If you are planning to set up an e-commerce website, you would definitely need to integrate payment gateways. After all, accepting payment from customers is a core function of e-commerce sites. However, choosing from a wide range of payment gateways available out there, it isn’t going to be as easy as flipping pages in a book.
You need to choose a payment gateway which not only makes it easy for you to accept payments but also should be ideal for your users to pay for your products.
What are payment gateways?
However, before you dive into finding the best payment gateways for your e-commerce website, it is important to know what exactly are payment gateways to ensure that you don’t make even the slightest mistake while integrating them.
The advent of the internet has made online transaction an easy process for a majority of web users. Today, hundreds and thousands of transactions are made every second around the world. These payments are made in various different ways such as EFT transactions and PayPal. Well, a payment gateway is basically a server that connects a website with users banks in order to complete online transactions in real time. It enables a connection between a bank and a website, allowing users to make payments directly on a site and deposited right into a bank account.
How do payment gateways work?
When launching an e-commerce site, you probably know that you need a payment gateway, but you may actually understand why you need it. Or you really have no idea how it works. A payment gateway, as we discussed earlier, sets up a link between the bank and a site. When customers add their credit card or debit card details on the site, the payment gateway passes the information to the bank for verification. A response is sent by the bank in either acceptance or declined reply. The payment gateway again sends the details to the server where a relevant message is shown to the customer.
As a matter of fact, your website won’t be able to accept online payments from customers unless it has payment gateways. So, now you probably know how essential it is for your site.
Payment Gateway Requirements
There are basically three main important requirements for payment gateways.
1. A well-established website – Quite obviously you need a website that is eligible to issue a merchant account.
3. Payment gateway provider – The last yet the most important is the payment gateway provider that can connect your merchant account with your website. The payment gateway often has a high level of security as well as extremely special configuration to handle such sensitive information.
Popular payment gateways around the world:
1. Google Wallet: Google Wallet is a popular product launched by Google. Google wallet is a fast, easy and free way of sending and receiving money online. Since a majority of web users are so habitual of the big G, it isn’t difficult for them to completely trust this source and start using it. Moreover, Google recently made an announcement that it is going to introduce Google cards for the convenience of users. These cards would be used at retail businesses to make the payments.
2. WePay: WePay is another popular payment gateway available out there. It is basically a payment processor that enables online merchants to accept bank accounts and credit cards payments online. It is simple and extremely easy to use; however, the only problem with WePay is that it is only available for Americans.
3. CC Avenue: CC Avenue is another trustworthy online payment service provider. It is an India’s reputed financial institution and considered as one of the leading payment gateway providers. CC Avenue accept cash card payments, mobile payments, ATM-cum-Debit cards, debit cards, and credit cards. It also provides around-the-clock facilities and offers real-time stats and web reporting.
4. Authorize.net: Authorize.net is one of the most widely used online service providers. It has been around for the past many decades based in the USA and has gained a reputed position in the industry. Currently, Authorize.net accepts payment from credit and debit cards and handles more than 375,000 merchants presently. It also offers 24/7 services, helping you to run your business smoothly. Backed by award-winning support team, Authorize.net is an affordable small business solution.
5. PayPal: As a matter of fact, PayPal is one of the most widely used online payment providers. PayPal has more than 137 million active users with 26 different currencies and in 193 markets. It also allows accepting checks through a card swiper, and a smartphone’s camera while enabling customers to make the payment without navigating away from your website.
How to know which Payment Gateway is right for you?
While choosing a payment gateway for your online business, there are few factors to consider.
1. Types of Gateway Provider
There are basically two types of gateways – integrated and hosted. Hosted payment gateways independent entities and redirect your customers to their platforms. On the other hand, integrated payment gateways are integrated into your website and allow your customers to make the payment without navigating to their platform. Check what your requirements are and choose accordingly.
2 Customer support services
Customer support is one of the most important services whether you are running an e-commerce website or a business site. Therefore, make sure the payment gateway you choose offers around-the-clock services.
3. Consider fees
A majority of online gateway providers charge a certain amount of fees from their customers to run their platforms. However, the pricing and fees vary from one provider to another. Make sure you evaluate your budget and choose wisely.
Security is one factor that shouldn’t be compromised. Not only it is your responsibility to keep your customer’s sensitive information secure but also your payment gateway provider.
Wrapping up: Online payment gateways play a crucial role in deciding the effectiveness of your online business. Don’t ever, ever give it a back seat. Always pay close attention to the important things mentioned above before making your final decision.
Author Bio: Emma Watson is a web developer cum writer. She is associated with Wordsuccor Ltd., WordPress Ecommerce Development experts based in the USA.