If you’re in the business of selling online, that also means you’re in the business of getting paid online. Without the proper infrastructure to receive funds, people won’t be able to easily pay you for whatever goods or services you’re offering. If it’s too hard to pay you, people will find someone else willing to take their money. That’s precisely what a payment gateway is meant to solve. A payment gateway is simply any service that will process credit cards or direct payment online. Naturally, that means anyone who sells online needs to set up their own personal payment gateway to ensure proper cash flow.
Here’s what anyone looking for a payment processor should have in mind:
Is your area served?
How financial institutions function as well as the raw infrastructure varies from place to place. For instance, a payment gateway in America might not necessarily be the perfect payment gateway in Europe. See what geographical areas any given payment gateway service cover, and try to find one that has a good track record dealing with transactions in your part of the world. The bigger payment processors have the infrastructure to serve globally, but choosing a specialized gateway for your specific area might confer benefits to your customers not found from other services.
Check the pricing.
Now, payment gateway services are businesses in and of themselves. They’re doing everything they can to make enough money to stay in business. How they charge you for using their services is a big deal. Most services will take a flat percentage from every transaction, while some others have a sliding scale per transaction depending on your total transaction volume. Look over their terms and conditions carefully, and see if you can stomach taking the hit to your profits before signing up.
Make sure your provider is okay with what you do.
Not every payment processor wants to be involved with just any kind of business. If you sell adult products, bladed objects, or any other products that have a certain societal stigma around them, you should make sure your payment processor is alright with that. If you’re found to violate their terms and conditions, your account is likely to be suspended with no chance of refund whatsoever.
Your chosen payment gateway is a huge part of how customers will interact with your business. The checkout process should be easy and simple, and not to mention, quick. A slow payment processor is seen as much less trustworthy than a speedy one, and sometimes, errors can occur with slower processors, resulting in double purchases. Any given payment gateway should put the customer’s experience first. You’re dealing with their financial information and money at this time. Your payment gateway also needs to suit you and your business model in a way where offering credit card payments doesn’t eat heavily into your bottom line. Don’t think you won’t be able to find a payment processor that’s perfect for you. We’ve come a long way since the days when the Internet was dominated by maybe two or three worthwhile gateways.