Out-of-the-box integration for credit card payments in S/4HANA

[former_member528406]

This blog describes how SAP digital payments add-on can simplify the connection between business applications in S/4HANA and payment service providers

Enterprises doing business globally via various selling channels and with changing business models (i.e. B2C, B2B, online shops, POS) need to offer digital payment methods such as credit card or real-time payments like PayPal to their customers. To do so, SAP customers (especially in ECC) used to build and maintain point-to-point connections from their SAP software systems to their Payment Service Providers (PSP) – clearly a complex and maintenance intensive process for their IT department. A change of service provider or introduction of a new payment method was usually only possible via another cost intensive implementation project. Not to mention the risk of data loss if critical credit card data is stored in the ERP and the high costs for PCI DSS* certification resulting from this.

SAP therefore provides a new integration platform running in the SAP Cloud Platform (public cloud), enabling out-of-the-box and standardized connections between various business applications and the PSPs:

 

SAP digital payments add-on is the alternative to complex customer-specific implementations with built-in integration to various SAP / non SAP products and components:

• Out-of-the-box integration into various SAP and non-SAP order/sale-to-cash processes
  (B2B, B2C, online shops, etc.)**


• Offers flexibility and access to multiple digital payment methods while automating cash reconciliation


• Reduces audit costs and supports secure incoming payment card & other real time payment transactions using tokenization - no sensitive data is stored in the ERP


• Compliant according to the Payment Card Industry Data Security Standard (PCI DSS)


• Stable and harmonized interfaces for all SAP and also non-SAP solutions


• Operation, maintenance, and support of connectivity centrally managed by SAP (SaaS) - no need for customers to operate SAP Cloud Platform individually

Source: SAP

As part of the official SAP roadmap, new payment service providers are planned in the upcoming releases. Using a self-enablement approach, partners are welcome to integrate to SAP's platform via partner API and offering their services to all SAP customers. More PSPs are currently finalizing their integration and certification and thus will become available to all SAP customers soon.
Your PSP of choice is not yet listed? Please approach SAP and we will do our best and work together with our customers to make it happen!

More information on available Payment Services Providers, functions and features:

• S/4HANA Integration with SAP Digital Payments add-on


• Product Video 


• SAP Help Documentation for configuration and solution scope

Partner News:

• Partner Webinar hosted by Fiserv


• Fiserv press release


• Paymetric press release

*Payment Card Industry Data Security Standard
** Integration to other SAP solutions (e.g. SAP ECC) or non-SAP solution possible on project base

[dsikes]

Do you have to buy the Cloud solution or is this also available with S/4 on premise?

[former_member528406]

Hi Charlie

 

SAP DPAO can also integrate with S/4HANA on premise, but the functionality is only provided as part of the public cloud solution. In order to make use of it, customers will need to subscribe and as part of this, they can consume all services delivered (including upgrade, maintenance, operations, etc.) and integrate them into the various consumer applications such as Business Partner, Accounting or online shops. Implementation is done easily by simply connecting to the cloud service without huge implementation effort on the customer side. I hope this answers your question (sorry for the late reply, your Q unfortunately got missed during summer break...)#

Best regards Nicole

[volkerm]

Hi Nicole,

is Adyen on the list as future partner for this solution as well, or no plans known, yet?

Do you know if any of the available partners is offering an integration into Adyen as alternative to a native/direct integration?

Thanks for your feedback,

Volker

[former_member528406]

Hi Volker,

Indeed, Adyen is another partner we are currently in contact with and based on various customer requests, they are also now exploring a potential integration with our payment platform. If your company / your customer is already in contact with Adyen, you can surely let them know that SAP and Adyen can nicely work together in this case - sometimes there are different contacts involved, but I am happy to make the connection with our partner manager and our Adyen contact if needed.

Best regards Nicole

[former_member702520]

Hi Nicole,

Is this functionality able to Integrate to a Physical terminal(EFTPOS) ? We have a requirement for our customer who will implement SAP BRIM (On premise) to integrate with physical terminals for payment. Helpful if you can provide any direction to achieve this. Thanks

Regards

Srinivas

[former_member528406]

Hello Srinivas

in general, SAP DP is ready to process Terminal Payments. Limiting factor however is the Payment Service Provider integration for the terminal solutions. SAP S/4HANA and SAP digital payments should be ready, if PSP fulfill the following requirements:

• Payment Service Providers / Products for Terminal Payments need to integrate, e.g. Telecash by First Data or Ingenico


• Payment Service Provider needs to provide the preparation interface


• Payment Service Provider needs to provide the Payment Transactions as Digital Advice

To conclude, it mainly depends on the PSP the customer plans to use if DP can support or not. You can contact me directly via Email with the details of the chosen PSP of your customer so that we can check in more details.

Best regards Nicole

[eli_pairoux]

Hi Nicole

For an embarking BRIM project for at my customer we also aim to have a new PSP. Is there an updated list of the PSP's which are fully integrated with the Digital payment add on and have a stable history? This would help us to decide on the PSP.

Secondly I don't find a lot of implementation guidelines in regards to the trigger in the Convergent Invoicing back-end towards the PSP. In our project the business requires a daily mass-payment request to the PSP after consumption is billable/billed for a variable amount where the customer provided a one-time consent/authorization on his credit card or bank account. It's a kind of SEPA DD with an FPY1 payment run but send to the PSP instead of the bank.

Thanks in advance.

Kind regards,
Eli

[Martin_von_der_]

Hello Eli

concerning PSPs available:

• Cybersource


• Paymetric


• PayPal


• SnapPay (from FiServ / FirstData)


• Stripe

PSPs in final certification phase (available in the next days/weeks)

• PayFabric (from EVO Payments / Delego)


• SmartPay (from Barclaycard) ->

PSPs in implementation phase

• Ingenico


• Worldpay


• ...

 

Concerning your second point: S/4HANA Convergent Invoicing  / Contract Account is out-of-the-box integrated with SAP digital payments. The required processing is supported for Credit Cards payments. Please refer also to SAP help:

https://help.sap.com/viewer/2aa57d10a4614be0a2456978a8f295e7/2020.000/en-US/2ae5161d164341ffa3d19779...

Kind regards, Martin

 

 

 

 

 

 

[eli_pairoux]

Hi,

So out-of-the box means: there are no extra license costs or transactional fees to be paid for this add-on/functionality? Both for the integrated scenario using S4/HANA Convergent invoicing as for the non-SAP solution (customer mobile app/webshop) using an API?

Thanks in advance.

Kind regards,
Eli

[Martin_von_der_]

Hello Eli

The SAP digital payment add-on is a Software-as-a-Service offering. The pricing of this service is transaction based. A transactions are for example the registration of a new Payment Card or an executed payment. In a process chain with different steps (Payment Authorization in an online shop for an existing card, Reauthorization in Billing, Capture and Reconciliation in S/4HANA), only one transaction will be counted.

Out-of-the-box means that the SAP digital payments add-on provides the secure, SAP managed integration between these SAP solutions and the Payment Service Providers without any development and integration effort by the customer.

Other SAP or non-SAP solutions can be integrated with SAP digital payments via an API.

The transaction-fees for Out-of-the-Box or project bases integrations are the same.

Kind regards, Martin

[former_member734130]

How do I integrate my S4 HANA on-premise solution with a PSP without using this add on?

[Martin_von_der_]

Hello Gupta

Customers can integrate their S/4HANA on premise system in a customer project with Payment Service Providers using the interfaces in the Payment Card configuration. Please check also for "Payment Card Interface to Clearing Houses" in SAP help.

Kind regards,

Martin

[former_member739721]

Hello Nicole,

hello Martin,

Thank you very much for sharing this blog.

My current customer plan to use the PSP PayU for the integration of credit card payments.
Do you know already If SAP DP will support it ?

Secondly I would appreciate if you can give more details how payments will be reconciled with bank statements ?  Is it through Payment Advice ? How about the granularity of the data ?

Thank you very much for your help.

Salim

[Martin_von_der_]

Hello Salim

For the integration via SAP digital payments, the Payment Service Providers are SAP Partners and integrate to SAP. PayU is currently not integrated. We are interested to extent the network and our  Partner Management will support.

The reconciliation process using the digital advice is described in the SAP help of S/4HANA (e.g. S/4HANA Cloud:  Receivables Management --> Digital Payment Processes in Accounts Receivables).

I think it would be helpful to setup a meeting to discuss these topics and further activities in more detail.

Kind regards,

Martin

 

 

 

 

[Alexur]

Hello Martin,

 

When can I see the updated  list of the PSP's which are fully integrated with the Digital payment add on?

 

Thanks

[Martin_von_der_]

Hello Alex

Please check the diagram above (top).

Nicole has updated the list.

Kind regards, Martin

 

 

[former_member594867]

Hello Nicole,

Referring to the picture in your blog that shows the available PSPs, could you please confirm if the addon integrates with PSP called checkout.com? We are implementing Bydesign for a customer based in the UK and they are looking to use checkout.com as the PSP.

Thanks,

Sagar

[Martin_von_der_]

Hello Sagar

Currently the payment service provider "checkout.com" is not yet integrated with SAP digital payments add-on.

In such a case our Partner Management is interested to support. It would be helpful, if further information could be provided (e.g. the customer and the contact at the PSP).

Kind regards, Martin

[amikburns]

Hello,

I have various customers on SAP Business ByDesign who are interested in this new integration add-on.

• What is the cost to use Digital Payments Add-On?


• A lot of this blog post and the Digital Payments add-on page shows information centered around S4/HANA and others - is this truly enabled to integrate with SAP Business ByDesign now?


• Most of my customers do not have SAP Cloud Platform or BTP - these are fairly new concepts to them. My understanding is that they would first need access to BTP, purchase at minimum a base package for Digital Payments Add-On in order to use - is that correct?

[gerald_heisig]

Hi Ami,

The SAP digital payment add-on is a Software-as-a-Service offering running on SAP BTP (fka SAP Cloud Platform). There is no need for the customer to purchase BTP separately. With SAP digital payments add-on, they will get a Global Account to access BTP.

The pricing of this service is transaction based. Transactions are for example the registration of a new Payment Card or an executed payment. In a process chain with different steps (Payment Authorization in an online shop for an existing card, Reauthorization in Billing, Capture in ByD), only one transaction will be counted. For details about the pricing, please contact your SAP Contact (e.g. SAP Account Manager).

Yes, with SAP Business ByDesign is integrated with SAP digital payments add-on with ByD release 2108: https://blogs.sap.com/2021/08/08/sap-business-bydesign-whats-new-21.08/

However, in ByD it is available in a so-called 'controlled availability'. I recommend to get in touch with your SAP Contact for further details, too.

Best regards
Gerald

 

[former_member594867]

Hello Martin,

Thanks for your response. The customer is flexible to go with available PSPs.Could you please advise the best channel for communication and speed up the further steps that will help getting the customer onboard with the Digital payment addon feature.

P.S : Karolina Brazauskaite from Clarivos, has reached out to you on Linkedin.

Thanks,

Sagar

 

[gerald_heisig]

Hi Sagar,

let me answer your question how the customer gets SAP digital payments add-on.

The SAP digital payment add-on is a Software-as-a-Service offering running on SAP BTP (fka SAP Cloud Platform or SCP). It has a dedicated material number with a transaction-based pricing.

The customer needs to purchase it. To do so, they need to contact their SAP account manager.

Best regards
Gerald

 

 

[former_member688062]

Hi Martin / Nicole,

 

I have subscribed the services in BTP and activated the PSP provider.I have created a Instance Key in BTP. Secret ID and Secret Key with URL has been maintained in S4 HANA on premise through RFC. But still we are getting the error. If you provide your contact number or Mail ID. I can send detailed email on this topic.

[Martin_von_der_]

Hello Rajasegaran

Please open an Incident on component FIN-FSCM-DP-DP for this problem.

Kind regards, Martin

[Martin_von_der_]

Hi Rajasegaran

I found that an incident is already opened. We will continue in the incident.

Kind regards, Martin

 

[former_member688062]

Hi Martin,

Yes, you are right. Can you or someone from your team possible to get into call. I will show you what is the exact issue.

Thanks and Regards,

Rajasegaran

[former_member688062]

Hi Martin,Thanks for your valuable inputs. It helped us a lot.

Regards,

Raja

[former_member780259]

Hi Digital Payments Team,

We are in the process of scoping out a S/4Hana implementation. We have the need for a credit card integration solution and are looking at Digital Payments with our existing PSP (on PSP list!).

We use credit card authorizations in Sales but our biggest use case is customer payments in FI-AR for open customer line items with terms which have become overdue and AR team are chasing payment.

Can the authorization/settlement of these items be made using standard S/4 functionality with Digital Payments or is it necessary to include an additional licence for Customer Payments (1S0)?

Not clear to me if Customer Payments is essential or simply nice to have.

Regards

[Marie_Kretz]

Several customers are using the Cloud for Customer Payment solution for the payment of open receivables.  The SAP Cloud for Customer Payments is a separately licensed product.

[former_member780259]

Thanks for the reply Marie, is SAP Cloud for Customer Payments essential to pay open receivables by credit card or can other standard functionality be used (Authorize/Settlement)? I am trying to determine if we need to have both Digital Payments and Customers Payments or if Digital Payments can be used on it's own with standard S/4HANA.

Regards.

[ray_buttigieg]

Integration with Automatic Payment Processing for FI-AR in S/4HANA for direct debit arrangements via Credit Card.

​It is common for customers to agree to pay their regular invoices via a direct debit agreement from a bank account stored on their business partner account using the Automatic Payment Process (previously transaction F110 in ECC) in S/4HANA.  This process generates a payment medium file that is then sent to the banking partner to collect the amount owing.

Presumably, by using a payment method for credit card collections, or by some other means, the Automatic Payment Processing process can integrate with Digital Payments add-on to generate the direct debit instructions to settle payments from the customer's nominated credit card?

Can you confirm in this business process is covered?

Thank you,

Ray Buttigieg

 

[former_member795575]

Hi Nicole,

 

Do we have an updated list Payment Service Providers/Gateways?

 

Best regards,

Adriel Negrete

[former_member528406]

Hi Adriel,

Sure, the list on SAP Help is always up-to-date, please have a look here under PSP Scopes

https://help.sap.com/docs/DIGITALPAYMENTS/62bf12232b35472b90d531f867ffacd1/aecbbf5772a44f7faa9a96bcf...

Best regards, Nicole

[brandonmon]

Hi Nicole / Martin,

I work with Elavon, a PSP subsidiary of US Bank. I'm interested in learning more about the digital payments add on, specifically what some of the win / win levers are for Merchants / PSPs, its different use cases, the integration process, and steps to be taken to get more information. Could either of you please advise?

Thank you,

Brandon Moncrieff

brandon.moncrieff@elavon.com

[former_member528406]

Dear Brandon,

 

thank you so much for your interest, I will contact you directly via email and connect you with our global partner manager for more details. Best regards Nicole

[Daichi]

Hi Nicole

 

Thank you for sharing great information here! Several my clients, they are using SAP Business ByDesign are interested to use this function but they don't have BTP...

I would like to know 2 things below.

- How can I process SAP DP without BTP?

- Can we test SAP DP first in test tenant?

 

Best Regards,

Daichi W

[former_member528406]

Hello Daichi

The SAP digital payment add-on is a Software-as-a-Service offering running on SAP BTP (fka SAP Cloud Platform). There is no need for the customer to purchase BTP separately. With SAP digital payments add-on, they will get a Global Account to access BTP.

SAP Business ByDesign is integrated with SAP digital payments add-on with ByD release 2108: https://blogs.sap.com/2021/08/08/sap-business-bydesign-whats-new-21.08/

However, in ByD it is available in a so-called 'controlled availability'. I recommend to get in touch with your SAP Contact for ByD for further details.

We have testing options available for partners as well as customer, your account contact at SAP Zwillinge be able to support further.

best Nicole

[Daichi]

Hi

Thank you for your reply!

Can I ask again?

1 : "they will get a Global Account to access BTP", this means that my client get a global account when they start subscription for SAP DP?

2 :  'controlled availability', can you tell me this meaning? I've heard this for the first time sorry.

 

Best,

Daichi

 

[Martin_von_der_]

Hello Daichi

1.) Yes. When the customer subcripes SAP digital payments, he will get the necessary information concerning the Global Account and how to access it

2.) SAP Business ByDesign / SAP digital payments is general available. The term "controlled availability" mean that for the time being the SAP Business ByDesign product team wants to know which customers are using this scenario.

Kind regards, Martin

[charyaua]

Hello,

We configured S/4 digital payment add-on for one of our business units. We have a few Web Shops (ecommerce stores) on a non-sap platform (Magento). They process Credit Cards and Pay Pal. The shops directly connect to PSP (Stripe) to get the payments authorized. The next step is to send these Orders to S/4 for further processing ( Shipment, PGI, Invoice, Charge Credit Card etc.). With that background, what is the mechanism/approach to pass that Web Shops authorization information to S/4 as part of the sales order creation.

According to the documentation, Web Shops need to make direct call to Digital Payment Add-on for Prepare so that digital payment add-on has a record of this authorization.

1. Can't seem to find any API/end point documentation for the preparation step, anywhere?
2. Is that prepare step can be done within the S/4 as part of the Sales Order creation IDOC, instead of implementing this feature in all the Web shops. If  it is possible, where can we find some documentation around this.  

Appreciate a quick response on this...

Scenario

[nafran925444]

Hi Nicole,

Did you have any progress on this and have any insight on integration with Adyen ?

 

Thanks

Nafran

[former_member528406]

Hi Charlie

 

Digital Payment add-in is a SAAS solution based on Business Technology Platform that can connect to S/4HANA on premise and cloud. Best regards Nicole

[former_member528406]

Hey Nafran,

in deed and I am happy to share that Adyen is available now indirectly via Magnius payment service, they are providing the integration to Adyen. Initially credit card payments are supported. For further details, please contact Magnius under Lennart Koopmans (lkoopmans@magnius.com)

[former_member44712]

You have to consider how your customers are going to view and select their open receivables, and integrate that with the payment processing. Cloud for customer payments is one option, but there are others as well.

[Martin_von_der_]

Yes that is correct:

To pay open items by digital payments (incl. credit cards) the S/4HANA offers currently two processes:

1. The mentioned solution SAP S/4HANA Cloud for Customer Payments with two options
   
   
   
   1. End customers access the Customer Portal to initiate credit card or other digital payments
   
   
   2. Agents of the Merchant access the Customer Portal to initiate credit card payments on behalf (e.g. by phone, mail)
   
   
   
   


2. The collection of open items using Credit Card via an manual or recurring S/4HANA program

[Magnius]

@Nicole, thanks for the connection to Nafran.

Hi Nafran,

Yes, we are ready with the integration to Adyen. Are you interested to schedule a meeting to discuss? You can email me at lkoopmans@magnius.com.

I hope to hear from you soon!

Regards

Lennart Koopmans
Magnius

 

[Magnius]

Hi Salim,

Magnius is now ready with the integration to DPAO. We can currently help you with Adyen, this integration is finished. We are also partnering with PayU. We could connect them to DPAO as well for you. Please let me know if you want to discuss this with us.

You can always reach out to me at: lkoopmans@magnius.com or check out more details about our PSP integration on DPAO on our website.

Regards

Lennart Koopmans
Magnius

[chanel2023]

Hi Nicole,

Is Chase able to integrate with SAP in the US yet as a credit card payment  processor? If not direct integration, is there a gateway/middleware we can use? Is Cybersource an option in the US?

Best,

Karen

[Martin_von_der_]

Hello Karen,

Please find the already integrated Payment Service Providers / Payment Gateways in the section Integration Overview in SAP help of SAP digital payments add-on (https://help.sap.com/docs/DIGITALPAYMENTS). Cybersource is one of them. I assume Chase is offered by some PSPs as a processor. In addition please be aware that JP Morgan Chase is also working on their integration with SAP digital payments add-on.

Kind regards, Martin

[chanel2023]

Thanks Martin. I see that CyberSource is listed but only available in Europe. Is it available in the US too or not?