How to choose the right payment method for my online store

So, you are looking for payment methods for eCommerce, huh?

Well, today we are going to tell you how to choose the right payment method for your online store. You know, the ideal way to accept payments and get your customers to buy your products from anywhere in the world.

A couple of decades ago, it was easy to choose the ideal payment method for your business. Online shopping barely existed, so the payment process was mostly based on the exchange of cash and the use of credit cards. Eye contact was part of the face-to-face process. You would pick a product in the physical store, approached the checkout, and paid for it with physical money.

However, the widespread use of the internet, changing user habits, and the COVID-19 pandemic have shaken the payments landscape. The number of online stores continues to grow. The purchasing process is no longer based so much on face-to-face interaction but on invisible payments based on a trust relationship.

6 tips for choosing the right payment method for your online store

Nowadays, eCommerce has a very wide range of options for executing your payments. However, choosing the right one can become a major challenge, as not only consumer characteristics must be taken into account, but also those of the business.

The moment of choosing a payment method is one of the most difficult and important for any business. The degree of customer satisfaction will depend to a large extent on the purchasing process. Or rather, a satisfied customer is one who finds the payment method that best suits their needs. The less familiar it is to them, the more likely they are to abandon the shopping cart.

From this, we can see how important it is to offer payments that convey simplicity and trust. For this reason, we have compiled some tips for choosing the most appropriate payment method for your online store:

1. Analyse the target group. What kind of customers buys your products? What is their geographic location? Do they use a different currency? What are their preferences?
2. Consider several payment options. It is advisable to go for a cascading method that can redirect the transaction to another payment option in case of failure, which significantly increases the conversion rate.
3. Consider the integration process and usability. How does it fit into your business? How long does the integration process take? Is it complex? Are you going to do it yourself or are you going to get help from an account manager? Do you need to install any software? Do you need any plugins or extensions? In searching for the ideal payment method, it is important to have information and documentation about it. It would not make sense to choose a gateway that you cannot integrate into your business!
4. Cost of the service. This is a very typical question that conditions our final choice. In the process of integrating payment methods, costs can be variable, since, to a large extent, they depend on the adaptability of your business and its flexibility. It is best to hire specialised staff to avoid unnecessary risks.
5. Check whether the processor serves or offers added value to your industry or vertical. Some do not serve high-risk companies, so finding a provider could be a major challenge if yours falls into this category.
6. Support. What currencies does your business accept? Do you sell products to users in different countries? The payment method you choose should include different methods tailored to the payment methods your regular customers use. For example, WeChat or Alipay for Chinese tourists.

The payment method of your eCommerce is a point you should consider from the beginning. The options you offer your customers will make the difference between success or failure, loss, and conversion. Whatever method you choose, remember to offer trust and flexibility.

Why choose one payment method when you can have several integrated into one gateway?

Absolutely right. Now that we live in an increasingly demanding world, where customer preferences change at the speed of light and uncertainty hits us, it is time to strengthen our business!

How? Through payment gateways. Choosing only one way to accept payments from your customers, such as Pay by Link or bank transfer, means closing the door to endless sales opportunities. That is why more and more online stores are integrating payment gateways to:

• Accept local payments tailored to customer preferences.
• Concentrate all channels on a single platform.
• Streamline payments.
• Ensure data security.
• Offer a unique shopping experience to consumers.
• Attract new segments of potential customers, domestic and foreign.
• Quickly solve business payment problems.
• Provide real-time data management and control platforms.
• Offer different payment methods adapted to the diversity of consumers.
• Achieve an optimal eCommerce sales funnel.

Abandoned carts are not just a consequence of shipping costs. Many pain points could suggest the need for an effective payment processor. For example, a website that takes too long to load, confusing prices, unexpected costs that break user expectations, few alternatives in eCommerce payment methods, lack of a unified login, and a common interface to avoid redirecting to an external page at the time of payment, etc. Do not overlook them!

Do you want to solve any questions and choose the right method for your eCommerce? Call us, at PayXpert we are waiting for you.