As we all know, ecommerce portal conversion rates fall as a result of a lack of research when choosing a payment gateway.There are plenty of advance payment channels now that internet commerce has taken over the globe. Choosing the most potent ones, on the other hand, is essential to making the most of it. For those who have a good understanding of payment gateways, let's look at the important elements to consider when selecting one for your eCommerce site. Read more......

1. 7 factors to consider while choosing an eCommerce Payment Gateway
Lack of considerations in selecting a payment gateway adversely affects the conversion rate of
ecommerce portals. In fact, the average cart abandonment rate stands at 69.57%, as per the
Baymard Institute. They have calculated this value after analyzing 40+ studies.
With digital commerce ruling the world, there’s no shortage of advance payment gateways.
However, choosing the most potent ones plays a crucial role in making the most of it.
Here you will find the following to clear your doubts and confusion regarding payment
gateways:
● What exactly is a Payment Gateway?
● The working process of Payment gateways.

2. ● How do Payment Gateways secure information?
● Top 7 factors to keep in mind while selecting a Payment Gateway.
Discussing first things first;
What is a Payment Gateway?
Payment Gateway is the technology that allows businesses to collect digital payments from
clients. It works by connecting the client’s bank account to the business platform to transfer the
amount smoothly.
The standard payment modes include credit cards, debit cards, net banking, wallets, QR code,
UPI, etc.
How does a Payment Gateway work?

3. To keep it lucid, I have explained the entire process in simple steps:
Step-1: The process starts when the user selects the check-out button/payment option or any
other equivalent.
Step-2: The user then lands on the Payment gateway page.
Step-3: He/She fills all the debit or credit card data and clicks the submit or ok option.
Step-4: The Payment Gateway then lands the user on the secured page of the issuing bank and
asks for transaction authorization.
Step-5: Once the user authorizes the transaction, the Gateway checks the availability of the
transaction amount in the user account.

4. Step-6: When the balance is sufficient, the bank settles the amount to the Payment gateway and
the user’s account.
That was a concise explanation of how a Payment gateway works. The entire mechanism is
secured by ensuring encryption, hash function, etc.
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Here’s how the Payment Gateway secures the entire transaction process
● The transaction gets carried out through an HTTPS server where the letter S stands for
Secure. The server develops an encrypting link between the browser and the webserver.
● The system relies on a signed request which remains confined between the user and the
Payment Gateway only.
● The IP of the server gets checked for any malicious activity, spam, etc.
● To ensure an additional layer of security Virtual Payer authentication is employed in the
Payment Gateway.
Having gained sufficient knowledge about Payment Gateway, let’s have a look at the crucial
factors that must be taken care of while choosing one for your eCommerce platform.
Here are the top 7 factors for choosing an ideal Payment Gateway
1. Track and integrate the popular Payment modes
When catering to eCommerce clients, you don’t want to lose potent sales due to the lack of
popular payment options. So, it is essential to analyze the most preferred modes of payment.
The Infographic below presents an idea of the preferred payment options worldwide.

5. Source: Statista
The infographic clearly illustrates that the cards, vouchers, and mobile payment options are
preferred modes of Payment. The preferred payment option also depends upon the target
audience of the Commerce platform.
For example, an eCommerce platform catering to senior citizens witness higher transactions
using credit and debit cards while catering to younger generation witnesses’ transactions using
e-Wallets, QR code, etc.
Once you have found them, it is necessary to ensure that the Payment gateway you choose is
compatible with all of them.
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6. 2. Consider integrating international services
Retail eCommerce solutions that aim to reach a high target audience must consider integrating
international payment services. Opting for integration of Payment Gateway that supports
international transactions is costlier but proves worthy in the long run of the enterprise.
While selecting an international Payment Gateway, look for buyer’s protection besides accepting
all kinds of credit and debit cards.
3. Ensure Quicker Onboarding
Payment Gateway service activation requires you to go through document verification,
authorization, etc. The eCommerce web development services provider must ensure planned
integration of the Payment Gateway to minimize the risk of delay on the project. You can also
hire top ecommerce developers to ensure planned integration of the Payment Gateway
to minimize the risk of delay on the project.
4. Look for consistent support

7. Inefficient performance of the Payment Gateways due to technical glitches, a high number of
users, etc., adversely impact the conversion rate of the eCommerce platform.
It is essential to go for standard Payment Gateways that offer continuous support to your
eCommerce platforms to tackle minor and major issues. Client support in the form of emails, live
chats, calls, etc., facilitates quicker resolving of problems and errors.
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5. Availability of Smart Analytics
Ecommerce growth can be effectively analyzed by looking at the smart analytics offered by
Payment Gateways. The analytics will help you realize the frequency of transactions done by
clients, the preferred mode of payments, whether cards, net banking, or mobile wallets.

8. 6. Consult overall charges
The majority of the eCommerce Payment Gateways charges around 2% to 6% and a processing
fee of $0.30. Before selecting any of them, it is essential to look whether the Payment Gateway is
also charging a setup fee, annual fee, etc.
Payment Gateways like PayPal and Amazon Pay don’t charge a setup fee for the investing
eCommerce platforms. Overall, the Payment Gateway services may require you to pay for the
following:
● Registration Fee/ Setup Fee
● Monthly charges
● Charges on each transaction either fixed or dependent upon the sum
● Charges for making refunds
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7. The level of Security offered

9. According to Software Development Stats, 21% of data breaches are done on credentials. The
level of security offered builds trust among the consumers of the eCommerce platforms. While
choosing any standard Payment Gateway, you can check whether they offer 3D security,
measures for fraud prevention, two-factor authentications, etc.
Standard measures employed for enhancing the security level of the Payment Gateways include
the following:
● Secure Socket Layer (SSL) certifications
● Secure Electronic Transaction (SST)
● Payment Card Industry (PCI) compliance
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10. Final Words
That was all about the essential things you should consider while choosing an eCommerce
Payment Gateway. The eCommerce website development company in India offers integration of
safe and secure Payment Gateways to develop a smooth functioning platform.
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