Driving Cost Efficiency Through Native Payment Wallets
Client Overview
The client is a leading global online food ordering and delivery platform with operations spanning over 6,000 cities worldwide. The company offers diverse delivery methods and serves millions of customers through its highly scalable digital platform. Headquartered in the USA, the organization has become a household name, connecting restaurants and consumers with seamless, efficient, fast service. The company is committed to providing a superior user experience and improving the efficiency of its internal processes through advanced technological solutions.
The Costly Catch: Chasing Profits While Paying the Price
A Revenue Leak Hidden in Plain Sight
Each transaction processed via third-party payment gateways incurred various charges: sales fees, fixed service fees, currency conversion costs, and other hidden deductions. These small percentages added up to a massive ~3% of their total revenue, a severe blow for a company operating at such a scale.
Millions of Transactions, Millions Lost
With millions of global transactions occurring daily, the compounding effect of these fees translated into tens of millions in annual losses. What seemed like a standard part of business operations was, in fact, a silent saboteur of their financial performance.
Profitability at Risk
The direct impact of these fees was a shrinking bottom line. Despite healthy transaction volumes, profit margins were falling, making cost optimization an urgent priority.
User Experience Took a Hit Too
The user journey was disrupted beyond the financial losses. The reliance on external payment gateways led to frequent friction in the checkout process: slower load times, increased payment failures, and limited flexibility. This negatively affected user satisfaction and retention, especially in high-traffic regions.
Turning the Tide: Integrating a Native Top-Up Wallet
To counter the mounting transaction costs, we proposed a strategic shift to a native in-app payment wallet, a “top-up” system allowing users to preload funds and transact directly within the app. This eliminated many of the third-party gateway costs.
An in-depth behavioral analysis across multiple markets was also conducted to assess the feasibility and impact of transitioning to wallet top-ups. Here’s what we uncovered:
A Steady Climb in Top-Up Adoption
Top-up usage had grown consistently month-over-month, indicating strong user acceptance and behavioral shift toward in-app wallets.
Regional Hotspots Emerged
The most active top-up users were concentrated in India, Latin America and the Middle East, pointing us toward the most promising markets for rollout and scale.
Small, One-Time Top-Ups Dominated
Most users engaged in low-denomination, one-time top-ups, reinforcing the importance of offering flexibility and micro-payment capabilities within the wallet.
Uncovering Hidden Cost Opportunities
We meticulously analyzed every component of the existing transaction structure, identifying where and how wallet-based payments could drastically cut down unnecessary fees, from sales charges to currency conversions.
Educating for Maximum Impact
With this data in hand, our team guided the client on strategic implementation, demonstrating how wallet top-ups could eliminate fees in certain scenarios, particularly gift card-based top-ups, which came with zero associated charges.
The Billion-Dollar Breakthrough
60% Cost Reduction with Wallet-Based Transactions
The client achieved an 85% reduction in transaction-related costs by shifting from card-based payments to top-up wallets. In regions where the feature was already active, this resulted in tens of millions in annual savings, projected to climb to ~$1 billion globally with broader adoption.
A Smoother, Faster User Experience
The wallet didn’t just save money; it also enhanced the user journey. Payment friction was drastically reduced, enabling faster checkouts and seamless bookings. Users appreciated the convenience and reliability of staying in-app for their transactions.
Incentivized Adoption for Long-Term Loyalty
The wallet experience was designed with reward mechanisms to encourage usage, offering exclusive discounts and benefits for wallet top-ups. This improved user satisfaction and boosted retention and repeat usage, making it a win-win for both the client and their customers.
About Indium
Indium is an Al-driven digital engineering company that helps enterprises build, scale, and innovate with cutting-edge technology. We specialize in custom solutions, ensuring every engagement is tailored to business needs with a relentless customer-first approach. Our expertise spans Generative Al, Product Engineering, Intelligent Automation, Data & Al, Quality Engineering, and Gaming, delivering high-impact solutions that drive real business impact.
With 5,000+ associates globally, we partner with Fortune 500, Global 2000, and leading technology firms across Financial Services, Healthcare, Manufacturing, Retail, and Technology-driving impact in North America, India, the UK, Singapore, Australia, and Japan to keep businesses ahead in an Al-first world.
