Approvely Reduces Costs and Adds Instant Payouts for Major Daily Fantasy Sports Operator

Services Provided by Approvely: Credit/Debit Acceptance, Instant Payouts, Visa RDR, Chargeback Management System

Introduction

In the highly competitive world of Daily Fantasy Sports (DFS), speed and cost efficiency in payment processing are key. Approvely partnered with a leading DFS operator processing over $36 million annually and handling 80,000+ monthly transactions. The challenge? Reduce transaction costs and deliver faster, more flexible payment solutions to enhance player retention.

About

As a licensed operator in the online gaming industry, this DFS provider required a robust, user-friendly payment technology that could support high transaction volumes and provide near-instant payouts. The operator sought to enhance its transaction processing capabilities and offer global payment acceptance, including direct bank transfers, to meet players' evolving needs.

Initial Challenges

The operator faced significant challenges:

• Slow Payouts: Players experienced delays due to outdated ACH processing, impacting engagement.
• High Transaction Costs: Fees for both ACH and credit/debit card transactions were high, reducing profitability.
• Operational Complexity: The existing system lacked a user-friendly interface, making transaction verification and fund transfers cumbersome.
• Limited Risk Management: Insufficient fraud protection tools led to increased risks of unauthorized transactions and chargebacks.

Solution Provided

Approvely deployed a full-stack payment processing solution tailored to the operator’s needs:

• Instant Bank Transfers: Introduced instant payouts, reducing wait times and increasing player retention.
• Modernized ACH System: Implemented advanced ACH technology, enabling faster and more secure fund transfers.
• Cost Reduction: Optimized payment routing to reduce transaction costs, improving profitability and cash flow management.
• Fraud Protection System: Deployed advanced fraud tools, including ID verification and risk management tools, to minimize unauthorized transactions and improve compliance.
• Chargeback Solution: Implemented automated chargeback management, including Visa RDR and automatic refunds, ensuring smoother transaction processing and better player satisfaction.

Approvely’s Role

Approvely’s role was strategic and holistic:

• Enhanced Payment Solution: Integrated flexible payment options, including accepting credit and debit cards, instant bank transfers, and other secure transaction processing methods.
• Advanced Security Features: Implemented multi-layered security with ID verification tools and fraud prevention measures, reducing risks and ensuring compliance for high-risk merchant accounts.
• User-Friendly Interface: Provided a simplified transaction processing platform that improved transaction verification, reduced complexity, and facilitated faster fund transfers.

Outcome

• Reduced Transaction Costs: Lower fees across ACH and credit/debit payments improved profitability.
• Faster Payouts: Near-instant payouts led to increased player satisfaction and retention.
• Improved Security & Compliance: Advanced security features and risk management tools reduced unauthorized transactions and chargeback risks.
• Operational Efficiency: A streamlined processing solution made fund transfers, automatic refunds, and transaction verification more efficient.

Summary

Approvely’s tailored payment processing solutions empowered this DFS operator to reduce transaction costs, accelerate payouts, and improve overall player retention. With advanced fraud protection tools, flexible payment options, and a user-friendly interface, the operator can now manage cash flow more efficiently and stay competitive in the high-risk DFS industry.