5 Tips to Consider Before Choosing the Right Payment Gateway
Article by Pooja Bhojwani and Beatrice Aranton
Graphics Design by Jericho Ramos
A payment gateway is a platform that links an e-commerce website to a customer’s chosen form of payment, which can be a bank account, credit card, debit card, gift card, or any online wallet. They serve as an all-in-one solution portal for operating and accepting sales transactions that collect payments easily and automatically via your website. They also remove the need to set up and host multiple systems. BrainTree, PayU, Amazon Payments, Stripe, PayPal, and Skrill are only a few of the more well-known payment gateways in Singapore.
A payment gateway’s ease of use is an excellent way to operate e-commerce solutions, particularly for small businesses. But before jumping right into choosing the best payment gateway to use, here are some questions you need to ask yourself:
- What would the expense of the service transaction be?
- Do they have services for fraud protection and virtual terminals?
- Is it necessary to have a merchant account for the portal you’ve chosen?
- Does the payment gateway support the geographic location of your online store?
To put context into these questions, the infographic below briefly explains how payment gateways function.
By using a payment gateway, it puts the control of business payment acceptance into your hands. Now that you know how they work, the next step is to know how to choose a payment platform. While there are a lot of options to choose from, you need to learn the right payment gateway platform that caters to your business needs. Here we provide you with 5 things to consider in deciding which payment gateway to use.
5 Factors to Check Before Choosing the Right Payment Gateway Platform
1. Choose an Appropriate Payment Flow
Depending on your type of business, consider how fast and efficiently you would like your users to make payment. Complicated payment processes can be a cause for customers to cancel, that is why it’s vital to make it as user friendly as possible. Customers need to seamlessly be able to complete a transaction once they are redirected to the payment platform.
2. Consider Fees and Service Agreement Requirements
Payment gateway pricing is often determined by the type of transactions a company performs, as well as business sales, revenue consistency, transaction volume, and the markets served. Some may charge setup fees, as well as transaction fees if a minimum order and transaction volume are not met. That’s why it is critical to compare how the business model aligns with the fee structure of the payment processor or gateway.
3. Ensure Effective Transactions
You don’t want your customers filling out several forms just to make a single purchase. This comes with making sure the payment platform is as user-friendly as possible. To make the checkout process easier, make sure the payment gateway allows you to delete unnecessary form fields.
4. Multiple Features to Choose From
Depending on your business needs, online payment gateway service providers provide a variety of features. If you are selling goods and services all over the world, your payment gateway can provide a global solution that accepts a variety of credit cards, debit cards, and international currencies.
Payment platforms have an effect on your productivity as well. Check if your chosen payment gateway supports electronic invoicing, all payment forms, customer text or email alerts, smart chargeback management, and other features.
5. Merchant Account
When consumers make an online purchase through a payment gateway, the money is temporarily moved to a different retailer account known as a merchant account. This isn’t the same as the real bank account. You will need a merchant account to accept funds through an online payment portal and then move the funds to your corporate or personal bank account.
Integrate Effective E-commerce Solutions with Verz Design
If you understand your business needs, selecting and integrating the best payment gateway provider won’t be complicated or expensive. You will have immediate and meaningful effects on your brand’s consumer user experience as well as profitability for your company if you do it correctly.
Another good case practice is to ask the web developers for help with integrating payment gateways into your website. This is to ensure that proper integration procedures have been established so that the payment gateway is fully functional on your website.
With Verz Design, not only can your eCommerce website have several user-friendly features, but we enhance it further with the integration of a payment gateway. Help your customers complete their transactions with safety and security. We understand the importance of a secured payment gateway. Our team works to instill good UX into your eCommerce website that conveniently helps you improve your business, and boosts your customers’ loyalty to your brand.
Call us at 6841 1680 or drop an email to [email protected] for a free consultation today! Let us help you bring your business to the next level.