Let’s start with a very basic scenario, where a subsidiary of The Bike Company only needs to use part of the fully integrated scenario that we’ve seen previously. For instance, using the SAP digital payments add-on exclusively to update the payment card registration details of the business partner.
In this business scenario, the sales representative in charge of creating or updating the master data of the business partner needs to complete the payment card details. As usual, the sales representative will carry out the process in SAP S/4HANA using the available standard apps.
As soon as they try to add a new payment card, the SAP digital payments add-on will be automatically triggered, so that the payment card details can be entered seamlessly in a secure manner for an immediate transfer to the PSP. Upon completion of the update, the card details will only be accessible in the business partner master data of SAP S/4HANA in a tokenized format. All the relevant information will be safely stored by the PSP and available for any transaction where it could be required.
Sales Business Scenarios Variants:
The Bike Company is also considering using the SAP digital payments add-on for one-time payments in cases where the payment card data should not be stored, such as handling one-time customers. These customers are managed through a generic business partner number with very limited details. In this scenario, payment card details cannot be stored in the master data and must be entered separately for each sales order.
This means that the sales representative does not necessarily have to register a credit card before processing the sales order. Instead, the payment card will be used only once, to trigger the payment for the order items. In this case, the tokenized credit card is not stored in the business partner record in SAP S/4HANA.
In this basic business scenario, the sales representative is responsible for manually inputting payment information into the SAP S/4HANA system. This action will then prompt the SAP digital payments add-on to communicate with the payment service provider as needed. This business scenario can be combined with SAP Convergent Billing, the SAP solution enabling complex pricing models and subscriptions targeted particularly at the telecommunications, media, and utilities industries. This integration provides a seamless end-to-end solution by encompassing the billing and collection processes.
A more sophisticated version of this basic business scenario involves incorporating other external systems before integrating SAP S/4HANA, to streamline the automated collection of payment information. This is commonly seen in online sales, where platforms such as SAP Commerce Cloud or an external application (such as an online store) can directly connect with the SAP digital payments add-on to trigger the payment card authorization from the payment service provider. This scenario applies to both payments using a payment card and external payments.
In the context of internet sales, when implementing an online shop, it’s possible to connect it directly to the payment service provider to initiate the payment, thereby providing an even more agile response to the customer. Again, this solution works similarly for payment cards or external payments.
Accounts Receivable Business Scenario Variants:
Other possible business scenarios for the SAP digital payments add-on involve implementing it solely for its accounts receivable functionality. For instance, the payment service provider is used only to transfer the payment advice, including all necessary details for reconciling outstanding invoices and the bank statement. Any payment card registration, authorization, or actual payment was previously conducted without the involvement of the SAP digital payments add-on.
Solution Integration Variants:
As we’ve seen from the previous examples, integrating the SAP digital payments add-on seamlessly in different ways and with different modules can greatly enhance the efficiency and effectiveness of every company’s operation. Whether the focus is financials or sales, the SAP digital payments add-on can adapt to each unique business case and effectively communicate with payment service providers to better meet each company's specific needs.
The following is a summary of the various integration solutions with the SAP digital payments add-on. Bear in mind that each solution requires a specific implementation approach:
- SAP Convergent Invoicing
- SAP Commerce Cloud
- SAP Central Finance
- SAP S/4HANA Cloud for customer payments
- SAP Subscription Billing
- SAP Contract Accounting
- External applications (online shop)
For instance, this could be an example of an end-to-end integration between the SAP digital payments add-on and SAP S/4HANA Cloud for customer payments. In this case, the customer logs in to SAP S/4HANA Cloud for customer payments to update their payment card details first. Subsequently, the card will be available for them to log in again as needed to select the open items they wish to pay. The steps that follow in the process remain unchanged: payment capture, payment advice remittance, bank reconciliation, and so forth.
Additional Payment Method Variants:
In parallel to the integration with SAP solutions, the SAP digital payments add-on is enabled to support the most recent and upcoming payment methods, including:
- Point of sale (POS) payments: credit card terminals, cash registers, and so on.
- Payments by link or QR codes
- Crypto payments
- External payment pages
For example, in the case of payments by link, the actual link or QR code used to process the payment will be generated by the SAP digital payments add-on:
- During invoicing (or further processing such as dunning, collections, down payments…) a specific URL / QR Code is requested and created from the SAP digital payments add-on.
- This QR Code is printed on the invoice (paper/email) and sent to the customer.
- The customer scans the Code and the Payment Page provided by Digital Payments is opening.
- The customer can use one of the offered digital payment types to pay the invoice. The payment will be executed and transferred via the digital advice to the financial system.