A payment gateway is the simplest way for a business to collect digital payments from its website. The global payment gateway market size is anticipated to witness an annual growth rate of 21.5% CGAR from 2020 to 2027. In no time, online transactions have become extremely prevalent, transforming the way customers purchase.
Most reliable eCommerce websites are transacting online through debit/credit cards and via other modes like net banking, e-wallets, UPI, etc. Incorporating a digital platform to accept transactions online has become an indispensable feature for all eCommerce businesses, especially startups looking to improve their overall business performance. Here, we will talk about the leading benefits of payment gateway services for startups.
This is indubitably the greatest benefit of investing in payment gateway services. With online payments, customers can carry out disbursements instantly while sitting in the comfort of their homes. It breaks the geographical restrictions and allows the customers to purchase without physical presence. One can easily shop for things from anywhere, anytime, and pay instantly using different modes.
Besides, the gateways accept payment promptly and send notification of the transaction that makes the customer stay assured of the procured items. Lastly, they are typically much faster than manual processing, saving time and offering added convenience for both sellers and customers.
According to DAC, 88.6% of Americans have indulged in impulse buying with an average of $81.75 per session and $17.78 billion per year. Impulse buying is not a rare occurrence, thanks to online payment gateways. Offering a digital platform with a quick payment facility encourages customers to purchase their favorite pair of sneakers at any time, especially when they have just finished watching an excellent NBA game.
It makes them indulge in a trendy pair of clothing that was just worn by their favorite celebrity. The two are examples of an impulsive decision that could have changed in the morning if they had to visit a physical store.
Improved User Experience
A carefully designed payment platform offers much more than the ability to make transactions online; it provides a real-time user experience. Shortlisting the products and adding them to the cart, saving products in the wishlist, or bundling them for a later purchase are just the things that promise an exceptional customer experience.
In addition to this, having a robust online payment system in place that is PCI-DSS compliant ensures that the customers thoroughly enjoy their shopping journey. Such a system enables the users to securely store their credit card information so they don’t have to fill out the details every time they make a purchase.
If you are a startup offering some subscription-based services to customers where they can make payments after every fixed interval, then having the option of online payments can be much more feasible for you. Sending reminders to customers every time and asking them to deposit checks by physically visiting the store can be quite a hassle.
Instead, you can automate the payment collection process by integrating a gateway service at the end of each cycle. This makes the buying process quick and easy and adaptive to the needs of the customers.
Reliable mode of payment for Global Merchants
A good online invoice software with advanced functionalities is much more secure and credible than receiving payments via cheque. With these systems, you can receive money instantly without any risk of bounced cheques or additional fees related to it. Furthermore, customers can use their credit cards to initiate, even when they don’t have sufficient balances in their bank accounts.
The payment can be divided into multiple installments, especially in the case of luxurious items. And customers can use their credit cards to make the payment for their purchase in installments.
Due to the advancement in technology and the shift in consumer behavior, millennials are increasingly looking for businesses accepting payment online through their app or website. They tend to trust such merchants more and feel encouraged to purchase from them. For startups looking to attract and engage more customers, having an online Shopify payment gateway in place is a must.
Most online invoice payments today offer customers fraud protection that secures their money. These systems are fully compliant with PCI standards which results in secure transactions and builds customer trust.
Gaining a competitive advantage
This is a surefire way for startups to gain an edge over their competition and establish a loyal customer base. Having an option to receive e-payments can improve reputation, allowing the business to secure the trust of the customers. Besides, when all others have an online system, you simply cannot afford to ask through cheques as then your strategies will sound significantly obsolete.
A payment gateway emphasizes creating a secure and seamless pathway between customers and merchants to securely facilitate payments. The process involves the authentication of both parties from the banks or any other financial institutions involved. The greatest advantage of a gateway is that it allows millions of customers to use it simultaneously and purchase their chosen goods or services from the comfort of their homes.
So, if you are a startup looking to increase sales and promise a hassle-free customer experience, investing in a global payment gateway service is a must.