Payment integration often begins as an IT project: choose a provider, connect the API, complete the checks, and go live.

The way a business builds its payment infrastructure is now a commercial decision. A poor setup causes more declines and drives up support costs. Revenue suffers long before the technical team calls the integration a failure.

The European payment market is changing faster than most businesses can adapt. PSD3 will change how providers handle authentication, fraud data, and customer protection. The EU Instant Payments Regulation is requiring payment providers to offer instant euro transfers.

What works in Germany may reduce conversions in France. A checkout optimised for Spain can underperform in the Netherlands. Even neighbouring markets often rely on completely different payment habits.

The pressure is greater for High-Risk businesses in sectors such as iGaming and Forex. Banks apply different risk policies, approval rates fluctuate between providers, and a single integration decision can affect approval rates for months after launch.

Many of the costs companies associate with payment processing in Europe are not caused by fees alone. They come from failed transactions, payment declines, abandoned checkouts, manual operations, delayed settlements, and rebuilding integrations that were never designed to scale.

Why payment integration in Europe is more complex

Europe is often treated as a single payments market. The Single Euro Payments Area (SEPA) and the Instant Payments Regulation have created common standards for many financial institutions. The move from PSD2 towards PSD3 will affect authentication, fraud controls and provider responsibilities. Merchants should review whether their current setup is ready.

Customers across the continent pay differently and expect different checkout experiences. In the Netherlands, iDEAL remains dominant for online purchases. German consumers still favour direct bank transfers and invoice payments. Southern European markets show stronger card usage, while open banking payments are gaining ground momentum across both the EU and the UK.

Payment integration in Europe needs to reflect local customer behaviour without forcing the operations team to manage a separate integration and dashboard for every market.

PSD3 introduces stricter rules around authentication and fraud prevention. The EU Instant Payments Regulation requires payment service providers to offer real-time euro transfers under the same pricing conditions as standard SEPA transfers. Faster settlement gives customers and merchants quicker access to funds, but it also leaves less time to catch processing errors.

High-Risk merchants face additional pressure because payment providers apply different risk criteria depending on industry, transaction volume, and geography. A payment route that performs well for an e-commerce retailer may generate lower approval rates for a Forex platform or an iGaming operator. Merchants expanding into multiple European countries often discover that approval rates differ significantly between providers.

Baymard Institute research shows that checkout friction remains a significant cause of cart abandonment. Worldpay’s latest Global Payments Report also shows that digital wallets, account-to-account payments, and alternative payment methods continue to gain market share across Europe, reducing reliance on traditional card payments.

For a growing business, payment processing in Europe is part of the customer experience. It needs the same level of localisation as pricing and language.

Understanding the European payments ecosystem

European payments are shaped by regulation and local customer behaviour. Success depends on understanding how these layers interact rather than treating them as separate challenges.

A checkout can pass every PSD2 requirement and still underperform in the Netherlands if it does not offer iDEAL. Equally, adding every available payment option without considering fraud controls or routing logic often increases operational costs instead of improving performance.

Five payment trends matter most for merchants entering Europe.

[иллюстрация: оформить таблицу в фирменном стиле]

Many businesses still struggle to offer enough local payment methods when entering new European markets. Others experience declining approval rates because transactions are routed through a single provider regardless of geography or issuer behaviour. Fraud losses remain a concern. New compliance requirements are adding more work for payment and risk teams.

SEPA simplifies euro transfers across participating countries. Different currencies remain in use, while domestic banking systems operate alongside SEPA.

The UK follows its own regulatory system under the Financial Conduct Authority (FCA), while faster payments and open banking have evolved independently from the EU’s payment stack.

Companies that treat payment integration as an ongoing optimisation process generally achieve higher payment conversion rates than those relying on a one-time implementation.

Five costly mistakes

Most payment integration problems develop gradually as businesses grow. The same five mistakes recur among businesses entering European markets. While they are especially common among High-Risk merchants, they affect virtually any company managing cross-border payments across Europe.

Mistake 1: Ignoring local payment preferences

Payment behaviour varies widely between countries. Many customers actively look for familiar local payment methods before deciding whether to complete a purchase.

Dutch customers overwhelmingly expect iDEAL. German users often prefer direct bank transfers or invoice-based payments. Mobile payments are widely used across Scandinavia. Open banking payments grow across both the UK and continental Europe.

Customers hesitate when they cannot immediately recognise a trusted payment method. Some leave without paying. Others switch to competitors that offer payment experiences better aligned with local expectations.

The problem is sharper on mobile.

Younger users increasingly expect biometric authentication, QR payments, or digital wallets instead of manually entering card details. Every additional field, redirect or authentication step increases the probability of abandonment.

Currencies, language, checkout design, payment options — everything can affect conversion. Showing the most relevant payment methods first can improve payment conversion without changing the underlying payment setup.

Payment localisation belongs in the launch plan. Adding it after conversion falls is usually more expensive.

Mistake 2: Skipping compliance checks

Compliance gaps often remain hidden until volumes rise. Then providers request updated documents, banks increase monitoring, and some payment flows begin to see more declines.

A compliance review can freeze settlement or delay a market launch.

Payment teams now have to prepare for:

• the transition from PSD2 to PSD3
• stronger AML requirements
• enhanced Strong Customer Authentication (SCA) rules
• stricter fraud-monitoring requirements

Payment providers are also becoming more selective when onboarding merchants operating in High-Risk industries.

Some businesses rely on payment providers that are not fully aligned with future regulatory changes. Others postpone fraud monitoring until chargebacks begin to increase. Documentation is treated as a one-off onboarding exercise instead of an ongoing operational process.

For companies handling payment processing in Europe, compliance should be part of the operating model. Working with providers that actively monitor regulatory developments and update their authentication, monitoring and reporting processes as the rules change reduces the risk of disruption later.

Mistake 3: Hardcoding provider integrations

Some businesses start with one PSP and later add separate providers for individual methods or markets.

Businesses relying on a single payment provider have limited ability to redirect traffic during technical disruptions. Each additional provider brings another API connection and reconciliation process. Over time, payment teams spend more resources managing integrations than raising approval rates and reducing failed payments.

Without dynamic payment routing, every transaction follows the same path regardless of issuer behaviour or approval history. If one provider experiences lower authorisation rates in a particular country, every declined transaction directly affects revenue. If the route underperforms, every transaction sent through it carries the same disadvantage.

Payment orchestration addresses this challenge by separating business logic from individual payment providers.

A payment architecture that connects several providers through one integration is significantly easier to scale than one built around a single integration. SPAYZ.io gives High-Risk merchants access to 55+ payment solutions through a single API integration. Availability depends on the market and the required payin/payout flow.

Mistake 4: Poor testing and error handling

A poorly tested integration may look fine on launch day.

Many merchants validate only successful transactions while overlooking the scenarios that happen every day in production:

• interrupted customer sessions;
• failed 3D Secure authentication;
• declined issuer responses;
• expired payment links;
• duplicate submissions;
• network latency;
• provider downtime;
• webhook delivery failures.

These scenarios directly affect payment approval rates and customer trust.

Imagine a customer authorises a payment through their banking app but returns to an error page because the callback was delayed by a few seconds. From the customer’s perspective, they’ve paid. From the merchant’s perspective, the payment may remain in an unknown state until someone manually investigates it.

The same applies to mobile checkout.

European consumers increasingly complete transactions on smartphones, particularly when using digital wallets or open banking payments. Redirect flows that work perfectly on desktop can introduce unnecessary friction on mobile devices. Long loading times, poorly optimised authentication pages, and unclear error messages all contribute to lower checkout optimisation metrics.

A practical approach includes:

• automated sandbox testing before every release;
• monitoring webhook delivery and retry logic;
• detailed payment logs for every transaction;
• real-time alerts when approval rates fall unexpectedly;
• clear customer-facing error messages that explain what happened and suggest the next step.

Testing should begin before launch and continue throughout the life of the integration.

Mistake 5: Overlooking fraud and security gaps

As payment technology changes, fraud tactics change with it. Criminals no longer rely solely on stolen card details. Account takeover attacks, synthetic identities, authorised push payment fraud, phishing campaigns, and increasingly sophisticated social engineering schemes are becoming more common across digital payments.

The challenge across European markets is balancing security with customer experience. Adding excessive verification to every transaction creates unnecessary friction and lowers conversion.

Higher-risk transactions should face stricter checks; routine payments should not carry the same friction.

Fraud prevention combines behavioural analysis with device fingerprinting and transaction monitoring to identify unusual activity without interrupting legitimate customers.

Alongside PCI DSS requirements for handling payment data, European businesses must comply with stronger cybersecurity expectations under rules such as NIS2, particularly if they provide essential digital services or operate critical infrastructure.

Strong payment fraud prevention affects approvals, chargebacks, and customer trust, so they can’t be left to the IT team alone.

UK vs EU: key payment differences

Following Brexit, the UK retained much of PSD2 but now develops payment regulation independently under the Financial Conduct Authority (FCA) and the Payment Systems Regulator (PSR). The EU, meanwhile, is moving towards PSD3 and implementing the Instant Payments Regulation.

For merchants, these differences have practical consequences.

[иллюстрация: оформить таблицу в фирменном стиле]

Choosing the right UK payment providers, supporting payment processing in the UK alongside payment processing in Europe, and adapting checkout experiences to local expectations generally improves approval rates and checkout conversion.

Hidden costs businesses often overlook

When businesses compare payment providers, they usually focus on transaction fees. Those fees matter, but they are rarely the largest expense.

[иллюстрация: оформить таблицу в фирменном стиле]

Increasing the payment approval rate by only a few percentage points can generate substantial additional revenue for businesses processing thousands of transactions each day. Reducing payment failures reduces support requests and gives customers fewer reasons to abandon the platform.

Many payment teams eventually realise that payments should be managed like any other revenue-generating function. That means continuously monitoring performance, measuring provider efficiency by market, analysing decline reasons, and refining routing strategies over time.

How payment orchestration helps

Many of these problems emerge because payment infrastructure becomes increasingly difficult to manage as businesses grow.

Adding more providers introduces additional APIs. Expanding into new countries requires new payment methods. Fraud controls become more complex. Each change may require another API connection or manual process.

Payment orchestration reduces the number of integrations a merchant has to manage.

[иллюстрация: оформить как “цитату”]

If one provider experiences technical issues, traffic can automatically move to another route. If approval rates decline in a specific country, routing rules can be adjusted without rebuilding the entire payment architecture.

Payment provider checklist

Before committing to a new payment partner or reviewing your existing payment setup, use the checklist below.

[иллюстрация: оформить таблицу в фирменном стиле либо сделать как карточки “вопрос/ответ”]

Many growing businesses now build their payment infrastructure around orchestration platforms, allowing them to manage several providers and change routing rules without redesigning the checkout.

Conclusion

Payment decisions belong in commercial planning because they determine how much acquired traffic turns into revenue.

Businesses that consistently improve payment localisation, monitor payment approval rates, build more resilient payment processing in Europe, and build a flexible payment architecture are usually better positioned to grow across both established and emerging markets.

The right setup should make the next market easier to launch, not add another integration the team has to maintain. Reviewing the payment setup before volumes rise is cheaper than rebuilding it after declines, support costs and provider dependencies are embedded in the business.

Zeta Global Holdings shares extended a sharp rally Wednesday, building on gains from the previous session after the marketing technology company delivered second-quarter results that beat expectations and extended what the company describes as its 20th consecutive “beat and raise” quarter.

Shares climbed to $28.20, up 16.24%, continuing a rally that began Tuesday when the company’s earnings report initially sent the stock up 7.54% to close at $24.26. The move built on a year in which Zeta shares have already climbed nearly 50%, according to recent trading data, as the New York-based company has continued posting accelerating growth in its AI-driven marketing platform business.

A Streak Extended

Zeta reported second-quarter revenue of $442.8 million, comfortably clearing the company’s own guidance range of $419 million to $422 million and marking a 44% increase year over year and a 12% sequential gain from the first quarter. In a statement, the company described the results as achieving positive GAAP net income for the second quarter, a milestone that adds to the company’s continued push toward sustained profitability alongside its rapid top-line growth.

Adjusted EBITDA for the quarter came in at $91.7 million, more than 50% higher than the $58.77 million posted in the same period a year earlier. Following the results, Zeta raised its third-quarter revenue guidance to a range of $469 million to $472 million, above the $461.01 million analysts had been expecting, while also lifting its full-year earnings-per-share guidance to a range of 9 cents to 11 cents, up sharply from a prior forecast of 2 cents to 4 cents.

AI Platform Drives Momentum

Much of the enthusiasm surrounding Zeta’s results has centered on the rapid adoption of the company’s Athena AI platform, which the company has said captured 60% of platform AI usage within its first week of availability, driving what Zeta described as a sevenfold surge in agentic interactions and a 40% lift in sales pipeline activity. The company has continued expanding partnerships tied to its AI infrastructure strategy, including collaborations with OpenAI, Snowflake and Palantir, with integration of the Palantir partnership expected to be completed within 45 days of the announcement.

Zeta has also continued extending Athena’s capabilities to advertising agencies, using what the company calls its proprietary SuperGraph technology to analyze consumer signals and recommend real-time marketing actions across a customer’s full lifecycle. The company has said a broader rollout of that agency-focused offering is planned to continue through the remainder of 2026, following an initial beta period with select partners.

A Credit Facility to Support Growth

Alongside its earnings results, Zeta has continued strengthening its financial flexibility. The company closed a $1 billion credit facility in recent weeks, which it said would be used to support mergers and acquisitions, share repurchases and general corporate purposes, giving the company additional capacity to pursue growth initiatives beyond its organic platform expansion.

Zeta has also continued building out its executive team, recently naming Intel and Synopsys veteran Trey Campbell to lead investor relations, a move the company has framed as part of its broader effort to strengthen its engagement with the investment community as it continues to scale.

Some Caution Amid the Rally

Despite the overwhelmingly positive market reaction, not every signal surrounding Zeta’s stock has been unambiguously bullish. Options activity ahead of the earnings release showed significantly more call volume than put volume, reflecting broadly bullish positioning among traders, though the company has also seen a notable number of recent insider transactions net sold, a dynamic some analysts have flagged as a cautionary signal against uniformly bullish sentiment. Wall Street coverage of the stock remains heavily weighted toward buy ratings, with 12 buy recommendations and two holds and no sell ratings among covering analysts, alongside a consensus price target implying meaningful additional upside from recent trading levels.

A Track Record of Consistency

Zeta’s ability to extend its beat-and-raise streak to 20 consecutive quarters has become a central part of the bullish narrative surrounding the stock, with the company’s full-year 2026 revenue guidance now standing at a range of $1.779 billion to $1.792 billion, up $30 million at the midpoint from its prior forecast and representing year-over-year growth of 36% to 37%. Even excluding the impact of political candidate advertising revenue and contributions from its Marigold enterprise business, the company has said its underlying growth rate remains in the 22% to 23% range, a figure management has pointed to as evidence of durable demand for its core marketing platform independent of one-time or cyclical revenue sources.

With Zeta’s stock continuing to build on its post-earnings momentum into Wednesday’s session, investors are likely to keep a close eye on the continued rollout of the company’s Athena AI platform and its expanding partnership ecosystem as key indicators of whether the company can sustain its remarkable streak of exceeding its own guidance in the quarters ahead.

Copyright ©2026 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8