Articles

How to Choose the Best Payment Gateway in India

by Amit K. Marketing Manager

Accepting payments from consumers isn't as simple as turning a button and seeing the money roll in, but it still doesn't have to be tough. You literally need to find the best payment gateway in India for your business. Customers can easily buy your goods if you have the correct payment gateway. Choosing the best suit takes time, but we've discovered a few tricks to help you narrow down your options and make the process easier.

Sifipay.com

Let's look at ways to find the best option so you can concentrate on what really matters: opening your new shop.

How payment gateways work

If you're reading this, you obviously know you need a gateway but aren't sure why or how they function. Let's take it one move at a time. To begin, a payment gateway is a program that enables a shop to safely request transactions from customers. When a customer clicks "order," the machine takes care of the rest.

Your gateway:

1.       Verifies each customer’s billing information.

2.       Authenticates funds for each customer’s payment method.

3.       Approves requests, allowing your store to issue a confirmation number.

4.       Most importantly, gets you paid!

Now that you have a better idea of the “why,” let’s look at how to find the right gateway for your store.

Your first choice: modern or classic

Previously, both gateways required store owners to register for a merchant account — a separate bank account that enabled direct credit card payment receipt. There was no way for the payment gateway solutions in India to transfer money to your bank unless you had a merchant account.

There are now a plethora of payment gateways that do not necessitate the use of a merchant account at all. They take money straight from your bank or credit card, check it, and deposit it into your account. To clarify, payment gateways that include a merchant account are referred to as "traditional" gateways, whereas those that do not are referred to as "new" gateways.

Modern payment gateways: easy setup, but higher fees

Sifipay is an example of a “modern” payment gateway – one that does not need a vendor account. The most significant advantage of these gateways is that, in most situations, you would not need to adjust bank accounts or do anything extraordinary to get started. Furthermore, incorporating these gateways with your store is typically an easy operation.

Classic payment gateways: more hassle, but better for bigger stores

Classic payment gateways can be inconvenient as compared to modern alternatives. They not only take longer to set up and necessitate any basic expertise, but they also necessitate a merchant account. If you want a traditional payment gateway, you would need to locate and register for a merchant account with a bank. Since they are not available from all banks and clearance times vary by company, this can add up to four to six weeks to the configuration period.

However, as previously reported, per-transaction fees for conventional gateways are often smaller than those for modern gateways. So it’s worth considering how much you’ll pay in the long run, and if a little hassle is worth more than the gateway fees. You can still change gateways in the future, but doing so has its own collection of concerns.

Consider the benefits of hosted vs. integrated gateways

Payment gateways, including eCommerce sites, have hosted and self-hosted solutions. They can also be hosted off-site or built into the shop. As you might have guessed, all choices have benefits and drawbacks.

Hosted payment gateways

Your consumers will be routed to the payment processor's website to enter payment details by using a hosted gateway. The main advantage of this setup is that the offsite contractor is in charge of both PCI enforcement and computer protection. This is one less thing for you to be concerned with, and big hosted processors will have details on their enforcement and security methods available if you need it.

However, there are several possible drawbacks. Offsite payment processors are not trusted in some countries, but they are favoured in others. So, before settling on a hosted gateway, you'll need to know how the target audience feels about it. Often, steering a buyer away from your website can be disconcerting at times and can actually affect your sales rates if it is not a known and trusted gateway.

Integrated payment gateways

The API of automated payment gateway solutions in India links to your eCommerce platform. The other benefit is that consumers never have to leave your shop to enter payment details or place orders — it's a smooth, streamlined experience. Of course, the disadvantage is that you must connect with the gateway of your choice. If you pick one that isn't supported "out of the box," you can need to do some custom programming to get it to work properly.

You are also responsible for adhering to your country's laws and legislation, including the PCI Security Standards, as a result of integration. A lack of protection could endanger your customers or lead your store to an audit.

Narrow down your options: start by considering pricing

At this point, you should have a clear idea of what kind of gateway you want, whether modern or traditional, embedded or hosted. You will now begin to narrow down your options, beginning with price. About all payment gateways charge fees, typically per purchase or per month of use. The gateways you consider can charge one or more of these fees, or they may also scale their fees based on how much you use them.

A three percent per-transaction charge does not seem like much, but it can easily add up whether you're selling high-end products or in huge amounts.

Planning recurring payments? Look for automatic billing support

If the company will be selling subscriptions or memberships, make sure the payment gateways you're considering accept recurring payments. If they don't, the consumers will have to renew their subscriptions manually every month, which can be a big hassle. To assist you, we have assembled a list of payment gateways that accept subscription payments.

It's worth remembering that the gateways are often labelled to show when they make modifications to payment dates and sums without canceling and restarting the subscription, which is handy for stores that plan to sell multiple subscription or membership tiers.

Review the purchasing process in full detail

When you narrow down your options, keep in mind how each gateway will look on your store and what kind of experience it will provide your customers. Consider how many moves a shopper would need to take to get from their cart to a confirmation page. They will abandon their purchase if you ask too much of them.

Most payment gateway providers either have a demo on their website or will gladly show you one if you request one. This is a quick way to see how the procedure will work in your shop, what screens consumers will see, and what information will be needed. Integrated gateways are also more flexible than hosted gateways so you can choose between a one-page or multi-page checkout, style type fields to your liking, and more — effectively removing all possible obstacles to buying.

Don’t be afraid to just get started

When you're opening a new shop, you do not want to waste a lot of time or money on setting up the best payment gateway in India. That is entirely appropriate. Since it is an automated portal, your consumers can pay directly on your platform, resulting in a smooth checkout phase, but you can also rest assured that their payment information is safe. You will do anything from the same dashboard you're always used to. View receipts, report cash flow, issue refunds, and more on your website.

Accepting payments is a critical step

Including a payment gateway in your store is an important step in the pre-launch process. When you're able to receive payments, you can proceed with confidence, trusting that you choose the best payment portal for your needs.



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About Amit K. Committed   Marketing Manager

657 connections, 25 recommendations, 1,565 honor points.
Joined APSense since, February 5th, 2021, From Kolkata, India.

Created on Apr 23rd 2021 02:17. Viewed 165 times.

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