At some point, anyone that wants to set up and manage their own online store
would have to select a payment gateway for their store. However, many do not know what a payment gateway is or why they need one. When you are selling online, it is important that every transaction is secure and fits the needs of your customer. Many problems can occur without the correct payment gateway.
- High bounce rates because visitors are not sure whether or not your site can be trusted
- Cart abandonment due to the long and complicated buying process
- Being a victim of fraud because of no security
Now those are just a few out of the many.
Despite all of these problems, online sellers still choose to provide options such as cash on delivery and bank transfers. The focus should be on building a fully automated online store, so those payment options are not viable in the long run.
Process Payments Directly On Your Store
The best way to process payment is to have a merchant account with a payment gateway and process payment directly from your online store.
It might cost you a bit more upfront, but it's definitely worth it. The ability to process payment without a customer having to physically leave your website will not only give credibility to your store but it will increase conversions as well.
What is a Payment Gateway
A payment gateway is an e-commerce service that allows merchants to accept credit card and other forms of Internet transactions (online banking) securely via your website or online store.