Online payment gateway is a very important tool for online merchants. It allows merchants to accept online payments securely. But, choosing a payment gateway is not easy. As a merchant, you have to check many aspects. Otherwise, you might not get the desired outcomes. Well, we have added some aspects that merchants should look for in an online payment gateway.
When it comes to choosing an online payment gateway, compatibility matters the most. You must choose a payment gateway that can be easily integrated into your online marketplace. Moreover, the payment gateway must have the capability to deliver a smooth checkout process to the customers.
The online checkout is a very sensitive process. It can either break or make your company’s reputation. Therefore, as a merchant, you must check the security level of the payment gateway. The payment gateway of your business will control the important payment data of your customers. If the data breaches, the reputation of your business will be destroyed. There will be many legal consequences the merchants will have to face. However, over the course of time, new security level has been developed. One of them is tokenization. This process completely removes the card data. It also adds a new layer of security. It keeps the data encrypted and therefore, fraudsters cannot crack the sensitive information.
Online payment gateway makes the payment acceptance more automated and more secure. Therefore, it mitigates the chance of human error. Moreover, there will be better reporting visibility for the merchants.
Modern Payment Gateway Or Classic Payment Gateway
When it comes to choosing an online payment gateway for your business, you will have two options. As a merchant, you have decided whether you want a classic payment gateway or a modern payment gateway. There are some differences between these two. In order to use a classic payment gateway, the businessmen must have a merchant account. But, in the case of a modern payment gateway, the businessmen do not need such an account for using the service.
The modern payment gateway is very easy to set up. But, it has some negative aspects. The credit card processing fees remain high in such a situation. Moreover, the customers will be redirected to a different page during the checkout process. It might hamper the growth of the business. The overall conversion rate might be reduced. PayPal is a fine example of a modern payment gateway. But, on the other side, Authorize.net is a popular classic payment gateway. The online payment gateway is leading the online business forward.
So, these are some important aspects that merchants should look for in a payment gateway.