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Which payment gateway is perfect for your business?

Summary

No company can stay operational for long unless it brings in cash and therefore, you will need to make it as easy and easy as possible for your customers to invest with you. Getting the ideal payment gateway to your […]

No company can stay operational for long unless it brings in cash and therefore, you will need to make it as easy and easy as possible for your customers to invest with you. Getting the ideal payment gateway to your POS is very important to support the ongoing purpose of your company, and your ability to turn a profit.

What is a payment gateway?

Quite simply, a payment gateway is the equivalent of A payment gateway is an eCommerce solution in the shape of applications that authorizes credit card payments for businesses. It’s the equal of POS terminals found in retail outlets. But and in bricks and mortar stores, it may also be used for online transactions.

How do I know what’s best for my clients?

Offering your clients with an efficient and convenient payment procedure is crucial. If the transaction is too confusing or a time consuming then they may give up and go elsewhere. When deciding on your choice of payment gateway, one of the main considerations you want to make is what’s going to work best for your clients depending on the sort of product or service which you’re providing.

By way of instance, if you’re a shop selling things with an average price of $500 or more, you can reasonably expect that most your clients will make purchases using card as opposed to cash. Alternatively when you’ve got a shop that sells items with a normal value of $10 then you want to make certain you have the choice for your customers to pay using money as well as using a payment gateway in your point of sale. You should also look at factors such as whether your in-store payments are larger than online payments or vise versa.

Online Transactions

Nowadays there are lots of payment gateway available out there that integrate with famous point of sale software systems. Even though it’s hard for us to compare them all, we have prepared a simple comparison for 3 selected online payment gateways. We hope this comparison can help you to get started with your search and provide some comparison standard to search for according to your requirement.

The three payment gateways we picked for the comparison are Stripe, PayPal and eWAY. For each of them we will compare three areas of concern so as to help you choose which is ideal for your business.

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Please note: This article was written on 23rd June 2015. Rates and other contrast are based on information available to us at the time of writing this report.

Stripe

Launched in 2011, Stripe is a US based system which supports payments in 20 countries throughout the planet in over 100 currencies. It provides automatic conversions allowing customers to pay in their local currency.

Set up

Currently processing times from first setup and activation to getting funds on your account is around seven days. Customers have the ability to remain on the merchant site instead of being redirected to Stripe to make a payment. This may make clients feel more secure about spending with you.

Fees

2.9% + 30cents per successful charge.
However Stripe does provide some volume-based discounts. For exact discounts you want to speak to their team.
If you will need to process a refund, Stripe yields the whole fee without you incurring any fees.
There are no setup fees, no card storage charges and no ongoing monthly charges for using the gateway.

Customer Support

Support for Stripe is completely online based, without a phone contact available. Emails are the best type of contact with answers usually always received within 24 hours.

PayPal

Possibly the online payment gateway which most individuals are knowledgeable about, Paypal allows any person, sole trader or company to securely send and receive cash. All that’s required is an email address. It originally had a stronger presence in the world of internet auctions and private sales. However, it’s now increasingly being used for business transactions including services, digital content and real products.

Founded by eBay in 2002 and currently based in California, USA, it’s available in over 200 countries and in over 26 currencies.

Set up

No company bank account is required when using Paypal. Merchants only require an email address to register and begin trading. Setup is so simple you could begin using your Paypal account the very same day.

Customers are redirected through the secure Paypal site every time they have to make a payment. Monies are received into your account the next working day.

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Fees

2.9% + 30cents per successful charge.
Paypal also provides volume based discounts. However there are numerous service fees that could apply across transactions including for refunds and worldwide cards or where a currency conversion is necessary.

Customer Support

Paypal provides a powerful active community online where inquiries are often asked and answered by proactive customers and Paypal staff. They are busy on Twitter and are happy to provide initial support on the market. There’s an extensive FAQ section and they also provide telephone and email support.

eWAY

Launched in 1998 and trading in 8 states, eWAY is a secure online payment processing gateway that moves your card details on your bank for processing when you enter into a transaction.

Set up

Setting up entails enrollment and then selecting which service package is perfect for your business requirements. You can expect to start taking customer payments in about 6 days from enrollment.

Fees

EEWAY fees are based on volume of turnover. By way of instance, if your company is taking approximately $10’000 AUD per month then you could expect to cover 2.0% + 25cents per transaction. There could also be a monthly fee of $10.
Their’All in One’ bundle includes all charges and fees so you understand just what you’ll have to be paying every month.

Customer Support

EWAY provide 24/7 telephone and email support, together with a Live Chat services.

At POS Transactions

Payment gateways are also needed at conventional point of sale counters in physical shops. Many companies and retail outlets are moving towards more efficient and paperless card based transactions. Having said that, there are still a proportion of people who prefer to use cash rather than POS gateways as so you’ll have to make certain your company still has this capacity.

Cash

The most traditional type of payment; using money is simple, fast and effortless.

Set up

You’ll require a cash drawer or cash box in your POS to put away the money you take, and this will require a daily’float’ to make certain you have sufficient change to give clients. You’ll also have to establish a merchant bank account to keep track of your money, and deposit your takings yourself on a regular basis.

Fees

Besides the initial investment in a money drawer, there’s very little cost involved in setting your company up for money payments. However, if you’re seeking to employ a cash transporter service then these will incur an additional monthly fee.

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EFTPOS

EFTPOS stands for’Electronic Funds Transfer at Point of Sale’ and enables customers to make card payments at any given physical POS by studying a card and receiving authorization from card issuer bank to complete the transaction. At some EFTPOS terminals (according to company’s policy), clients are also able to perform’cash out’ transactions along with their purchases, saving them a trip to an ATM.

Set up

So as to set this up payment processing gateway you will need to get a’merchant account’ with your own bank. The EFTPOS subsequently links to the merchant account to transfer the funds from your customers’ bank into your account.

Fees

This may vary depending upon your transaction size, volume and several other factors. Please ask your company bank account manager directly to find out more.

Paypal Here

PayPal now also offers PayPal Here for in-store payments. The chip & pin technology is regarded as potential of in-store payment processing. Using Bluetooth technology, the Paypal Here app links your cell phone or tablet computer to the card reader so as to take payments, eliminating the need for a physical cable connection.

Set up

To be able to utilize this service you want to make certain that your Paypal account has been updated to PayPal Premier or Business. PayPal Here functions with its committed Chip and PIN POS hardware.

Fees

Paypal charges 2.75% for purchases made with Chip and PIN cards and Paypal check in.
However, it costs 3.4% + 20p for card payments for transactions made by swiping the magnetic stripe or manually entering card information.

Whether your company is large or small and offers a service or merchandise, there’s a payment gateway on the market to fit your needs. We hope that this report has been informative and helpful on your decision-making procedure.

See also
  1. what-is-real-time-synchronization-in-pos
  2. future-of-in-store-payment-processing
  3. everything-you-need-to-consider-before-buying-a-money-drawer

Chavellenge is one of our integration for Pos for magento . You can take a look at the Retail Cloud pos system software on our site and see other pos extensions like : shopify posbigcommerce pos for retail stores. Our Pos system is trusted by 2000+ retailers around the world. ConnectPOS integrates online and brick-and-mortar store through advanced POS features.

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