Optimising Payment Solutions for MotorSport Vision

Client: MotorSport Vision

Sector: Automotive

Cost Category: Merchant Card Fees

MotorSport Vision (MSV), Europe’s largest motor racing circuit operator, sought a solution to streamline their merchant card processing, integrate multiple revenue streams, and improve real-time reporting efficiency.

ERA Group experts Jon Barras and Paul Davidson leveraged their expertise within Payments & Banking to propose a solution which allowed for MSV to retain full control.

The client

MotorSport Vision (MSV) is a privately owned UK company led by Chief Executive and former Formula One driver Jonathan Palmer, alongside Sir Peter Ogden. As Europe’s largest motor racing circuit operator, MSV manages six venues in the UK and one in Spain, with plans to establish a self-sufficient eco circuit in northeast France.

MSV’s diverse portfolio includes organising the British Superbike and GB3 Championships, as well as hosting the renowned PalmerSport corporate driving event at its Bedford Autodrome facility.

The Challenge

MSV had been independently reviewing their Merchant Card Fees and received several proposals promising significant cost savings and improved efficiency. However, these proposals didn’t allow MSV to use their own software for better integration, flexibility, control, and real-time reporting.

ERA client managers Keith McGregor and David Keating identified potential improvements and enlisted ERA Banking experts Jon Barras and Paul Davidson to review the proposals. Through a fact-finding exercise, they determined that MSV needed a solution that would:

• Consolidate separate systems for ticketing, hospitality, and merchandising, reducing time costs from non-integrated solutions.
• Allow flexible integrations to switch card terminals between revenue streams and race circuits, streamlining processes and cutting costs.
• Reduce reconciliation time and improve real-time visibility of sales revenue.

ERA proposed using the improved pricing as a baseline to identify further cost reductions and efficiencies on a success fee basis. The project scope included merchant card acquiring, gateway services, and payment terminal cost options.

The Solution

Jon and Paul conducted a market review for MSV and proposed several business case options that would:

• Streamline back-office processes and give MSV control by using in-house APIs to flexibly integrate the latest Android terminals directly with the acquirer. This allowed MSV to easily move card terminals between revenue streams and race circuits, even weekly during the season.
• Adapt and grow with MSV’s changing needs.
• Simplify reconciliation and use data flows to allocate costs to accounts and events.

While savings were not the primary goal, ERA negotiated savings of 3% to 35% on all solution components (Acquiring, Gateway, and Terminal Costs) with the incumbent supplier and selected alternatives.

What’s next?

After conducting supplier introduction meetings with MSV, a decision was made to implement innovative technology that was pioneering in the UK market, offering features not widely available in existing platforms. This solution empowered MSV to manage their APIs and seamlessly integrate with card acquirers’ terminals.

During the go-live phase, a concern in the USA regarding Chinese data flows prompted the chosen acquirer to unexpectedly halt further integrations. ERA assisted MSV in investigating the issue and, in collaboration with other UK acquirers, determined that the data risk was unfounded. We facilitated MSV’s transition to an alternative provider for card-present transactions to mitigate any potential accreditation withdrawals.

To further safeguard against potential disruptions, rather than relying on the acquirer’s terminal fleet, Jon Barras leveraged his industry connections to enable MSV to directly purchase the latest Android terminals from the acquirer’s suppliers. This approach ensured MSV retained control and achieved significant cost savings over the mid- and long-term.

Throughout the implementation and ongoing support phases, ERA closely collaborated with MSV to ensure selected suppliers met evolving needs and supported expansion into new territories such as Spain. Jon Barras’ international network played a pivotal role, enabling MSV to access specialised expertise and operate efficiently at reduced costs and risks.

Looking ahead, while the current solution meets immediate requirements, MSV views it as a crucial step towards future advancements. ERA remains committed to supporting MSV in further optimising and advancing their payment solutions

Download the Case Study PDF

MotorSport Vision (MSV), Europe’s largest motor racing circuit operator, sought a solution to streamline their merchant card processing, integrate multiple revenue streams, and improve real-time reporting efficiency.

ERA Group experts Jon Barras and Paul Davidson leveraged their expertise within Payments & Banking to propose a solution which allowed for MSV to retain full control.