All e-commerce websites need a way of taking payments. Both our e-commerce website packages can handle many different payments systems such as Paypal, Sagepay, Streamline, Worldpay and Cardsave. The decision that you have to make is which type of payment system you would like to use, ‘pay as you go‘ or ‘payment gateway‘.
Pay as you go
This is the simplest way of taking payments from your online shop, the customer will either pay using their own account, e.g. Paypal or they can pay using their credit or debit card. You will be charged per transaction at a rate of about 2%. No other fees are charged and you simply see the funds in your account ready to transfer into your business bank account.
There are lots of e-commerce providers out there, we recommend going with Paypal because it is internationally recognised. Thanks to Ebay, Paypal is the standard way of paying for goods online and people trust it. There are different levels of accounts offered by Paypal such as standard accounts and business accounts that allow you to access different features, have a look at their website for more details.
However, there are some other reputable providers out there such as:
- Easier, quicker and cheaper to setup
- International recognition
- Trustworthy providers
- Manage account online
- You do not need a merchant account number
- You do not need an SSL certificate
- Payments can be taken from the providers website then the customer is sent back to the website
- Higher transaction charge
- Not as professional looking
This works completed differently and is slightly more complicated but it works out cheaper if you expect a large amount of transaction. A payment gateway works like a ‘middle man’, your online shop will include software provided by the payments gateway, the payments gateway will then take the payment, talk to the merchant (bank) to process the payment securely.
- Highly professional
- Better experience for the customer
- PCI security is handled by the payment gateway
- Integrated payments system, i.e. the user always stays on the website
- Not straight forward to setup
- More expensive for lower amounts of transactions
- SSL needs to be purchased (Although this could be a good thing for reassuring customers about security)