How the new iDEAL impacts customer experience on platforms and marketplaces

This year the new iDEAL will be rolled out. What does the new and improved version of this popular online payment method in the Netherlands have to offer, how will it benefit consumers and merchants, and how can marketplaces and platforms prepare? Let’s shed some light on this.

The iDEAL payment method was launched in 2005 by a consortium of Dutch banks: ABN AMRO, ING Bank and Rabobank. It was a major gamechanger back then, as iDEAL provided a single system for online payments that could be leveraged by all banks. Plus iDEAL allowed consumers to make online payments significantly easier, faster and safer. By using their banking app or online banking platform, consumers could make a direct transfer from their bank account to a merchant’s bank account.

1.2 billion transactions... and counting

Thanks to its accessible and user-friendly interface, iDEAL has become the most popular online payment option in the Netherlands, accounting for more than 1.2 billion transactions on an annual basis. This is on average 3.5 million transactions per day, with up to 6 million transactions on peak days. Also, iDEAL covers about 75% of the Dutch market for online payments in e-commerce. Needless to say, iDEAL is crucial for Dutch consumers, merchants and platforms alike.

What does the new iDEAL entail?

So what improvements will the new iDEAL bring? The most significant changes from the new iDEAL are:

• New payment page – Consumer will no longer select their bank within the platform or marketplace but on a special iDEAL page. This new payment page allows for new functionalities like the iDEAL QR-code which can be scanned directly with the bank’s app and approve the payment using strong authentication methods such as facial recognition.
• Personal profile – the new iDEAL provides the option to create a personal profile in which consumers can register and store their payment details, preferences and information like their delivery address. 
• New payment options - iDEAL is also working on additional payment options like 'iDEAL in3' (payment in instalments) which has been launched in April 2024 after a pilot period. Also Buy Now Pay Later, and automatic monthly payments are considered.

When and how to prepare your platform for the new iDEAL?

For now no action is required. The current frictionless experience (bank selection on the payment page of the platform or marketplace) will be available till end of the year. OPP will prepare for the new iDEAL before 1st July 2024. From that moment you can update towards the new iDEAL by deleting the bank selection (issuerID) from your payment page.

After July 2024 we will start preparing to move to the new iDEAL with the goal to have all platforms and marketplaces updated to the new iDEAL before the end of the year. If required we can waive this requirement for another 3 months.

What else is coming up?

Besides the new iDEAL, there are more exciting developments to share around this native Dutch innovation. iDEAL has been sold to the European Payments Initiative who will launch a new payment method called Wero, a uniform digital wallet solution for all European countries, which among several European banks is also supported by Worldline. Wero will be launched as an alternative to existing digital payment methods and should streamline P2P, consumer-to-business, online, mobile, and point-of-sale transactions.

iDEAL will ultimately in the long term be integrated into this new payment solution. Wero is set to be launched next year in Belgium, France, Germany and the Netherlands. Afterwards, it will be rolled out to other European countries. Naturally, we will keep you posted on any relevant developments regarding Wero and how to integrate and leverage this digital wallet on your platform or marketplace.