There has been massive growth in the eCommerce landscape this past few years. This has led to many efficient and seamless payment options available for people to choose from. When choosing a payment gateway, it becomes vital that you make sure the payment system ensures a personalized experience for your customers.
Let’s start with the basics.
What is an eCommerce Payment Gateway?
A payment gateway is a software application that enables the secure transfer of credit card information from a website to the credit card payment network for eCommerce payment processing.
Yes, we know that online transactions appear to be quick and straightforward on the plain surface. The fact is, in reality, there is a number of processes that work together at the backend to move funds seamlessly and securely from buyer to seller.
How does an eCommerce Payment Gateway Work?
Payment gateways are used to make payment processing effective, secure, and hassle-free. Instead of transmitting payments, the payment gateway approves the funds that are transferred to the seller, and do as such in a safe and secure way for the buyer.
Factors to Consider When Choosing An eCommerce Payment Gateway
Before making any decision to choose an eCommerce payment gateway provider, depending upon the business and functional requirements for the eCommerce business, given below are the factors which should be considered:
Choose an Appropriate Payment Flow
As the business of your client grows, they will need a payment gateway that is able to scale along easily.
- A site with an integrated payment form is used to send information to a secure payment gateway.
- iFrame or redirect for payments.
- Having an Escrow system.
Your Customers Should Feel Safe and Secure
A lot of the bigger companies in the eCommerce industry have taken the online shopping experience a little further. Customer expectations are important these days. Customers will expect a high-quality website that runs on the most secure payment options. Your customers want to feel safe.
Ensure Effective Transactions
More than 25% of customers will abandon a purchase if they are forced to register for an account to buy the products. Your customers should be able to have an option that allows for a “guest” checkout.
Make Checkout Easy on All Devices
Studies reflect 79% of smartphone users have made a purchase online using their mobile devices in the last 6 months of 2021 and 62.24% of people owned a mobile phone in 2021. The fact is that these figures are increasing daily.
Multiple Features to Choose From
You want a payment gateway to offer several features. The features should include a global solution and accept several credit cards, debit cards, and currencies, based on different countries.
Easy Integration Process
You want to use a payment gateway that will be easy to integrate with your online store. Most payment gateways provide detailed instructions on integration to popular eCommerce platforms like WooCommerce, Shopify and Magento, etc. Make sure the payment gateway you are looking at also gives you instructions.
Offers A Merchant Account
It is crucial to have a merchant account to receive funds through an online payment gateway. A merchant account is used when customers make an online payment through a payment gateway. Your money is temporarily transferred to a separate retailer account and stored. It is stored until it gets approved by the customer’s processing bank.
Recurring billing allows retailers to set up an automatic billing cycle for their customers, making it an absolute necessity for companies with monthly payment plans. Subscription-based services like Netflix run on a recurring payment model.
Mobile payments will soon replace credit card buying. This is ab important feature to have.
24×7 Customer Support
Several payment gateway services limit their support to tickets or emails. You will want to choose a payment gateway that offers good customer support. You will need live technical support, at least within standard working hours so that they can quickly resolve any technical problems.
Selecting and integrating the right payment gateway provider isn’t that tough or cost-restrictive if retailers understand the business needs. By doing it right, they can have an immediate and positive impact on their brand’s customer experience and profitability. All they need is to consider the above-discussed factors before choosing and implementing the right payment gateway provider.