Automate Recurring Payments to Focus on Core Business: Toku

Q: What challenges has Toku seen in the sector and how does it help its clients solve them?

A: Toku is a technology platform designed for companies collecting revenue in LATAM businesses with recurring payments. We help companies collect more money at a lower cost while offering a better payment experience. Many organizations in Latin America still lack the necessary tools to optimize their collections. As a result, these companies are forced to divert attention from their core mission, which is where Toku steps in. Our products have been adopted in the insurance, credit, real estate, telecommunications, and education sectors. Our products have seen more adoption in the insurance, credit, and real estate sectors, but they are also popular in the telecommunications and education sectors.

Our goal is to relieve Latin American companies of the burden of collections, allowing them to focus on their core business. A university, for example, should concentrate on offering top-notch education rather than reminding students to pay. Similarly, an insurance company should focus on providing peace of mind to its customers, not running a call center to collect payments.

Q: How does Toku’s strategy differ from those of its competitors?

A: What makes Toku different and unique is that we improve our clients' payment processes, with the lowest cost and the highest security standards, while offering an exceptional customer experience. We do this by being Our platform is a technological integrator that consolidates various payment methods into a single portal. We offer a white-label payment portal customized for each client so that the end user does not notice Toku involved in the payment process. The portal is integrated into different sales channels, whether it is a website, app, payment link, or even through a call center. Through this portal, we offer multiple payment methods, providing a seamless payment experience for customers.

Q: A large portion of the Mexican population still uses cash. How does Toku accommodate this type of payment?

A: We cater to a wide range of payment methods, including cash. In Mexico and other parts of Latin America, many customers still prefer paying with cash, so we have developed technology to make cash payments more efficient and easier. We manage bank transfers, card payments, and cash payments using codes. Our goal is to penetrate all segments of the Mexican market while ensuring we meet the needs of every customer, including those who prefer to pay with cash.

Q: How does Toku help companies with the reconciliation of payments?

A: We help streamline the reconciliation process through our intelligent payment station. One of our key value propositions is that we help optimize collections. Our platform increases the amount collected and speeds up the time it takes for companies to receive payments. We also reduce costs related to IT maintenance, payment processing fees, and labor costs, especially for companies with large call centers. By automating these processes, companies no longer need as much manpower for repetitive tasks.

Q: How does Toku ensure the security and privacy of payment data?

A: Security is critical for us, especially for payments. We minimize the amount of user and client information we handle, and all the data is encrypted. We also maintain a strict separation between test environments and real operations. Our PCI Compliance Level 1 certification guarantees that we use the highest protection standards for handling sensitive financial data. Our clients can trust that their information is secure with us.

Q: What trends do you see emerging in payment security?

A: With over 100 clients in Mexico from various industries — like insurance, finance, real estate, and education — we have gained a deep understanding of the challenges our clients face when collecting and reconciling payments. Our platform helps them comply with regulations, whether it is tax reporting or financial oversight by Mexico’s National Banking and Securities Commission (CNBV).

Q: What technologies and strategies do you use for contacting customers when payments are overdue?

A: Our platform is designed to streamline contact with customers. When a payment is delayed, we use AI to contact customers through the channel that suits them best — whether it is WhatsApp, SMS, or email. Some companies send payment collectors door to door, which is costly and inefficient. Our technology helps companies automate these processes.

For notifications, depending on the client's capacity, we can either integrate into their systems or operate independently by uploading their customer databases to our platform. Once we have the customer data, we contact customers to remind them of upcoming payments, failed payments, or suggest alternative payment methods.

Q: How does the real-time reconciliation feature transform the way businesses manage their cash flow and decision-making processes?

A: Real-time reconciliation allows businesses to make faster, more informed decisions. By having up-to-date information on payments, they can better manage cash flow, allocate resources, and adjust strategies accordingly. This efficiency improves overall operations.

We are constantly developing new products in response to our clients' needs. For example, one of our latest launches is the orchestration of interest-free installment payments. This allows companies to offer customers the option to pay in installments without interest, which is particularly beneficial for industries like insurance and finance.

Q: What milestones does Toku need to meet to have a successful 2024?

A: By the end of this year, we aim to triple our operations in Mexico, where we already collaborate with some of the largest companies, such as GNP, Mapfre GND Maps, Atlas, and HDI Seguros. We plan to continue expanding in this direction, building on the momentum we have gained. Toku has raised US$20 million to strengthen our services, with the most recent funding coming from a Series A round backed by Google's Gradient Ventures, which has fueled our operational growth.

In the long term, we will continue to focus on keeping our customers at the center of everything we do. We strive to be the trusted financial platform for Latin American businesses, enabling them to focus on their growth while we support their collection and payment processes at a lower cost, with an exceptional user experience and top-notch security standards.

Toku is a financial platform that allows companies to facilitate payment processing and automate collection.