Challenge

Tiendanube became a leading ecommerce platform in Argentina, Brazil, Mexico, and other Latin American markets by offering merchants an integrated solution that combines online storefronts, marketing tools, shipping services, and an embedded payment system, Pago Nube, tailored to local payment preferences. As the company prepared to launch Pago Nube in Mexico in 2025, it sought a new partner to support its embedded payment system offering in that market—one that could meet the specific needs of Mexican businesses and shoppers.

Given the rapid growth of digital commerce in Mexico, the Tiendanube’s financial services team wanted to move fast. The company prioritized developer-friendly technology that offered customizable payment flows and options for automated payouts, helping reduce the time its finance team spent answering merchants’ questions about when and how they would receive funds. The team also wanted a simplified onboarding experience so new merchants could start accepting payments quickly, powered by Pago Nube.

Equally important, Pago Nube needed payment tools designed for the realities of the Mexico market. The platform needed to support cash-based payment methods that remain popular among underbanked consumers, while also providing sophisticated fraud protection against common threats such as card testing, BIN attacks, and phishing storefronts.

“Our non-negotiable requirements were exceptional speed to market, support for key payment methods, robust fraud tools that don’t kill conversion, and high authorization rates,” said Dan Pinchasi, Tiendanube’s head of Pago Nube Mexico.

Solution

In January 2025, Tiendanube integrated Stripe Connect to support its expansion into Mexico.

Using Stripe’s straightforward documentation, the Tiendanube team easily integrated Connect into its platform to power the white-labeled Pago Nube payment system. With Connect’s flexible configuration, Tiendanube was able to manage fund flows across the platform by deducting the Tiendanube platform fee and Stripe’s processing fees before routing the remaining amount into the merchant’s dedicated account. Tiendanube also used Connect’s payout scheduling options to give merchants the flexibility to receive automated daily payouts or initiate manual withdrawals through the Tiendanube dashboard.

Rather than redirecting merchants to a third-party site for onboarding, Tiendanube built a custom onboarding flow with the Stripe APIs to preserve a fully white-labeled experience. Through that system, Tiendanube auto-populates fields using existing merchant profile data, reducing onboarding friction, while Stripe manages compliance requirements such as Know Your Customer (KYC) verification.

With its Connect integration, Tiendanube gained access to payment processing through Stripe Payments. Using the Payment Element, a secure, embeddable UI component, Tiendanube enabled several payment methods, including credit and debit cards; OXXO, a cash-based voucher system; Meses Sin Intereses (MSI), which features interest-free installments; and digital wallets such as Apple Pay and Google Pay.

Tiendanube also adopted Stripe Radar for Fraud Teams to combat fraudulent transactions and reduce chargebacks, tailoring rules and verification standards to local risk patterns. For example, the company set up automated real-time alerts for suspected card testing activity, enabling its risk team to block bot attacks within seconds. Tiendanube also required 3DS verification for high-value purchases or transactions from high-risk geographic zones within Mexico. To avoid blocking legitimate purchases from loyal customers, Tiendanube configured the Dashboard to approve trusted repeat customers.

A few months after launching Pago Nube in Mexico, Tiendanube adopted Authorization Boost, Stripe’s AI-powered acceptance optimization product. Authorization Boost combines Adaptive Acceptance, which uses AI to identify and retry false declines; card account updater, which automatically updates details for expired cards; and network tokens, which replace a card's primary account number with a unique, secure identifier.

Results

Connect accelerates Tiendanube’s time to market by 66%

Based on launches in other countries using other payment providers, Tiendanube initially estimated that launching in Mexico would take six months. Instead, it took only eight weeks, which Tiendanube attributes to Stripe’s flexible technology and intuitive documentation. “That four-month head start allowed us to capture the market during a period of critical growth,” Pinchasi said.

Simplified onboarding helps merchants reach their first transaction faster

Tiendanube has reduced merchants’ time to the first transaction with its customized Connect onboarding. Merchants navigate a localized, user-friendly interface, while Stripe’s automated KYC engine works in the background. “Merchants can start transacting within seconds of creating their Tiendanube account, thanks to Stripe,” Pinchasi said.

Tiendanube’s customer support team spends 40% less time on payment inquiries

By implementing self-service merchant payouts and automated daily payouts through Connect, Tiendanube Mexico has significantly reduced its operational overhead. As a result, the company’s support team spends 40% less time handling payment-related inquiries than teams in markets where Tiendanube uses other payment providers.

Pago Nube captures 65% of its active merchants’ share of wallet in Mexico

Although Tiendanube lets merchants choose from multiple payment processors, Pago Nube now accounts for more than 65% of the total volume of its active Tiendanube customers’ share of wallet in Mexico, making the branded payment platform a core revenue driver. “The high adoption rate is a direct result of the consumer confidence that both Pago Nube and Stripe’s infrastructures provide,” Pinchasi said.

Tiendanube scales fraud protection and reduces chargebacks with a lean risk team

Tiendanube has used Radar for Fraud teams to achieve rapid growth in Mexico without needing to scale its risk team at the same pace. “The vast majority of transactions are approved instantly, while high-risk attempts are blocked before they even hit the bank,” Pinchasi said.

The ability to customize and refine rules has helped Tiendanube maintain a low rate of chargebacks. “We are so confident in our low chargeback rates that we offer a chargeback guarantee, providing our merchants with a level of protection that was previously only available to enterprise-level retailers,” Pinchasi said.

Payment acceptance rate jumps from 65% to 88% with Authorization Boost

After Tiendanube adopted Authorization Boost in April 2025, Pago Nube’s payment acceptance rate rose from approximately 65% to 88% within three months, much higher than the estimated norm of 70% for online businesses in Mexico.