Do e-Commerce merchants need a different MID for their online vs. storefront environments

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Merchants increasingly have both online and storefront environments. Cayan is often asked whether merchants are required to have different MIDs for online vs. storefront, or if they can both use the same merchant account.

Cayan recommends that merchants create separate MIDs for storefront vs. online transactions. The prevailing industry guidance is that merchants with an existing retail account can extend the merchant account to e-commerce, card not present transactions, within some limitations. Acquirers typically employ a "20% rule" where if a merchant has an existing Retail account - that is, the retailer should only process Card Not Present transactions up to 20% of their total sales. If a merchant exceeds the 20% rule, the account has a risk of downgrades and could possibly be shut down. When engaging with partners and merchants about unified commerce, it is best practice to consider this 20% rule to avoid these risks. When in doubt, opt to create distinct accounts for online vs. in store.

Even if merchants are using different MIDs online vs. in store, Cayan's Unified Commerce solution supports use cases like "buy online, return in store", allowing for a seamless customer and merchant experience across those two channels.

Please don’t hesitate to reach out to your Cayan representative to further discuss risk management options.