Razorpay has introduced a new payment system called ‘Optimizer.’ This system uses AI technology to help businesses avoid significant losses due to transaction failures, which can amount to over 7,000 Crores annually.
Razorpay Optimizer
In simple terms, when a business accepts online payments through various payment gateways on their website or app, Razorpay Optimizer utilizes data from millions of past transactions to determine the optimal payment gateway for each real-time transaction.
This reduces the chances of transactions failing due to server issues or other problems with payment gateways. It’s all automated through AI and machine learning, without human involvement. This not only prevents losses for businesses but also has the potential to increase their revenue by up to 10%.
In India, digital payments have been growing, but a significant number of transactions still fail, causing businesses to lose around 30% of their revenue. Razorpay Optimizer aims to address this issue by providing a reliable payment infrastructure.
The platform is integrated with various payment methods, including Payment Aggregators, Payment Gateways, UPI, Banks, and others, making it easier for businesses to manage payments, refunds, and settlements. It also streamlines integration and decision-making processes, saving businesses time and resources.
Razorpay’s goal is to bolster India’s payment infrastructure and streamline business operations. By using Optimizer, businesses can save over 500 engineering hours for each integration, promoting efficiency and scalability.
Furthermore, Razorpay plans to automatically update Optimizer with new features, ensuring that businesses can benefit from advancements without encountering technical complications.
Availability
You can try out Razorpay Optimizer for free until October 25, 2023, for a limited time at company’s official website.
Speaking at the launch, Khilan Haria, SVP & Head of Payments, Product at Razorpay said:
We’re excited to embark on the next phase of India’s growth journey, fueled by the booming digital payments ecosystem. Our product, Optimizer, is a testament to our unwavering commitment to payment innovation, built on insights gathered from over a billion transactions.
With the power of AI and advanced Machine Learning, we’re not just catering to current demands but also paving the way for a future-ready payment infrastructure that can scale from 5,000 to 10,000 transactions per second (TPS) daily by 2024.
We’re setting new industry benchmarks by optimizing success rates, eliminating downtime, and ensuring smooth payment experiences. Our solution enables businesses of all sizes to grow without constraints. We remain committed to simplifying payment complexities and keeping India at the cutting edge of digital payment innovation.