How to Choose and Integrate a Payment Gateway on the Site
How to Choose and Integrate a Payment Gateway on the Site
Any business that wants to sell its products and services on the Internet needs a payment gateway. This is a software solution that, in semi-automatic mode, removes funds from the buyer's account and transfers them to the seller’s account. The availability, speed, security, convenience and price of remittances depend on who provides such a service. This means that every online retailer seeking to increase sales should carefully consider which payment gateway to choose and how to integrate the option they like into their website.
From our article you will learn:
Disadvantages. Redirecting buyers to third-party resources reduces conversion, especially if on the external page they need to trust an unfamiliar service. If you connect to a well-known payment service provider, when changing partners, there may be problems with maintaining the customer base. So, PayPal, when the relationship is broken, keeps the data of users through their services.
Suitable for a small local online business, which is more convenient to use external payment services. It is easier and cheaper.
Unlike hosted payment gateways, where shoppers leave the checkout page, integrated solutions connect to your site via the payment gateway API. By choosing this option, you will be responsible for the payment process and compliance with various security requirements. You will also need to open a trading account, since it will be the payments from debit and credit cards of buyers to it.
Disadvantages. To use an integrated gateway, your site must be compliant with the PCI DSS security rules, since all customers' credit card information will be stored on your servers. In addition, usually with this approach, all the costs of maintaining the infrastructure of the payment system and the associated costs are falling on your shoulders.
Integration. The payment gateway is connected to the site via an API, therefore, you will need a development team - own or outsourced. Most providers of non-hosting payment gateways have well-described integration guides, API links, or partner development portals.
Suitable for medium and large companies that rely on improved user experience and the development of their own brand.
The classic payment gateway is suitable for medium and large enterprises working with a large number of daily online transactions, as they can work directly with banks, which reduces transaction fees.
However, this approach is quite burdensome at first: you need to submit an application, pay for and set up a dedicated trading account, and also need technical knowledge to integrate the account through the API. Examples of classic gateways are Authorize.Net, 2Checkout and WorldPay.
Modern payment gateways, such as PayPal and Stripe, combined the trading account and gateway into a single service, so it is easier to open and configure them. All you need is a valid bank account for accepting payments. But the transaction commissions for these gateways are higher. This approach is usually used by small companies that want to save on start.
Another important aspect is multicurrency support. This is important for companies that conduct international activities and want their customers to pay in the currency convenient for them. Usually payment gateway providers provide such a service for a fee: a fixed monthly fee or additional fees for trans-currency transactions.
Depending on your jurisdiction and web platform code, many payment gateways may not be available. For example, due to the fact that the payment service has no right to work in your country due to the absence of a corresponding license or sanctions. In addition, many payment services prefer not to work with a business that is associated with gambling, erotica and porn, narcotic substances and the arms trade.
If you want to improve your user experience and execute transactions as quickly as possible, you will need a processor capable of processing payments within seconds, rather than several days. Here is a list of the fastest processors according to Spreedly data for the last three months (March-May 2019):
Depending on your business, you may need a payment solution with the ability to create detailed reports. For example, to study all operations for a certain period of the entire business or individual product (department). Or to learn statistics on chargebacks or commission costs. Gateways offer different formats and types of reporting, and to make the right choice, this issue needs to be studied in advance.
Even when choosing a payment gateway, you must make sure that it has security features designed to protect against fraud and counteract such. The minimum program - the presence of PCI DSS. This is a standard of information security, which is mandatory for all organizations working with credit cards. The standard was introduced in 2004 and has several gradations - from the simplest "1.0" to the most advanced to date "3.2.1".
In cases where counteraction to fraud is of paramount importance to you, you should pay attention to suppliers such as CyberSource, who specialize in such moments. Here are examples of the detection tools they use:
Here are some of them:
96.80 dollars = 100 - (100 × 2.9%) - 0.30You can find tariff plans for Authorize.net, PayPal, 2Checkout, Stripe, BrainTree, Forte, Worldpay, BrainTree, Payflow Pro and Payments Pro via these links. There you will also find answers to frequently asked questions about additional fees. But always keep in mind that you may have missed some information or did not have time to add it to the site, therefore it is better to contact the gateway of interest and communicate directly with its representatives.
1. Register a new businessman account with PayPal or sign in with an existing account.
2. Mouse over the “Tools” section and select “All Tool” in the pop-up menu.
3. In the new window, find the “PayPal Buttons” icon and click on it.
4. A window will open with a list of PayPal buttons. If you are using this service for the first time, then click “Create new buttons”. If not, select the desired button from the previously created.
5. In the new window, you can choose the type of button, the name and topic to which you link it, as well as the cost of the product or service. Slightly below the button are appearance settings and several additional options. All this is simple and does not require any additional instructions. At the end click on the bottom of the screen on the "Step 2".
6. The second step is optional. It gives you the opportunity to configure several functions responsible for the security of the transaction.
7. The third step is also optional. It allows you to give special instructions to the buyer. To continue, click “Create new buttons”.
8. Now you have the HTML code of the button to pay for the product or service. You can use it anywhere on your site by simply pasting the button code into the page code.
9. You can test the code in a special section to test and configure the PayPal buttons. The code on the right of the page can be changed directly on the site and immediately check what came out of it using the buttons in the center. Use this section before adding a new button to your site.
More detailed instructions can be found in the “Help Center” section on the PayPal website. With their help, you can customize your button, payment methods and even integrate the PayPal payment gateway into the mobile application. Everything is written in sufficient detail, simply and with video instructions.
#1. Choose the integration method
#2. Hosting Payment Gateway
#3. Integrated Payment Gateway
#4. Choosing a supplier company
#5. # 1. Modern or classic
#6. # 2. Gateway security
#7. # 3. Encryption Standards
#8. # 4. Available payment methods
#9. # 5. Legal compatibility
#10. # 6. Transaction processing speed
#11. # 7. Reporting features
#12. # 8. Fraud Detection
#13. # 9. User experience
#14. # 10. Costs and fees
#15. Comparing popular payment gateways
#16. Payment Gateway Integration Example