When you’re planning to build an ecommerce store, there should be an easy way to accept payments online. Different types of payment gateways are available in the market to help enable customers transact easily and help ecommerce business owners accept payments.
Which payment gateway should I choose?
There’s no doubt that payment gateways provide a safe and secure way of processing credit card payment between the customers and merchants.
“A payment gateway acts as a “middleman” between ecommerce website owners and buyers.”
Factors to consider while selecting payment gateway for your Magento store
Security – How secure the payments are?
Convenience – Is the payment gateway easy to use?
Capabilities – What type of payment options does it offer?
Pricing – What are the fees for payment processing?
Online buyers always look for secure and reliable transaction methods. Customers love to shop from the stores that offer a hassle free check out. Magento 2 supports a wide range of payment gateways and selecting the best one for your business is important.
Magento is a popular CMS used by billions of ecommerce stores for developing feature-rich websites. It is compatible with several payment gateways to enable online payment processing. Magento 2 payment functionality offers different payment gateways and store owners should pick the right one that provides quick and user friendly payment processing without any inconvenience.
5 POPULAR PAYMENT GATEWAYS FOR ECOMMERCE STORES
This is the most popular online payment gateway used by several online stores across the globe. More than 7 million businesses use PayPal for accepting online payments. It is known for its simplicity. It allows you to create and send custom invoices to the customers. Though it charges 2.9% + $0.30 for every transaction, it is a widely acceptable method for online payment as it offers a seamless checkout experience to the users. Being available in 200 countries, it powers some of the leading websites.
- Extremely easy to setup
- Send custom invoices to customers
- Ease of use for end customers
- No set up costs
- For each transaction, you pay 2.9% + $0.30
- Single click checkout
- Quick and secure
Braintree offers multiple tools for a seamless checkout process. It was acquired by PayPal in 2013. Did you know that companies like LivingSocial and Airbnb use Braintree? This payment gateway is used in 44 countries and supports more than 130 countries.
- No monthly fees
- 2.9% + $0.30 per transaction
- Secure checkout process
- Supports 3D secure and global payment methods
This payment gateway is available in 25 countries and accepts more than 100 different currencies. Stripe offers a wide range of development opportunities. Whether you want to accept recurring payments, or simply accept payments for orders placed on your Magento 2 store, Stripe can be the best option. It accepts a wide range of credit cards, and handles in-app payments and marketplace transactions effortlessly.
- No setup required
- No monthly fees
- Advanced reporting
- Bitcoin integration: pay 0.8% per transaction
This payment gateway is used by more than 150,000 customers in the U.S. This rare payment gateway is known as a direct processor as it does not use a third party processor. It means that it is capable of carrying out transactions on its own. Being available in over 120 different countries, WorldPay offers reporting and analytics tools.
- Merchant accounts
- ATM service
- Reporting and analytics
- Completely secure transactions
Fees is as below:
- Debit transactions: 0.99% + $0.20 per transaction
- Credit transactions: 1.99% + $0.20 per transaction
- Credit transactions (Rewards) : 2.60% + $0.20 per transaction
- Corporate/keyed credit transactions: 3.30% + $0.20 per transaction
If you want to offer less time consuming payment gateway for your Magento ecommerce store, Authorize.net can be a good option. The CIM (Customer Information Manager) version of this payment solution allows the website owners to store the customers’ payment information. It is considered to be efficient and time saving solution for online payments. The repeating customers do not need to enter their credit card information again. It is the best solution for recurring payments. It is used by over 440,000 merchants all over the world.
- Offline and online payments accepted
- Free mobile app for users
- $25 monthly fee
- 2.9% + $0.30 for each transaction
- Tools to fight fraud
- 24 X 7 support
Now that you know the different types of payment gateways, we will help you with the tips on how to choose the best payment gateway for your Magento ecommerce store.
Tips to select the best Magento 2 Payment gateway
1. Pick the gateway that can accommodate growth of Magento platform
It is a known fact that your business will grow eventually. Hence, it is advisable to pick the payment gateway that can accommodate the growing size of your business. You can choose payment gateways that support both Enterprise and Community editions of Magento.
2. Secure transactions
Digital security of online transactions is a hot topic today. It is essential to protect your ecommerce website from frauds. Your customers should feel that their payment would be secure. 37% of the buyers abandon online purchases because they do not feel that payment will be safe online at some online stores and portals. Look for PCI compliance and choose the right payment gateway for your store. Make sure that they payment gateway is immune against all payment frauds and hacks.
3. Fees and policies
Everyone involved in online transaction would want to get paid for each transaction. Some payment gateway providers charge monthly fees while a few others charge on every transaction. It is important to get all the details about the entire fee structure and terms and conditions before setting up a particular payment gateway on your store. Make sure that there are no hidden charges and pricing policy is transparent.
4. Customer support
Payment processing is a critical aspect in ecommerce business. Check whether the provider offers 24 X 7 support to help merchants or end users if something goes wrong. It can be frustrating for you or your customers to wait for the resolution for any technical problems related to online payments.
In a Nutshell
Customers prefer to make purchases from secure Magento 2 ecommerce websites. It can be a good idea to offer multiple payment options to the customers so that they can choose their preferred method to purchase goods or services from your store. You can hire expert Magento developers to help you make the right decision to choose the best payment gateway for your store. Experienced Magento programmers can help you understand the pros and cons of several different payment solutions and you can compare them before selecting one or some of them. Whether you’re a small enterprise or a large business looking for the best payment options for your store, make sure that you get the best solution.
Kristy Davis is a Marketing Manager at i-Verve Inc, an innovative Magento Development Company for web and mobile platforms. She is responsible for communication, marketing and business development of the company. Apart from the responsibility of strategic business development, she looks after branding, media relations, and advertising. Kristy also directs and manages sponsorships, marketing training, and events in the company. She has been involved in various high profile roles in the marketing industry. When she is not making any magic at her desk, you’re likely to find her exploring nature, eating her way through Lakeview, and Wrigleyville’s finest cuisine and its surrounding suburbs or taking a drive along the Western Avenue. Her camera rarely leaves her side. Connect with Kristy on Facebook