The online payment gateway is an e-commerce service that processes credit card payments for online and traditional stores. Payment gateways facilitate these transactions by transferring key information between payment portals such as mobile devices / web-enabled websites and the front-end/bank.
Payment gateways play a key role in the e-commerce transaction process by authorizing payment between the merchant and the customer. The most popular payment gateways include PayPal / Braintree, Stripe and Square.
How does it work
The Benefit gateway verifies the validity, encrypts the details of the transaction, ensures that they are sent to the correct destination and then decrypts the replies that are sent to the cart/billing/ account system. It is integrated with a variety of shopping cart software, databases, Internet merchant accounts and protocol exchange servers. In addition, it is also certified by VISA and MasterCard for e-commerce transactions via the Internet, imposing all their rules and protocols according to the VBV protocol (3D Secure) of the VISA protocol and MasterCard’s SecureCode.
Benefits of online payment gateways
The following points will show you some benefits of online payment:
• Immediate payment One of the great benefits of online bill payment is that payment is quick and hassle-free. You can easily make a payment comfortably seated at home or in the office. The gateway to accept online payments provides immediate notification of the transaction that makes the customer secure of the items purchased.
• Low labour costs because online payments are usually automatic, they have lower labour costs than manual payment methods such as checks, money orders, cash, and EFTPOS.
• Convenience for online sales, online payment methods allow you to conveniently sell goods and services online.
• Quick and easy installation Setting an option to receive online payment is quick and easy to start selling minutes after implementing it. In addition, there are many service providers available today that offer cost-effective plans with zero setup fees and very low transaction rates.
• Low risk of theft after processing the delays, online payments generally go to your bank account, so they have a low risk of theft.
• Credibility for merchants an online billing software with features to receive online payments is safer and more credible for merchants than receiving payments by check. A merchant immediately receives the money without any risk of checks and associated fees.
• Get a competitive advantage For a merchant, an option to receive online payments can improve reputation by allowing it to earn customers’ trust. Also, when others have online payment systems, you cannot afford to ask for payments by check.
• Buyers influence A payment method for online invoices can influence customers to purchase items listed on the website. Because the transaction is quick and easy, and you can pay with credit cards, buyers are more likely to grab the deal, if there is an online payment system.
• Last minute offers Many times, traders launch low-cost offers to attract customers. If you can receive online payment on your site, a customer can conclude a deal even at the last minute. This will increase sales.
• Integrates with other channels such as website, IVR, Kiosks, Call Center, Mobile Devices and Batch processing.