In today’s digitized era, where everything seems to be just a click away, online payment channels are becoming pervasively prevalent. Every business enterprise, small or large, always looks for ways to render hassle-free eCommerce website consumer experience via generating credit cards or digital payment pathways.
According to research, more than 85% of the customers prefer and do online shopping, and 56% of them use credit and debit or other payment wallets for the payment. With proper integration of payment galleries in an eCommerce platform, it can be the most indispensable way to expedite the sales of every new and existing eCommerce store.
What Is An ECommerce Website?
ECommerce website abbreviated for electronic commerce, commerce via the internet. ECommerce enables the buying and selling of goods and services on online platforms. By transferring funds through the payment gateways provided by the respective ecommerce website, orders can be placed. It can be described as the sale of physical products online, without actually having to visit the store physically.
What Is An ECommerce Payment Gateway?
Most online merchants want to refrain from providing “Cash on Delivery” services to the consumers, due to several restrictions of shipping and payment risks involved. Hence, they prefer the online prepaid system to be more convenient.
Payment gateway software is usually developed to ensure a secure transfer of funds from one end to another, enabling the safe flow of credit or debit card information from a website to the payment network.
Online transactions often appear to be quick and uncomplicated on the surface. Still, in actual sense, multiple processes operate together in the background to make the funds move seamlessly and clandestinely from the buyer to the seller.
Top 6 Payment Gateways In 2020
For ECommerce merchants who are all set and ready to take their online platforms to the higher levels, here are some best payment gateways, narrowed down for faster and much-secured checkouts in 2020. These are the top options for consideration:
1. Braintree
Braintree was launched in the year 2012 and currently tops the online payment gateway list. Braintree possesses a distinct kind of programming, and its code to operate can be set explicitly into the merchant’s online website.
The standard processing fees for a transaction on Braintree is 2.9% + $0.30 for every purchase. Some leading brands using Braintree payment gateway are Dropbox, Uber, Yelp, and GitHub.
Cons And Pros
- Availability of widespread integrations
- Websites operating without developer resources cannot access the Braintree API.
- Predictive flat-rate pricing
- Protracted setup duration for account
- Options for Multi-Currency
- Lack of integrated solution, online or offline
2. Amazon Payments
Amazon Pay is yet another efficient eCommerce payment channel that enables simplified and more secure payment facilities for the users. It operates on data that is already saved by the users in their Amazon accounts. The customer will be recognized instantly, by a single login, and will be provided with access to complete the transaction through both web and mobile.
The processing fee is usually 2.9%+$0.30 per transaction for domestic and up to 3.9% for international transactions. Some of the leading brands using Amazon Payments are Rothys, MVMT Watches, and Lootcrate.
Cons or Pros
- Amazon does not levy additional charges for the A-to-Z Guarantee making the transactions 100% secure.
- Pretty expensive for high capacity online merchants
- It is easy to customize the Amazon Payments into the existing design and feel of the site
- Not appropriate for enterprises preferring one processor to manage both online and in-person online transactions
3. PayPal
PayPal is a popular online payment gateway founded in 1999. The good thing about this gateway is that it can be acknowledged both by MasterCard and credit cards. While it is free of cost for the buyers, the merchants still need to pay transaction fees using PayPal for Visa payments.
PayPal does not require any additional expenses like gateway charges, set up payments, or monthly handling charges. PayPal usually involves 2.9% processing fees per transaction and no monthly charges. Top leading PayPal enabled brands are Disney, Etsy, Adidas, and ASOS.
Cons And Pros
- Predictive flat-rate pricing
- Not recommended for industries involving high risks
- All in One Payment method
- Customer assistance is incoherent
- Ideally suitable for low capacity merchants.
4. PayU
An Indian payment handling corporation started payU. It is one of the simplest and quickest eCommerce payment solutions. PayU is often much preferred because of its reasonable conversion rates and also its acceptance over many other payment gateways.
The processing fees involved in PayU transactions are usually 2.9%+$0.30 per transaction. Some of the leading brands using PayU payment gateways are Airbnb, Netflix, and BookMyShow.
Cons And Pros
- Credit card information can be stored safely through tokenization.
- There is a pretty high frequency of app crashes and lags.
- It enables accepting payments within less 5 minutes of going live
- The business models keep changing frequently
5. Authorize.Net
Authorize.Net was created in 1996, becoming one of the most successful payment gateways for the eCommerce websites. More than 400,000 online merchants use Authorize.Net gateway through credit cards and digital checks. They are allowed to create multiple accounts of a single user to control access for each user.
Tech Experts consider this gateway to be appropriate for Magento stores and eCommerce businesses. The processing fee of transactions via Authorize.Net is around 2.9%+$0.30 per
Cons And Pros
- Supports Multi-Currency transactions
- Flat rate pricing is high for optional merchant accounts.
- Provides features like Robust security and anti-fraud
- The all in one payment option is often confusing to different users
6. Stripe
Stripe is one of the leading payment gateways since its establishment in 2010. The distinct comprehensive developing tool makes it one of a kind amongst other suppliers of payment gateways.
Stripe forms an essential commitment to the eCommerce platform as an adaptable and capable API. It ensures customization of the platform as per requirements. This gateway takes about seven days to process the payment with no hidden expenses. The processing charged is 2.9%+$0.30 per domestic transaction. Brands like GitHub, Slack, and Spotify use the Stripe payment gateway.
Cons And Pros
- Ideally suitable for international online merchants.
- Not recommended for industries involving high risks
- Efficient advertising and website
- Shows stability issues on accounts
- Accessible documentation resources make the site customization simple.
