ECommerce Payment Gateway Explained

eCommerce is one of the most popular and incredible facets to come out of online business. From purchasing specific goods to transactions oriented around services, online shopping is a remarkable opportunity for anyone to take advantage of. Whether you’re on the dealing end or the receiving end, there is a lot of appeal to the entire market. Receiving money for goods and services that you provide is a wonderful feeling, and it can be a truly rewarding experience. When you are supplying the goods and services, however, there is a huge question that you must answer before your business is capable of truly taking off. What type of payment gateway are you going to use for your eCommerce store?

The Significance of the Payment Gateway

The fact of the matter is, the payment gateway is just as important for the success of your store as the platform itself that you chose. There are a multitude of options for you to pick from, and each one has different advantages and disadvantages. The payment gateway is what enables your customers, clients, and supporters the opportunity to supply you with monetary care in exchange for your services. Without it, your customer count drops to a staunch zero. There’s more to the payment gateway than just its efficacy, however; you need to take several aspects into consideration before deciding on the appropriate gateway for your business. You have specific needs, even if you don’t realize right now, and by trying to sort through your needs beforehand, you can avoid implementing something you later regret.

Basic Things to Check for When Deciding on Your Payment Gateway

  • Does your platform support the gateway?

This is one of the most crucial and imperative parts of the platform selection service, because both the gateway and the platform have to work together. Without both aspects working together to form a cohesive unit, you’re not going to be able to make your business work. The eCommerce platform you select will typically have a range of plugins and extensions that you can use to integrate your payment gateway, but only some of the major gateways are capable of functioning on said platform.

  • How are you going to take payments?

There are three different ways to accept payments for transactions. Each of these alternative methods results in the same thing—you get paid for providing a good or service. However, there are preferences amongst the consumer base that you must take into consideration. For example, if your target demographic is older adults, then using something that seems more secure, like an iFrame or redirect. This particular method revolves around taking payment details in a secure hosted payment page. However, if your target demographic is the younger generation wherein immediacy is valued, using a payment form available directly on your website could be the ideal. It’s a smooth and easy experience for customers, but it is less secure. There is of course a middle ground, wherein the details are sent directly to the server. You can also check out this Mobile POS.

  • What type of provider do you want?

Certain payment gateways offer the payment gateway in conjunction with a separate merchant account, which means that the technological functioning of the gateway itself works to reroute your fiscal gains to a special and specific bank account that is different from your typical business bank account. Though this might seem a tad complicated, it is a viable alternative to the all-in-one combo that is offered through gateways like PayPal. An all-in-one option allows you to combine the gateway with the merchant account, which means that you are using their merchant account to accept transactions.