How to Select a Robust Payment Gateway for Your Business

Key points to consider while choosing a payment gateway to meet your online business needs.

The number of eCommerce businesses all across the globe is rapidly increasing. A good online payment gateway is required to collect payments from customers in the way that they prefer. Various types of payment methods should be available and they vary from business to business. It is important to make sure which payment method suits your business. A robust payment gateway is essential to make the transaction seamless and hassle-free for your customers.

Post-Pandemic trends in online businesses and payments

When the pandemic hit unexpectedly, it changed the complete structure of many businesses. Lockdown was announced to curb the spread of COVID-19 which in turn made it difficult to run offline businesses. People prefer buying the essentials online and the eCommerce market has become one of the biggest beneficiaries of the pandemic.

Due to the massive usage of smartphones and the cheaper internet costs, online businesses are in high demand. Sellers started digitizing their traditional businesses and entrepreneurs are also inclined toward setting up online stores and e-commerce websites for their startup businesses.

How to select a payment gateway

An effortless payment gateway system is a crucial factor to develop a successful online business. The payment gateway acts as a medium between eCommerce websites or mobile applications and banks. It verifies the details and transfers the amount from the customer's bank to the merchant's bank. This calls for the need to select a trustworthy payment solution for the long term. Let us see some of the important factors to consider before choosing a payment gateway for your online business.

Payment security

When customers are making a payment online, they need to enter their sensitive financial information like card number and CVV. It is your responsibility as a business owner to keep the information safe.

The topmost payment gateways are PCI-DSS compliant. They invest in fraud detection and screening technology to ensure secured financial transactions. But only payment gateways that work with credit card networks are eligible to become PCI-DSS compliant. So for payment gateways that focus on real-time payments or local payment methods such as eWallets, they do not require it.

Onboarding process and integration

When the website for your online business is ready and set to go live, you would not like it if the payment gateway onboarding process takes time. The last thing you want is to wait for months to get on board as a merchant with a payment gateway provider.

Generally, it takes one day or two for you to become a merchant with a reliable payment gateway. The process depends on the complexity of your online business. However, always select a payment gateway with a short and reliable onboarding process.

Customer support

It is advisable to look for a payment gateway that provides customer services 24/7. Your customers will be able to buy from your website or mobile applications around the clock. As a result, payment-related issues may arise at any point in time.

Your payment gateway provider needs to be reliable, knowledgeable, and have a minimum turnaround time to solve the payment queries raised by your customers.

Ease of integration

Online payment gateway integration cannot be done by yourself. Usually, various payment gateways provide detailed instructions on integrating. However, it is vital to select a payment gateway that does not mess up your website’s UX.

Make sure you select a payment gateway that is easier and more beneficial for your customers. Choose a payment gateway that enables customers to select a payment method of their choice.

Pricing

Another important factor to consider is the pricing of the payment gateway. Most businesses deal with fixed fees and transaction fees. But, there are other payment gateway charges apart from this.

Other payment gateway charges may include monthly subscription fees, annual maintenance fees, and integration fees. Compare different payment gateways and select the one that aligns with your business expansion goals and provides maximum value for your money.

Transaction limits

Some payment gateways set an upper limit to the transaction amount that can be processed. This will be a hurdle for businesses that deal with high-value products. You need to have a clear idea about transaction limits before selecting a payment gateway.

Cross border payments or multiple currency support

If you are running an international business or intend to expand your current business cross borders, choose a payment gateway that supports payments in multiple currencies.

Local payment methods has gained immense popularity accelerated by the pandemic. This type of payment method consist of different APMs such as real-time national payment systems and eWallets. By 2025, more than 80% of SEA consumers are projected to be using local payment methods instead of credit cards.

New APMs - Alternative payment methods

eWallet is an upcoming trend, and it gives a new shopping experience altogether. Customers need to create an eWallet account and link it to their bank app. A wallet can withdraw or deposit the amount from the linked bank account.

The whole procedure is easy and quick. It eliminates the need for re-entering the information every time while making payments, and it is considered an advanced digital payment method. Other APMs include BNPL, bank transfers, direct debits, voucher redemption, and gift cards.

XanPay is an all-in-one payment gateway that caters to your business needs, and global expansion, and facilitates the best services to your customers.

To Summarize

Digitalization is non-negotiable for all kinds of industries. Online businesses have seen a tremendous increase nowadays and especially after the pandemic. Select a robust payment gateway to make purchasing effortless, secure, hassle-free, and quick.