An Ecommerce platform’s client interface is the payment gateway, which is an ecommerce platform’s interface with customers for accepting credit cards. Consumers and businesses can both benefit from a payment gateway, which simplifies and expedites payments in an increasingly cashless world.
If you’re running a B2B business or direct to consumer, the best payment gateway depends on the industry and targeted audience. The payment gateway that will meet yours needs depends on the type of business you are running.
Your customers expect a smooth and secure checkout experience when they shop online. With streamlined eCommerce payment processing, it will reduce costs, reduce card abandonment, and encourage sales.
What is E-commerce Payment Gateway?
An ecommerce payment gateway is a service that facilitates online transactions between customers and merchants by securely processing payment information such as credit card details. It acts as a bridge between the merchant’s website and the payment processor, ensuring the transaction is secure, and the payment is timely. With an ecommerce payment gateway, it would be easier for merchants to accept online customer payments.
Importance of Ecommerce Payment Gateways in India – Explained
The Indian eCommerce Payment Gateway is one of the largest in the world. While India’s digital payment sector is booming and boosting the economy, Indian businesses are creating sophisticated payment ecosystems, such as Neo-Banking.
Efforts are being made by the government to modernize and standardize India’s e-commerce operations when it comes to payment collections, privacy, data protection, and international trade rules.
UPI, Payment Links and digital wallets are becoming increasingly popular in India’s e-commerce payment market, which was previously dominated by cash. Payments by UPI took the top spot among consumers, with a volume share of 64% in volume and 50% in value. In India, digital wallets represent another fast-growing payment method, accounting for a quarter of all e-commerce payments.
As a leading provider of payment management tools for ecommerce platforms, Easebuzz assists ecommerce platforms with access to and management of payments, refunds, transfers, subscriptions, invoices and many other types of transactions.
With Easebuzz, you can solve complex ecommerce business problems related to payments, such as Split payments, Auto recurring payments (eNACH/paper-e-mandate/UPI2.0), Auto refunds on split transactions, Sub aggregator Model, Slices, and Easebuzz Capital.
Best Payment Gateway Role in Ecommerce?
In e-commerce, a payment gateway is a process used for accepting and processing payments over the internet. In order to receive payments, customers are required to provide credit or debit cards, expiration dates, and CVV codes. After this step, the buyer proceeds to pay. The money is deposited into the merchants’ accounts.
How Payment Gateways Helps Ecommerce Platforms
- Online Payment gateways enable merchants and customers to approve transactions online.
- It authorized transactions between merchants and customers through this system.
- E-commerce platforms that offer payment gateways can facilitate the existence of their platforms, which enables them to improve the shopping experience for their customers.
- Besides providing fast and secure payments, eCommerce platforms expedite ease of use and success throughout the entire process.
- E-commerce Payment Gateway services can be offered by banks or third-party providers authorized by banks.
Ecommerce Payment Gateway: How Does it Work?
Ecommerce businesses accept electronic payments from customers. These payments must go through a few steps before they reach the seller.
Process that takes place in Ecommerce Payment Gateways:
1. Checkout:
Checkout is completed and payment information is entered.
2. Transmitting Information:
Using a secure payment gateway, the credit card or other payment details are captured and encrypted.
3. Acceptance by issuer:
If the purchase has been made with a credit card, the payment processor confirms the transaction with the issuing bank. One thing to keep in mind is that it is not uncommon for the bank to contact the customer as well.
4. Approval of Transaction:
Payment Processors inform the customer that a successful purchase has been made after the bank has verified the payment. Shipping and fulfillment receive the information after it has been verified by the bank.
5. Transfer of Funds:
Although the transactions are complete for the customers, the seller’s account does not receive the funds immediately. In a few days, the money will be deposited into their eCommerce accounting software, making the transaction official.
Online Payments Features When Taking Ecommerce Platforms
1. Security of Customers
Security is the most important feature consideration when buying products and services online. Because the customer provides some personal information, it’s only reasonable to worry about security. Buying goods and services online shouldn’t be done without security in mind.
2. RBI and Government Guidelines
Payments online are secure due to guidelines and norms established by the government and RBI. One of these standards is PCI-DSS. PCI-DSS is a set of operational and technical guidelines for accepting and processing online payments. Payment processing companies complying with PCI-DSS standards ensure all customer information is protected while being transported.
3. Methods of Payment –
Recently, many customers prefer to pay with their debit cards or credit cards, while others prefer to use digital wallets. If the payment option they prefer is not available on the checkout page, the customer may simply move to another e-commerce platform.
4. How Payment Gateway Integration with Ecommerce Helps
Having a seamless, comfortable experience from beginning to end is most appealing to customers. As a merchant, you ensure that customers are guided smoothly through the entire purchase process from the moment they click or go on your website, app or Webstore.
A payment gateway integrated into the website allows both merchants and customers to receive instant notifications, cutting down on administrative tasks. Since the payment gateway is integrated, employees do not need to handle and interact with the payment process.
By offering this feature, customers of your e-commerce platform can make payments online without being redirected, increasing your credibility with your customers.
5. Integration of Payment Gateways for Easy-Checkouts
The Checkout page or shopping cart page is equally crucial as you focus on improving the browsing experience and payment process. There are several things you should consider when designing this page. You should give clear instructions to the customer on how to proceed.
In order to simply the checkout process, it is best if only the most basic information is requested on the checkout page. Product and payment information, along with payment options, must be readily available on the checkout page.
6. Speedy Transaction Processing
A faster transaction processing speed gives customers a hassle-free shopping experience. A quicker transaction processing speed ensures the smooth flow of funds between the retailer and the customer.
Payment gateways like Easebuzz simplify accepting online payments and speed up transactions processes for e-commerce platforms providers. Besides the above-listed features, Easebuzz also provides additional services such as free web-store creation, SMS-based invoicing, customized decks and free payment collection links.
Secure and Convenient Ecommerce Payment Gateway for Your Business.
Conclusion
To compete successfully in the growing virtual shopping industry, payment gateways are essential tools for all merchants. The right payment gateway can save money, increase profits, and yield long-term success for your business to help you outlast the competition. Consider your business needs and growth goals to choose the best e-commerce payment gateway for your business.
FAQ’s
1. Best payment gateway for ecommerce websites in india?
Easebuzz is one of India’s best payment gateway providers for ecommerce websites. Their platform offers a variety of payment options, competitive pricing, and efficient customer support. Ease of use and quick setup process are key features that make them a popular choice among businesses.
2. What is the role of a payment gateway in e-commerce?
The role of a payment gateway in e-commerce is to process online transactions between customers and merchants securely. It acts as a bridge between the customer’s payment method and the merchant’s bank account. Payment gateways ensure that sensitive financial information is transmitted securely and that payments are processed accurately and quickly, making online transactions easy and convenient for customers and merchants.
3. Types of payment gateway in e-commerce?
The two main types of payment gateways in e-commerce are hosted payment gateways and integrated payment gateways. Hosted payment gateways redirect customers to a third-party website to complete the payment process, while integrated payment gateways enable customers to make payments without leaving the merchant’s website. Both types of payment gateways have their own advantages and disadvantages, and the choice depends on the business’s specific needs.
4. Which type of e-commerce is a payment gateway?
The payment gateway is a crucial component for all e-commerce businesses, whether a B2B, B2C, or C2C model. It enables online payments and transactions between buyers and sellers, making it an essential part of any e-commerce website. With a payment gateway, businesses could accept online payments and process transactions, which would severely limit their ability to conduct business online.
5. What is Payment Gateway in E-commerce?
A payment gateway in e-commerce is an online service that enables businesses to accept electronic payments from their customers. It acts as a secure intermediary between the customer’s bank account and the merchant’s bank account, processing the transaction and facilitating funds transfer. Payment gateways are crucial to any e-commerce website, allowing businesses to accept payments quickly and efficiently.
