For an industry that’s constantly on the move, agility and efficiency are crucial to success. No one knows this better than Sport Alliance GmbH.
As the market leader in Germany, Sport Alliance is dedicated to digitizing the fitness industry worldwide through cloud-based gym software. With over 6,000 studios and sports facilities as customers, including John Reed and Gold’s Gym brands, it provides a digital infrastructure that covers all daily gym tasks and operations.
For users to benefit from a holistic approach, the Sport Alliance ecosystem includes various partners. Among them is Magicline, an all-in-one software solution. Its Payments feature offers customers transparent processing of one-time, recurring, and terminal payments.
When it came to powering Magicline Payments, Sport Alliance found a perfect fit in Adyen. We spoke to Nico Richter (Group Product Manager at Magicline) and Dean Ranzenberger (Product Manager at Magicline for Magicline Payments) about implementing their native payment solution and the successful collaboration with Adyen.
The fitness industry faces two main challenges: complex internal processes and limited visibility on financial management. "Studio operators need to keep track of which contracts are offered and when contributions are due. They also need to establish efficient dunning processes if a member should ever become delinquent," Nico explains.
Small and medium-sized studios often need the necessary know-how or capacity to implement a payment processing system. As a result, they combine solutions from different vendors or rely on system integrators - an expensive and time-consuming approach. An ideal outcome would be an in-house solution designed to optimize and ease daily processes. This is why platforms like Magicline play an ever-increasing role in any workflows their users may have.
"We've found that many of our customers have been looking for an integrated payment solution seamlessly embedded into their existing infrastructure," Dean says. This observation is reflected in our Embedded Finance Report research, which shows that 74% of small and medium-sized businesses are interested in a payment solution integrated within a platform.
In response to this increased demand Sport Alliance looked to expand its Magicline software, choosing Adyen as its financial technology partner.
Even before the payment solution was implemented, it was clear that simplicity and ease of use were key focuses. Just like the rest of Magicline's offerings, Magicline Payments was to be seamless, allowing customers to efficiently manage their studios. The following criteria were crucial for this:
Must integrate with existing infrastructure
Technological flexibility to develop customized solutions
Ability to market the product under its own name, Magicline Payments
A competitive price
Based on these, Sport Alliance and Adyen began developing Magicline Payments.
The partnership with Adyen provides Sport Alliance with a financial technology solution tailored to the exact needs of customers, with the flexibility to adapt to each infrastructure. Dean explains the benefits: "By integrating payments into our existing infrastructure, we can offer our customers a holistic solution that covers all aspects of their business and improves their operational efficiency."
Sport Alliance also stands out for its strong focus on customized and user-friendly solutions. "Our solutions must always be suitable for both the small gym next door and fitness chains with several hundred studios across Europe," Nico notes. "This required a flexible and technically advanced partner that would allow us to develop a product tailored to the specific needs of the fitness industry."
Dean adds why Adyen was ultimately chosen: "Adyen's solution for platforms was able to meet our requirements with its detailed APIs. Another benefit is integrating terminals in addition to online payments, providing a solution for all payment streams."
Another important factor was the ability to white-label the payment solution through Adyen for Platforms. This way, Magicline Payments seamlessly aligns with the brand and user experience of Magicline software. "Last but not least, Adyen's competitive pricing compared to other providers was also a deciding factor, as well as its flexible cost contract model," adds Nico.
By working together, Sport Alliance and Adyen were able to bring to life a customized payment solution, Magicline Payments. Building upon Magicline’s software, this product was designed to tick all the boxes when it came to meeting customers’ needs:
An all-in-one solution
The simplicity of the payment solution, combined with the capabilities of Magicline software, helps studios and sports venues of all shapes and sizes manage their day-to-day challenges. Nico tells us what this looks like in practice: "Magicline allows our customers to manage failed payments and chargebacks, and automatically trigger communication about reminders. With Magicline Payments, we also offer our customers modern and secure cashless payment processing. All financial processes can be viewed in the Analytics Portal to ensure complete control and transparency."
As an all-in-one solution, Magicline Payments gives users the option to process payments on-site in addition to online payments. "Our studios can obtain modern POS terminals on a rental model that can be fully controlled from the digital POS with Cloud TSE," Dean says.
Payments tailored to the fitness industry
For small and mid-sized studios, payments are often nothing more than a time-consuming and expensive necessity. Thanks to Magicline Payments' integration, customers can process payments directly through the Sport Alliance's platform without additional integrations.
The Sport Alliance and Adyen partnership also offers a wide range of payment methods that can be activated or deactivated with just a few clicks - no matter where the venues are located.
"In Germany, we see the relevance of PayPal in particular. Internationally, recurring payments with SEPA direct debit and credit cards are in high demand," says Dean. As well as popular payment methods, demand for innovation is also on the rise. "Our self-developed pay-by-link solution for settling outstanding debts with defaulting members has become an essential part of our studios' dunning processes," Dean tells us. "Our customers' members can quickly and easily change the payment method linked to the contract in the portal, which helps ease the burden on the studio.
Developing new revenue streams
While payment processing needs differ for each customer, one thing remains the same: Payments are a strategic driver of revenue and growth. "Integrating payments into our platform means a new revenue stream, both for our customers and for us as Sport Alliance," says Nico.
Together with Adyen, Sport Alliance is ready for the future and can not only keep up with its customers' needs, but can actively help them grow.