2. Payment Gateway & Merchant Account
Sagedirect (merchant) submits card transaction on behalf of customer to payment gateway.
Payment gateway passes the transaction to the Sagedirect (merchant) account
Payment Gateway & Merchant Account
Sagedirect (merchant) bank processor submits the transaction to the credit card interchange.
The credit card interchange routes the transaction to the customer’s credit card issuer.
The credit card issuer approves or declines the transaction. If approved, the funds are sent back through the credit card interchange.
The credit card interchange relays the transaction results to the Sagedirect (merchant) bank’s processor.
Sagedirect (merchant) bank’s processor relays the transaction results to payment gateway.
Payment gateway stores the transaction results and sends them to the customer and/or Sagedirect (merchant).
The credit card interchange passes the appropriate funds to the Sagedirect’s (merchant) bank.

3. Payment Gateway & Merchant Account
Payment Gateways:
Authorize.net (
Verisign Payflow Pro (
LinkPoint (
Plug ‘n Play (
Merchant Accounts:
Chase Paymentech (
Authorize.net (
E-online Data (
Website Payment Pro (
Merchant One (
On average a gateway charges $100 set-up, $0.10 authorization fee and a $20.00 monthly fee.
On average a merchant account charges a per transaction fee of $ $0.30, a general percentage rate of 2.19% % plus an additional percentage (0.70%) for all rewards cards. A Monthly statement fee of $10.00 and monthly processing fee of $25.00

4. Payment Gateway & Merchant Account
Recommendation:
Payment Gateway: Authorize.net
Industry Standard
Recommended by all top Merchant Accounts
Merchant Account: Chase Paymentech
Authorize.net partner
Set-up fees waived
Authorization fees eliminated
Reduced monthly fee
Individual rates based on credit card type
Lower transaction fees

5. Payment Gateway & Merchant Account
Recommendation (Fees):
Payment Gateway: Authorize.net
Monthly fee $10.00
Waived - $99.00 set-up and $0.10 per authorization
Merchant Account: Chase Paymentech
Authorization fee - $0.05 each
Credit card transaction fees = $0.10 each
Credit card rates
Visa % (rewards 1.90%)
Master Card %
Discover %
AmX %
Monthly statement fee - $7.50
Minimum monthly processing fee - $25.00
Transaction example:
Purchase = $100.00
Authorization fee = $0.05
Transaction fee = $0.10
Rate (Visa) = $1.85
Total = $98.00 (minus portion of monthly fees)

6. E-commerce Platforms IBM WebSphere Nexternal ASP Dot Net Store Front
Home Depot
Lowes
Sears
USA Today
Hanes
IRiver
Uniden
Alcoa
Electrolux
ASP Dot Net Store Front
E-commerce Platforms
McDonalds
Crocs
Z gallerie
Kodak
PGA Tour
Virgin Mobile
Volusion
Chicago tribune
Obama ’08
Crutchfield
Pez
GoE Cart
AmeriCommerce
ShopSite

7. E-commerce Platforms IBM WebSphere Nexternal Volusion
Platform starts at $100k
Requires their accounting, inventory and CRM software
Set-up fee - $1,000.00
% of monthly sales
Volusion
ASP Dot Net Store Front
Monthly Cost
Not fully integrated with UPS
Software cost - $
Needs to be hosted, SSL Certificate
Dedicated programmer
Shop Site
Set-up fee - $
Monthly Cost - $125.00
Small Business Orientated
No Marketing capabilities
GoE Cart
Software cost - $11,000.00/YR.
Set-up Cost - $1,000.00
Intergrated with UPS but costs extra
AmeriCommerce
Cost - $3,000/YR.
Small Business Orientated
No Marketing capabilities
Extra cost for customer service

8. E-commerce Platforms Recommendation: Nexternal
Most Comprehensive offering
Software is easy and quick to get up and running NOW
Dedicated Customer Support
No contract
Built in marketing and promotional tools
Live stats and reporting
Builds customer database
marketing campaigns (opt-in)
Optimizing dynamic data for search engines (Google and yahoo)
Google analytics integration
Efficient order processing
Fully integrated with UPS/USPS
Built in shipping cost calculator
Calculates tax by price, tax status and state
Full tracking tools
Product and inventory management
Able to handle eaches, innercartons and cases
Inventory tracking
Business to Business (B2B) Module
Password protected entry
Product pricing by customer type
Product allocation by customer type
Captures PO numbers
Exempt sales tax
Free upgrades and seamless updates

9. E-commerce Platforms Nexternal Fees: Set-up fee - $1000.00
Monthly fee based on monthly sales:
Monthly Online Sales
Monthly Cost
$0 - $8,333
$250
$8,333 - $50,000
3% of sales*
$50,000 - $100,000
2% of sales *
$100,000 - $500,000
1% of sales*
above $500,000
0.5% of sales*

10. HDIS
$322,503.00
$309, (thru 10 months) – projected $370,000.00
Currently sells 40 Sage products
Sage CS rep 1-2 referrals each per day to HDIS
Usually refer for Oral Care / Bath / Shield to Walgreens
According to HDIS 42% of business comes from Sage CS referrals
$370,000.00
x2 (markup)
$740,000.00
/42%
$310,800.00

11. E-commerce Platforms
Demo

12. E-commerce Platforms
Questions?