Online payments have become a regular part of our life. We do online transactions, not just with debit or credit cards, but also with a unified payments interface (UPI), net banking, and wallets.
User experience provided by payment gateways
Selecting payment gateway
Nine finest global payment gateways
Online payment is a basic function provided by an e-commerce platform by connecting with a payment gateway. A payment gateway is needed to collect payments from consumers if you have an e-commerce business or sell items on the website.
A payment gateway is simply an e-commerce service that processes, verifies and accepts or declines direct payments or credit card processing, on behalf of merchants. It’s like a tunnel that connects a bank account to the platform where you need to transfer the money. It is a software that authorises online transactions through different payment modes such as net banking, credit card, debit card, UPI or online wallets. It fulfils an important role in e-commerce transaction processes between a merchant and a customer and it is used to facilitate online transactions or get approvals from the issuer bank.
If you are buying a shirt from a popular digital platform like Amazon, a payment gateway helps you process the transaction by transferring your money to Amazon.
You'll need a payment gateway to collect payments from consumers. A few years ago, setting up a payment gateway was a monumental undertaking. It used to take a lot of paperwork, verification, massive setup feeds, and technical know-how. Today, it is quite simple to set up a payment gateway for selling your stuff.
The right payment gateway is the key to a superior checkout experience. A solid payment gateway manages the cash flow of your company. It also provides your e-commerce consumers with the finest user experience possible.
The leading causes of shopping cart abandonment are directly related to the experiences in using payment gateways.
28% of customers abandon a shopping cart for a complicated checkout process
19% of customers do not trust the site with their credit/debit card information
8% of customers cannot find their preferred payment option on the site
4% of credit cards get declined due to technical errors
With all of this in mind, how can you choose a payment gateway that maximises ease, minimises risk, and ensures the security of your client’s information?
We'll make things simpler for you. Let's look at how to choose the best payment gateway for your company. Here are some crucial points to consider before selecting the payment gateway:
Security should be the main focus. At the very least, it should be integrated with 3D security and adhere to the PCI Data Security Standard (PCI DSS).
Customer experience is about buyers wanting a seamless and simple shopping experience, in addition to security. More clients do online shopping, so you must provide them with an experience that balances what they are used to from larger sites. If purchasing demands too much time, effort, or personal information, customers might abandon it and then look elsewhere.
Domestic and international payment acceptance is crucial because we live and work in an international market. Make sure that you are not restricting your firm to local sales.
Be mindful of the fees, payment time, ease of website integration and multi-currency. Check if your payment gateway is within your company's budget. It should take less time to credit funds to your bank account. Check how rewards are produced before integrating, whether on a weekly or bi-weekly basis.
Before signing, ensure that the integration is straightforward or that it can quickly produce a custom-coded solution for your platform.
If your consumers are located outside of the nation or use a different currency, your payment gateway should be capable of processing payments across currencies, locations, platforms, and alternative payment options.
We carefully selected the nine finest global payment gateways to enable small enterprises to make an acceptable decision based on quality standards and rules, and to safeguard the accessible sensitive data.
1. PayPal was created in 1999 and accepts MasterCard and credit card payments. It is free for purchasers, but retailers must pay transfer costs when accepting Visa payments through PayPal. There are no startup costs, gateway fees, or monthly charges with this e-commerce payment gateway.
One of the benefits is that retailers do not have to pay until the sale is completed. Customers using PayPal Standard can leave the site to check out and sign in to their PayPal account. They can also pay with a credit card or Visa without creating an account. PayPal Pro allows retailers to create and customise their complete checkout experience so that customers do not have to leave the site. Credit cards can also be accepted by fax, mail, or phone.
PayPal’s payment gateway fee is 2.9% per transaction, with no monthly fees.
The top brands using PayPal payment gateway are Adidas, Disney, ASOS and Etsy.
2. Amazon Pay provides a safe checkout experience that is supported by Amazon's technology, innovation, and rigorous risk management services.
The consumer is promptly identified and empowered to execute a transaction with a single login, a feature that is also available on mobile devices. Amazon's A-to-Z Guarantee ensures the security of these transactions while charging no additional costs. Clients are only charged a certain percentage of the money sent, as is the case with most payment gateways.
Merchants will also discover a fully-featured e-commerce suite within their Amazon Payments package, which will help them market, sell, and manage items and orders. Amazon Payments optimises its marketplace activities in this manner, converting them into dependable merchants with excellent reputations.
Amazon payment gateway fees: 2.9% + $0.30 per transaction for domestic plus tax where applicable. They also charge for Cross-border transactions that are subject to an additional fee of 3.9%
Top brands using Amazon Pay Payment Gateway: Lenovo, Shinola, Cymax.
3. 2CheckOut is yet another full-featured payment processing solution that features several top lists and categories.
This well-known US-based payment gateway enables businesses to take mobile and online payments from buyers all around the world, with no worries about delays or security.
2CheckOut has served over 50k merchants, established over 300 unique fraud protection rules, and achieved Level 1 PCI compliance in its 16 years on the market. It accepts eight different payment methods, 87 different currencies, 15 different languages, and operates in over 200 global marketplaces.
Because of the platform's Payment Card Industry (PCI) Data Security Standard, each transaction submitted into 2Checkout is guaranteed to be safe.
2ChecOut payment gateway fees: 3.5% + $0.35 per transaction for their basic plan.
Top brands using 2CheckOut payment gateway: Advisera, Bitdefender, WhiteShark media
4. PayU is the creation of an Indian payment processing company. It is one of the most basic payment options, meant to fill in the gaps left by more complicated service providers.
PayU offers one of the highest conversion rates (12%) and accepts over 45 payment options (Net-Banking, 8+ bank EMIs, 6 Wallets, Amex, Rupay, International Cards). PayuBiz's APIs and SDKs facilitate the integration of this platform with any website, application, or relevant third-party system.
PayU provides a single integrated solution that allows customers to begin receiving local payments in all of its locations. International retailers may utilise it as a payment service provider and begin accepting payments in all 16 markets, potentially reaching over 2.2 billion people.
PayU has over 250 local payment options.
PayU Payment Gateway fees: For PayUBiz, it’s between 2.20% to 3.90% based on the plan. For PayUMoney, it’s 2%
The top brands using payment gateway are Myntra, BookMyShow, Ola, goIbibo.com etc
5. Skrill is a payment gateway for both companies and individuals established in the United Kingdom. Skrill allows you to perform international transactions and pay for items and services from anywhere via a specialised mobile app. Active users can apply for a prepaid Master card and use it to withdraw assets/purchase items wherever they are.
Skrill enables customers to connect to any bank account in the world and protects the security of payment information. There are no fees for opening an account with Skrill, however, there is a set % fee for transferring or receiving money.
Skrill payment gateway supports in-app payments, integrates with third-party shopping carts and hosts a payment page.
Skrill processing fees: 1.9% transaction fee.
Skrill’s payment gateway is being integrated by several global online brands, such as Facebook, Skype and eBay
6. Stripe creates the most powerful and adaptable technologies for online commerce. Stripe's painstakingly crafted application programming interfaces (APIs). It has unparalleled capabilities that assist you in creating the finest possible offering for your customers. Stripe is used by millions of the world's most inventive digital firms to help them scale faster and more efficiently.
Stripe provides a customised checkout experience: The user interface (UI) toolkit provides front-end, design, and analytics aspects from Stripe's cumulative expertise that you can use to develop and personalise payment forms.
It has varied payment options. You may support the payment gateway of your customer's choice because Stripe provides several alternatives. It accepts all major credit and debit cards in every nation. Customers who wish to pay without exposing their credit card information can use digital wallets such as Alipay, Amex Express Checkout, and Apple Pay.
It has a secured payment processing. Stripe streamlines revenue routing channels by direct connections with card networks such as Visa, MasterCard and American Express.
Stripe payment gateway fees: 2.9% transaction fees + $0.30 monthly charges
Top brands using Stripe payment gateway are Warby Parker, Target, ShopStyle and OpenTable.
7. Braintree, a PayPal branch is a Chicago-based startup that specialises in mobile and web payment solutions for e-commerce businesses. The Braintree payment gateway is one of the most secure and dependable payment methods available today.
The Braintree payment gateway extension allows the administrator to add payment methods for clients. This module is intended to make the payment process easier for any online shop. Customers can use this module to complete transactions with any type of credit card without being sent to a payment gateway website.
The Braintree environment adheres to the most stringent industry standards and norms, such as level 1 PCI compliance, industry recognition, no banned data storage, data encryption via the Braintree Vault, authentication and session management, activity monitoring, and testing
Brain Tree payment gateway fees: 2.9% + $.30 per transaction
Top brands using Braintree payment gateway: Uber, PoshMark, Casper, Trrouva etc
8. Sage Pay is Sage's European payment division (Sage Payment Solutions is the US equivalent). Sage Pay has developed into one of the industry's major payment providers, and is likely one of the first names you'll come across.
It uses a one-of-a-kind face-to-face payment approach such as mobile, wireless, and contactless to supplement the array of online payment tools, invoice payments, and phone payment tools.
At no additional cost, all payment pages may be personalised and modified to match branding criteria and safeguarded with powerful fraud prevention techniques.
Funds are often paid to bank accounts within two business days, and data is kept immediately for distribution on your other Sage accounts. It has over 15 years of market experience
Sage Pay payment gateway fees: Flex plan: EUR20.90 /month ($20.83)
Top brands using Sage Pay payment gateway: KrispyCreme, Jaguar and Europcar
9. SecurionPay is a highly recommended method for businesses trying to increase conversions and cross-sells. SecurionPay is essentially one of the most dependable payment options on the market, since it is developed to increase conversions by providing a quick, simple, and clear method of doing transactions.
Simple payment forms, along with the possibility to remember the user and his/her card information, enable speedy payment operations. It also has several security measures to protect users from hackers and other internet abuses.
Payment gateway fees: 2.95% + 0.25 Euro per successful transaction.
While there are various alternative payment gateway solutions on the market, it is crucial to choose an industry leader to be safe. You should thoroughly assess your demands and requirements before locating the ideal payment gateway that meets your company's criteria that will benefit your store in the long term. It might be a difficult selection with hundreds of online payment alternatives to pick from.
This article should have given you a decent understanding of nine of the finest payment gateways to select from for your e-commerce site.
