Digital River

The company's core business revolves around its role as a merchant of record, which means it takes on the financial and legal responsibilities of online selling for its clients. This model simplifies global commerce for brands by managing payments, taxes, fraud, and compliance, thereby reducing risk and complexity. Digital River's services are designed for established brands and fast-growing companies that require a robust infrastructure to manage international sales and navigate the intricate web of local regulations and payment preferences. Revenue is generated by taking a percentage of the transaction value or through a combination of recurring and usage-based fees.

The company's platform integrates payments, tax calculation, fraud mitigation, and regulatory compliance into a single solution. One of its key features is the ability to handle the complexities of cross-border sales, automatically calculating and remitting taxes like VAT and sales tax, which is a significant burden for individual sellers. The platform also offers localized customer experiences, including local currencies and preferred payment methods, which helps brands increase conversion rates in international markets. After a period as a publicly traded company on NASDAQ, Digital River was taken private by Siris Capital Group in 2015, allowing the company to refocus its strategy on its core merchant of record and global payments services.