Payment Options
So by this point you’ve chosen your gateway (or gateways). Now it’s time to have a think about which payment options you will provide. These are the methods of payment that are available to customers and can include debit and credit card, pay by finance, PayPal, e-wallets and one-touch payments.
This is where things can get a little bit complicated… but bear with us on this one. Some payment options, such as PayPal and Klarna double up as not just payment options, but also payment gateways. This allows them to handle the payment from start to finish within their own platform, without the need for a traditional payment gateway.
Other payment options such as Google Pay and Apple Pay can be integrated into your payment gateway depending on the service you choose. It’s completely normal to have a combination of any/all of the above, so find what works best for you.
Either method is absolutely fine, and if you feel confused, that’s also fine. All will become clear as we delve deeper into this within the next few blogs.
Depending on who your products and customers are, offering a variety of payment options is a great way to engage with new audiences, reduce cart abandonments, stand out from competitors, rejuvenate customer loyalty and increase sales.
Let’s have a look at the types of payment option you can offer.
The types of payment options available to you
Instant pay
This is the traditional method of accepting debit or credit card payments online; examples of which include Visa and Mastercard. It’s easy to get carried away with the new and exciting forms of payment, but many visitors will expect to be able to pay by card. By not using this method, you run the risk of losing trust with a large, conventional audience.
Credit pay and pay by finance
Credit pay and pay by finance have become a popular favourite amongst many of our clients. The beauty of providing credit pay or finance is that you make your products accessible to a wider audience. Customers are less likely to change their mind before making payment which in turn reduces the number of abandoned shopping carts and works wonders on sales. Providing credit or finance options can also give you a significant advantage over your competitors, which is useful in a busy marketplace.
Sounds good right? There are lots of credit and finance providers that can integrate directly into your checkout. Examples of online finance and credit providers include Klarna, Hitachi, PayPal Credit, Barclays Partner Finance and V12. We will explore credit pay and pay by finance options in depth later in this blog series.
Digital wallets and cardless payments
Digital wallets and cardless payments cater to customer demands for faster and smoother transactions. It has become an expectation that products and services can be purchased at the touch of a button.
Customers love the fact that they can buy the products that they want online in a matter of seconds, so providing a quick and easy payment method could act as a great springboard for growth. This is thanks to the innovations of payment wallets and cardless checkouts provided by the likes of Apple Pay, Amazon Pay, Google Pay and others.
International payment providers
If you are selling your products and services internationally, it is important that you provide payment options that allow for multiple currencies. Examples of which include iDEAL, PayPal, Adyen and Skrill. We will explore ecommerce integration of international payment options later in the blog series.
So what’s right for you?
When it comes down to choosing the payment method on your site, we wholly believe that there really is a unique solution for everyone. It all boils down to finding what’s right for your business and customers. You should consider:
Your budget
How much are you willing to pay per transaction or per month to use the payment method? Generally speaking, the more complex the payment method, the higher the fees. Consider whether the increased fees will have a negative impact on your profit levels before signing up.
Your products
In terms of the products and services that you are selling, do they have a high or low monetary value and what level of decision making occurs before your customers to make a purchase? Finance and pay later options can work well here.
Your customers
Who are you targeting your products and services towards and how can you make the decision and purchase process easier for your customers? Digital wallets are becoming more popular, but don’t neglect the more traditional market by not taking card payments
Your checkout experience
Would you like customers to stay on your site when making a payment? Is your checkout experience suitable for both the desktop and mobile users? How quickly would you like to deliver the payment process?
The single page checkout for our client, electricial-showroom.co.uk
As a specialist ecommerce agency, we can offer advice on a wide range of topics. If you think we can help, please get in touch via our contact us page
