Picking the right payment gateway is critical to the success of your eCommerce business. Not all payment gateways were created equal, however, and not all of them support the same functions.
The decision depends on the type of company you operate, its size and the functionality you need. There are a variety of different payment gateway categories to consider. These range from simple card processing services to robust assets that enhance your business operations. In this article, you will find our take on the payment gateway question and the services we suggest depending on your particular business circumstances.
Businesses with a limited product selection and smaller sales volumes do not usually need a payment gateway. Basic services like PayPal Pro or PayPal Express offer easy ways to accept credit card payments online. When you aren’t dealing with issues like multiple outside vendors or recurring subscription payments, simple is better.
If you have hundreds or thousands of products, a large sales volume and often deal with repeat customers, you want a robust payment gateway. In this case, the ability to process credit cards is only the start.
Services such as Authorize.net, Braintree, and First Data are solid options. They offer sales authorization and capture customer information (through tokenization) for easier checkouts. PayPal Pro can also be a good choice for some medium-size businesses.
When multiple stores, seller disbursement and automated sales processes are required, you need a robust payment gateway that offers lots of power and security. In this case, data tokenization is a must-have for protecting sensitive customer information. Flexible pricing and buying options also make it easier for customers to do significant business on your site. Payment gateways such as Braintree Market, PayPal Market, Stripe, and Authorize.net CIM provide these core functions and are the go-to services for large companies.
Once you’ve picked the right payment gateway for your business, there is still the question of operating costs. Every transaction, charge back, and refund will cost you a small fee. Do your research and ask questions of the payment gateway companies you are considering. You don’t want any surprises after you’ve integrated the payment gateway into your website.
Don’t worry too much about fees if sales are strong. Most payment gateways charge similar fees for their services. The cost of fees due to increased sales volume is almost always a good thing…because who doesn’t want more orders?
In conclusion, selecting a payment gateway is a critical business decision, so it pays (literally) to integrate one that provides the support you want.
To learn more about payment gateways or ask us questions about which one we think is right for you, please contact us today.
Posted in: Payment Gateways
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