Crédit Agricole and Worldline launch CAWL, their joint payment company for merchants

A year after announcing talks to set up a joint venture, Crédit Agricole and Worldline have announced the creation of CAWL, a payment solutions company set to become a French leader in merchant payments. This announcement reinforces the cooperation between the two players, after an eventful year for the financial services specialist.

FACTS

• On April 8, Crédit Agricole and Worldline unveiled their new payment brand for merchants in France, called CAWL.

• CAWL will offer all-in-one payment services, providing access to multi-country, multi-currency, multi-scheme services and innovative payment methods. In particular, the company will leverage a pan-European acquiring platform.

• These solutions will be tailored to merchants' needs, and will include elements such as:

  • Acceptance management;

  • Acquisition management;

  • Industry-specific features;

  • And offers by business vertical.

• CAWL has developed an offer that can be adapted to any type of merchant. For large retailers, for example, the company is planning omnichannel offers with dedicated sales teams and expertise for each business sector. An offer for professionals and SMEs is also planned.

• Finally, payment solutions will be developed:

• For e-commerce, with a platform equipped with functionalities enabling a fluid, omnichannel purchasing experience;

• For instore, with SmartPOS solutions and latest-generation Android POS terminals.

• Last month, the European Commission approved the creation of the joint venture. CAWL was launched on March 19 and began operations last week. It aims to employ 250 people in the short term.

• However, CAWL still needs to obtain approval from the ACPR, as well as licenses for the schemes present in France: CB, Visa and Mastercard.

• CAWL's offer should be marketed from January 1, 2025.

CHALLENGES

• Benefit from the expertise of two major players: CAWL's strategy is to capitalize on Worldline's services and technological expertise, and the distribution power of the Crédit Agricole Group, in order to build offers that are consistent with the reality of each business sector.

• Simplifying the life of merchants: With this joint venture, Worldline and Crédit Agricole hope to simplify the daily lives of merchants and enable them to concentrate more on their growth-generating activities. CAWL's payment solutions should also help optimize sales and prevent the risk of fraud.

• Become the French leader in payment solutions for merchants: The partner companies are clearly committed to making CAWL a major player in merchant payments in France. In addition to the existing customers of the two parent companies, CAWL intends to extend its prospecting to other companies.

MARKET PERSPECTIVE

• Around a year ago, Crédit Agricole and Worldline entered into negotiations for the creation of this new company. The objectives and strategies are still the same, and both players still have the ambition of making this partnership a French leader in payments.

• The cooperation between Crédit Agricole and Worldline has been strengthened since the joint venture was announced, with the bank increasing its stake in Worldline to 7%. This came at a time when the financial services company was experiencing difficulties, particularly in terms of its stock market performance.