5 Hacks Adyen used to earn $1 Trillion in 15 years

Did you know that Peter and Arnout use a secret sauce to scale a Billion Dollar business globally and its called the “Adyen Formula”?

Adyen Formula represented the principles of how Peter and Arnout want people to Operate, a lot of which they learnt from their time at Bibit.
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It says that you can write anything in the formula, but you have to make sure that you always keep revisiting it. One of the points people will notice when they read the formula is to ‘pick up the phone’ which means that Nobody solves problems by email.​
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​Adyen was founded in 2006 by Pieter van der Does and Arnout Schuijff, two ex-founders who with a goal to revolutionise global payment processing.​
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Their vision was to create a unified payment platform that seamlessly handled various payment methods, currencies, and channels, offering businesses a one-stop shop for their international transactions.

Unique Value of this Unicorn:

1. Unified Payments Platform: Unlike its competitors, Adyen provided a one-stop shop for processing payments across multiple channels and countries. This integration simplified the payment process for merchants and enhanced the overall user experience.
2. Real-Time Data: Adyen offered real-time transaction data and analytics, enabling businesses with actionable insights and optimizing their payment systems.

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Merchants appreciated Adyen’s easy integration, strong security features, and overall support. The platform’s capacity to handle diverse payment methods and currencies in real-time was regarded as one of the best in the segment.

Financial Milestones:

• In 3 years, Adyen scaled massively, reaching approximately $50 million in processing volume, all because of its innovative approach and comprehensive payment solutions.
• In 9 years of its operations, Adyen surpassed $100 billion in annual payment volume, demonstrating the growing acceptance and effectiveness of its platform.
• In 2018, The company went public on the Amsterdam Stock Exchange, raising around $1.75 billion, highlighting its strong financial health and investor confidence.
• Crossed over $1 trillion in transactions annually in 2021, highlighting its scalability and global reach.

3 Key GTM strategies Adyen used to compete with Paypal

1. Targeting Global Merchants: Adyen’s GTM approach was centered around attracting large, international merchants who would pay a handsome price for a unified payment solution.
2. Positioning: It highlighted its ability to integrate seamlessly with existing systems, resonating with businesses seeking efficient and straightforward payment solutions.
3. Strategic Partnerships: Collaborations with tech platforms like Shopify, Magento, and Salesforce allowed Adyen to integrate its payment solution into popular e-commerce and CRM systems.
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Some Solid advice by Peter, the co-founder of Adyen: ”If you are not really sure of a decision, you usually have more time than you think. Always be a calculated risk-taker.”

5 Strategies Adyen Used to turn $50 Millions into $1.75 Billions in just 9 years:

1. Unified Solution: Adyen’s success was largely due to its comprehensive payment platform. Startups need to address complex issues with integrated solutions instead of fragments.
2. Data as your North Star: Real-time analytics and data insights were crucial to Adyen’s differentiation. Startups should use data to provide valuable insights and enhance client decision-making.
3. Adapt Globally, Act Locally: They catered to global merchants while adapting to local regulations and preferences. Startups should plan for international growth but tailor solutions to local markets.
4. Strategic Partnerships: Strategic alliances with technology platforms and financial institutions helped Adyen gain credibility and expand its reach.
5. Continuous Innovation: Commitment to innovation allowed it to stay ahead of competitors. Startups should cultivate a culture of innovation to adapt to changing market demands and technological progress.