Checkout Solutions: Merchant of Record Provider 

FAQs

How to Improve Checkout Experience?

Optimising the checkout funnel requires a strategic balance of friction reduction and enhancing trust signals. For global merchants, this means going beyond basic translation to deliver a fully localised experience that maximises conversion.

THG Fulfil achieves this by:

• Dynamic Localisation: Automatically serving the correct language, currency and local Alternative Payment Methods (APMs) based on the user’s location.
• Guaranteed Landed Costs: Integrating real-time tax and duty calculations (DDP) to present a final, all-inclusive price. Eliminating surprise fees at delivery, which is a primary driver of cross-border cart abandonment.
• High-Velocity Flows: Streamlining fields and optimising for mobile to reduce drop-off.
• Compliance and Security: Deploying robust fraud detection and PSD2/SCA compliance without compromising speed.

By unifying these elements, the global ecommerce checkout infrastructure removes the barriers to international purchase, delivering a domestic-equivalent experience in every market.

What is a Payment Processing System?  

A payment processing system acts as the transactional backbone of ecommerce, managing the authorisation, settlement and transfer of funds between acquiring banks and issuers.

For cross-border scale, this requires more than simple gateway functionality. THG Fulfil, deploys a compliant ecosystem that optimises authorisation rates through local acquiring and dynamic currency conversion. Crucially, the system automates the complex calculation and remittance of global sales taxed and VAT, ensuring strict regulatory compliance while protecting the merchant from fraud via advanced screening protocols.

What is Global Checkout?  

Global checkout is the integrated infrastructure that allows brands to transact seamlessly across borders, functioning as the Merchant of Record (MoR) to absorb regulatory and operational risk.  

It dynamically adapts pricing, currency, taxes and logistics options to the shopper’s location while instantly calculating HS codes, import duties and taxes to provide a guaranteed landed cost.  

THG Fulfil integrates this functionality directly into the end-to-end supply chain. By connecting real-time inventory availability with carrier routing and customs clearance logic, the platform handles the complexity of cross-border VAT and duties. This ensures that international customer enjoy the same speed, reliability, and brand experience as a domestic shopper, regardless of the regulatory complexity of their region.

What is Merchant of Record (MoR)?

A Merchant of Record (MoR) is the legal entity held financially liable for processing customer payments and managing the complex regulatory frameworks associated with global transactions.  

Unlike a simple payment gateway, an MoR assumes responsibility for the entire financial interaction, including:

• Tax and Duty Liability: Automating the calculation, collection and remittance of global sales taxes, VAT and GST to local authorities. Crucially, this covers the management of tax nexus and import duties, ensuring full compliance without the merchant needing to register in every jurisdiction.  
• Financial Compliance: Handling chargeback disputes, fraud screening and adherence to regional banking standards, such as PSD2 and SCA.
• Currency and FX: Managing dynamic currency conversion and foreign exchange risk.

THG Fulfil integrates this legal framework directly into the logistics infrastructure, enabling brands to enter new international markets immediately, bypassing the need to establish local business entities or banking relationships. By absorbing the administrative and regulatory burden of cross-border trade, the solution allows brands to scale globally while ensuring every transaction is secure, compliant and optimised for the local consumer.