If you are currently working on e-shop settings, or are just about to do so, accepting your customers’ payments should be part of this process. If we assume that you want your e-shop to sell 🙂 In order for this process to be successful, you will need a payment gateway in addition to an attractive offer and selection. Thanks to the payment gateway, you can make it much easier for customers to pay for products. Choosing the one that suits you best can take some time, but setting the criteria correctly will make this selection process much easier.
Let’s take a look at how to find the best payment gateway, focusing on launching a new e-shop. If you googlite information about payment gateways and you’ve gone through here, you probably already know that you really need a payment gateway. The only question that remains is what properties it should have.
Let’s start by clarifying what a payment gateway is?
“A payment gateway is an application that allows payments from customers to be made securely. In practice, this means that the moment a customer clicks on “order”, the payment gateway is what processes the next steps. It verifies the correctness of the information, the method, the approval of applications and the subsequent generation of the confirmation number and the continuation of the order. “So much for theory.
Without a payment gateway, your e-shop is not able to accept online payments.
Now let’s find out which payment gateway will be the best for your e-shop. You will make the decision-making process much easier if you are sufficiently informed about the possibilities of payment gateways and their types.
Payment gateways can either be so-called off-site or can be integrated into your store. We will compare the advantages of both types.
Off – site payment gateways
If you know Pay Pal, you’ll know what I’m talking about. Such payment gateways are also called “hosted payment gateway”, in the Slovak translation something in the sense of “guest payment gateway”, which is not exactly the most professional way of translation, so I will stick to the English version. Off – site payment gateway, such as Pay Pal. It redirects customers to a payment processor platform called Pay Pal, into which you enter your payment details. The advantage is that the off-site payment gateway provider is responsible for all PCI compliance and data security. That means – less for you. And the less worries, the less problems. We know that. On the other hand, Pay Pal is associated with higher fees.
But there are a few shady sides. In some countries, off – site gateways are not considered trustworthy, in others they are not allowed. In Slovakia, for example, Pay Pal is relatively unknown to people, which arouses distrust. Another of the negatives is that it is not available in the Slovak language. Therefore, follow your customers and listen to what they want. Provide them with a solution that they will trust or know from other, your existing e-shops. If you have an e-shop focused on a Slovak customer and you make payments mainly within the country, Pay Pal is not the most suitable solution for you. It would be different if you operate in the international market and make payments within several countries.
The advantage is that you do not need to have a payment card to pay via Pay Pal. Although this advantage is not so important, as the payment card is already owned by a small schoolboy, who cheerfully pays contactlessly for sweets in the school buffet. The process of registering and verifying all data, which may seem too lengthy, can discourage the customer. However, it is for safety reasons.
Off-site payment gateways are a good solution for new businesses, but on the other hand, they can potentially reduce conversions if customers are not fully identified with the system.
Card payment
Setting up a payment gateway through card payment is another option. If you choose this option, you will need to obtain a “merchant account” – a merchant account, which is a special bank account that allows you to directly accept credit card payments. The disadvantage may be the fees associated with the transaction. Each bank has different ones.
In order for the payment to take place, the customer will need his payment card number, its validity date and the CVV code on the back.
Another way is payment via internet banking, which takes place using a transfer order. This service is provided by the bank. It is important that you have a contract with several banks. In order for the payment to be processed, you must support the bank’s payment system in which your customer has an account.
Such gateways offer a hassle-free ordering process, but on the other hand, it means more difficult and time-consuming setup for you. It is this solution that is most common in Slovak e-shops. The advantage is that it will have the ability to integrate with the gateway you choose.
Security is important. If security is not enough, you can put your customers at risk.
Almost all payment gateways charge certain fees, usually for transactions, different monthly usage fees…. Try the payment process in detail yourself. Think about how each gateway will appear on your e-shop, what it will offer the customer. Go through all the shopping steps in detail, how long did it take you to get the content into the cart, did you find the cart easily? Aren’t you asking too much? Isn’t this process unnecessarily lengthy?
Integrated gateways offer more flexibility than off-site because you set the functions on them.
Accepting payments is essential. Without this process, the e-shop will not work. All that remains is to choose the right payment gateway and embark on stormy sales waters. The good news is that all of these methods are combinable.
Which payment option do you prefer? Do you feel that the people in our region are still distrustful of the payment via Pay Pal? Share your opinion with us in the comments. 🙂
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