Payments are essential to every business. Which is why getting the right payment gateway from the start is crucial to success for Shopify merchants. If you’re just starting out on your Shopify journey, one of the first things on your mind should be picking the right payment gateway.
Not all online payment platforms are the same – there are key differences when it comes to how much they charge and what they offer. And with so many online payment options to choose from, it can be a complicated decision. Payflex outlines 8 essential considerations when choosing a payment gateway for Shopify.
1.Understand your goals
Before choosing your payment gateway, you must have a clear notion of your business goals. Don’t just choose a payment gateway for the short-term as you could outgrow it, Make sure you choose something that will not only meet your current goals, but your projected ones.
2. Consider how it will impact your bottom line
Different payment gateways have very different fee structures. Make sure you do your research carefully before you decide which will work for you.If you’re selling with Shopify, and choose a gateway other than Shopify Payments, you’ll pay a fixed Shopify transaction fee every time you make a sale. On top of that, you might also have to pay a monthly or annual subscription fee.
3. Local or global audience?
If you’re selling to a global audience, you need to ensure your payment gateway is compatible with international systems. It is also vital to understand the payment gateways your typical customer prefers. You might find, for example, that alternative payment methods like buy now pay later and digital wallet payments are essential, especially if you’re selling to younger customers.
Online reviews will provide you with a strong understanding of both merchant and customer experiences with certain payment gateways. If other merchants or customers have had a number of frustrating experiences, you might want to think twice.
5. Fraud prevention
With fraud a real concern, many online shoppers want to know their payment data is safe. Look at what steps your chosen gateway will take to reduce and manage fraud – and what they do if things go wrong. The payment gateway must be level 1 compliant with the Payment Card Industry Data Security Standard (PCI DSS). This ensures they have attained the utmost level of card data security.
6. On-site or offsite?
With onsite payment processing, a customer never leaves your site while making the payment. While for offsite payment gateways, customers are taken away from your website and onto their website. If you are however looking to create a consistent and seamless online experience, you’ll want to keep customers on your site at all times.
7. What additional features do you require?
Assess if you will need any additional or special features from your payment gateway.. For example, if some of your products are sold on a subscription basis, the ability to charge recurrent fees will be helpful. If you have a marketplace, you should be able to accept payments on behalf of sellers that use your platform.
8. 24×7 Customer Support
It is important to always look at the type of support that is being offered as issues could halt your ability to process sales. Check whether the provider offers live technical support, 24/7 support, or is at least within standard working hours. You will want to resolve any technical problems you or a customer may have as quickly and easily as possible.