A business owner has to make several decisions that sometimes can become a headache. Much of these decisions have nothing to do with your core business such as: selecting a payment gateway. It is very necessary to select the right payment gateway. A payment gateway can make or break an e-commerce business. This importance attributed to a payment gateway and the lack of knowledge on part of some of the entrepreneurs can lead to indecision.
So, what is it that you should look for while buying a payment gateway? We asked successful entrepreneurs about factors that make a payment gateway, the best payment gateway for e-commerce.
Here are 5 factors they said you should look out for when selecting a payment gateway.
Do not give in to marketing gimmicks. You must know all the factors of the fee structure before availing the service. Do not be influenced by the competitive fees that are on display. Sometimes, a few payment gateways may charge extra for certain services or the low fees are applicable only if certain conditions are met. Make sure the pricing policy is transparent and there are no hidden fees. Have a thorough understanding of the fee structure.
This is a very important factor to look out for. Every business is different and it operates in its unique way. Will the payment gateway adjust to the needs of your business? Can it adjust according to payment scenarios that emerge according to your business? You also have to pay attention to the technical integrations it offers. Do you have to wait days for a certain change or can you do it in a few clicks? Do you need a developer to make the changes or a simple business owner can perform it with a few clicks?
This is an absolute must in your payment gateway. It is imperative that you make sure your the payment gateway you are about to choose has security factors such as SSL Certification, PCI DSS Compliance & Certification, 128-bit encryption, and Two-factor authentication.
Metrics to check
There are a few metrics that you should look for before you make a choice. They are Transaction Success Rate, Time taken to set up a payment gateway, Time taken for settlement.
The transaction success rate is the percent of success in processing transactions. A transaction can fail due to several reasons but what matters at the end is what is the transaction success rate of the particular payment gateway.
Time taken to set up a payment gateway is a self-explanatory term. It can take a few minutes to days.
Time taken for settlement. This is the amount of time it requires for the payment gateway to send the money in your bank account. It could take around 2 to 5 business days.
A payment gateway should provide a seamless experience. Does it take the customer away from your website to another website for payment? In such a case, the customer might lose faith and might not make the payment. It is very necessary that the customer feels safe. Can the user pay the amount with minimal effort? Make sure the customer feels safe and you will see your business thrive.
These are the factors that you should look for while selecting an e-commerce payment gateway. We hope you make the choice that helps your business thrive.