong Customer Authentication (SCA) in Europe threatened to negatively impact the experience Veepee had so carefully curated. 

"We were concerned about the impact the extra layers of authentication required to meet the SCA regulations were having on the customer journey," explains Jérémy Van Halle, Payment Manager at Veepee. "Most crucially, we saw a steep increase in cart abandonment, resulting in lost sales that were beginning to harm our bottom line."

Faced with this "nightmare scenario", Van Halle turned to its payments partners to find a solution. "The objective was to balance the application of the additional authentication layers to meet the SCA requirements while creating minimum disturbance for its customers to prevent further cart abandonment," adds Van Halle.

To solve this issue, Veepee turned to "Veepee had worked with for several years," says Van Halle. "We've always been impressed by its innovative approach and deep expertise across European markets. We were confident it had the technology and knowledge to help us build an optimal SCA strategy."

Shaping a bespoke SCA strategy assigned a dedicated team to support Veepee with this project. The team immediately set about analyzing Veepee's payments flows to understand what transactions were in and out of the scope of the SCA regulation. 

With the out-of-scope transactions identified and routed without SCA, the next step was to explore other tools Veepee could apply to ensure it met the requirements without impacting the customer experience.

After further analysis of its payment flows, the team proposed that Veepee would benefit from applying Transaction Risk Analysis (TRA). This would allow certain transactions to be exempted from SCA based on the robust risk analysis performed by to meet specific fraud thresholds. 

"Enabling TRA was the final puzzle piece in our SCA strategy," says Van Halle. "It's proved key to delivering a frictionless payments experience for low-risk transactions. We are incredibly grateful to for going above and beyond by revising its development roadmap and delivering TRA quicker than expected.

"The results of this work have exceeded expectations," adds Van Halle. "We're not only meeting the SCA requirements. But our conversion and authorization rates have increased by 15%. This is millions of euros in additional revenue, which might have been otherwise lost at the checkout."

Turning SCA from an impossible challenge into a conversion optimizer

For Van Halle and the team, their outlook on SCA has changed. "SCA had felt like an impossible burden," he says. "But with the support of, we've embedded SCA smoothly into our payments flow. It's also unlocked new opportunities to enhance the customer experience and capture more sales." 

That is just the start, says Van Halle. "At a micro level,'s team is very proactive in spotting improvements we can make to keep improving our payment success rates or fixing issues with specific card issuers. They're also busy at the industry level, and it's reassuring to have a partner that is building bridges between the various actors in the payments world because we then benefit when that work feeds through into platform innovations." 

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