Mastering the Symphony of Payments: A Deep Dive into Payment Orchestration

Mastering the Symphony of Payments: A Deep Dive into Payment Orchestration

You have probably heard the term “payment orchestration” and wondered what it’s all about. Well, listen up because this emerging payment trend is music to merchants’ ears.
This simplifies integrations and knocks down costs compared to plugging in providers one by one. Data also sings in harmony instead of a fragmented cacophony. It’s no wonder the global payment orchestration market is poised to reach $3.7 billion by 2028, up from $815 million in 2021. That’s a compound annual growth rate of 22.4%, according to an August 2022 market report.

What is payment orchestration?

Just like a maestro leads an orchestra to create a harmonious symphony, payment orchestration intelligently manages and coordinates your business’s entire payment journey. It does this through a payment orchestration platform, a software layer between your online storefront and various payment service providers (PSPs).
Imagine it as a central control panel that intelligently handles all the technical complexities involved in:

  1.  Accepting diverse payment methods: From credit/debit cards and UPI to wallets and Net Banking.
  2. Connecting with multiple payment gateways: This allows you to offer more payment options to customers.
  3. Routing transactions efficiently: Transactions are sent to the most optimal PSP based on success rates and cost-effectiveness.
  4. Data security: Ensuring all transactions meet the highest security standards.

How does payment orchestration work?

Here’s how payment orchestration works

Solution-centric orchestration

Payment orchestration isn’t a one-size-fits-all solution. Instead, it offers customisable options designed to address the specific needs of each business type. This makes perfect sense, considering that merchants, payment aggregators, and fintech companies all have unique requirements for their payment processing systems.

For merchants, maybe those problems are chargebacks and friendly fraud within your payment system. To combat this challenge, you may research different payment orchestration platforms and settle for one that offers tailored fraud tools and solutions.

Considerations for implementing payment orchestration.

One immediate advantage of implementing payment orchestration for all clients is the reduction of operational costs and other implementation-related burdens.

Authorisation and Settlement

The payment orchestration providers have platforms that communicate securely with the chosen payment gateway. The gateway acts as a bridge, securely transmitting the customer’s payment information to the relevant issuing bank or network (like Visa or Mastercard). 

The bank or network then performs a series of checks, including verifying account details and ensuring sufficient funds are available. If everything is in order, an authorisation message is sent back to the payment gateway, which relays it to the orchestration platform.

What is the difference between payment gateway and orchestration?

You may have heard the terms ‘payment gateway‘ and ‘payment orchestration,’ but what exactly do they mean, and how are they different? Let’s understand:

FeaturePayment gatewayPayment orchestration platform
Core functionFacilitates secure data transfer to a payment processorManages and optimises the entire payment process
ScopeActs as a single point of entry for transactionsOversees multiple gateways and payment providers
Payment providersTypically integrates with a limited number of providersConnects with a wide range of payment providers for flexibility
RoutingTransactions follow a fixed routeIntelligently routes transactions to the most optimal provider (cost, success rate, etc.)
FlexibilityLimited ability to add new payment methods or gatewaysEasily adaptable to incorporate new payment methods or gateways
Data and analyticsProvides basic reportingOffers centralised, in-depth analytics across multiple payment providers
Overall complexitySimpler to implement and manageMore sophisticated but ultimately streamlines payment operations in the long run

Benefits of payment orchestration

Payment orchestration offers a powerful solution, streamlining payment processes, improving customer experiences, and driving business growth. Here are the benefits of payment orchestration:
  • Boosted acceptance rates: Smart transaction routing increases the likelihood of payments getting approved.
  • Enhanced customer experience: A wider range of payment methods and streamlined payment flows result in happier customers.
  • Cost savings: Reduced transaction fees through more efficient processing and negotiating power with multiple PSPs.
  • Flexibility: Easily integrate new payment methods or gateways. This ensures adaptability in the fast-changing Indian payment landscape.
  • Data-driven insights: Centralised analytics from all your payment providers in one place, fueling better business decisions.

What is an Example of Payment Orchestration Software?

Payment orchestration software allows merchants to streamline payments across providers and gain valuable insights. Their vision is to help clients unlock growth by providing tools and data to increase sales and efficiency.

Considerations for implementation

The immediate benefit of orchestration is reducing operational costs and implementation hassles, providing a seamless experience for your business to operate more efficiently.

Reduced integration time

The software allows you to accept payments in under 20 minutes, with a 99.6% success rate. Its pre-built integrations and branded interfaces minimise development.

Increased sales

Bank promotions and insights can double sales. With over 18+ bank partnerships, they offer SKU-level promotions to boost your margins. Their data also aids in crafting targeted campaigns for maximum results.

Flexible customization

You can use the deep link to take payments instantly, check-out pages for a branded handoff, or SDKs to fully customize the journey. All options access the same features and promotions.

Robust reporting

They consolidate data across payment methods into a single dashboard. This streamlines reconciliation and gives a holistic view of payments to optimise the experience.


By optimising payment flows, reducing friction, and providing data-driven insights, payment orchestration platforms empower businesses to deliver seamless customer experiences. This translates into increased sales, customer loyalty, and ultimately, a stronger bottom line.
Innoviti has built a robust tech infrastructure to help merchants simplify payment reconciliations and gain valuable customer insights. With a focus on innovation and a deep understanding of the Indian market, Innoviti is well-positioned to shape the future of payments in India.