Did you know that an estimated 67% millennials and 56% GenXers prefer to shop online rather than from a store*? Their quest for speed, greater convenience, more buying options, value, and a fulfilling shopping experience enabled by technology has been steadily fuelling the growth of e-commerce. But, have you ever wondered what gets consumers clicking today? Just having the right products and a well laid out online store isn’t enough to attract this new wave of on-the-go consumers.
As a successful entrepreneur, you will need to transition your brick-and-mortar store to an online platform to begin with. Once that is taken care of, payment gateway providers will help you establish a transactional link between you as a seller and the always-on, digitally savvy consumer. As the economy steadily moves towards a less-cash model, the pay on delivery (POD) a.k.a cash on delivery (COD) payment option is falling out of favour. Customers are increasingly relying on credit and debit cards, e-wallets, UPI, and more such payment options to pay for their purchases because of the convenience they offer. It is no surprise then that the digital payment industry is projected to reach an astounding $500 Bn i.e. almost 32 thousand crores by 2020, in India**.
But, does the wide array of available payment options confuse you? Don’t worry. We will help you understand the clear differences between a payment processor, payment gateway, and a merchant account. These three functions are meant to seamlessly work together to ultimately accept and process payments from your customers and credit it to your merchant account. Understanding how this payment ecosystem works may help build your consumer’s trust and be your stepping stone to success.Payment Processors
–Transfers data from a merchant’s system to the customer’s issuing bank and between the acquiring banks that the merchants use. It moves the information forward to enable a complete transaction. .Payment Gateways
– Authorises card payments and transactions securely. The right e-commerce payment gateways can facilitate online transactions by encrypting sensitive financial data while moving it from the payment portal and the front-end processor. Some even have support for different payment modes, multiple currencies for global retailing, controlled transaction fees.Merchant Accounts–
Are all about convenience and are a must for online sales. These user-friendly accounts accept multiple modes of payments. They provide your consumers with flexible, fast, and secure payment options and extend your market reach, provide your business a competitive edge.
Convenient, sustainable, and secured payment options continue to be the key consideration for a consumer when it comes to selecting a retailer online. To win the mover and then retain their business, you can collaborate with payment gateway providers to integrate secure digital payment options into your store. This will allow consumers to purchase with just a few clicks and in time, drive up your sales volumes positively.
Now that you are aware of the payment gateway providers
, all you need to do as an existing seller is, to register for Amazon Pay for merchants
. Expand your consumer following by providing them with a secure, convenient, and quick ways to pay for their online purchases. Amazon will help you
set up the payment gateways for your products and services.
Paperless e-commerce payments with payment gateway providers is clearly set to revolutionise online transaction processing. Amazon Pay on merchants can act as your secure portal to not just protect your business and consumers transactions but also help increase conversions, boost sales, and gradually grow your business.
*Source: Big Commerce: The 19 Ecommerce Trends + 147 Online Shopping Stats Fueling Sales Growth in 2018
**Source: Inc42: Digital Payments In India To Hit $500 Bn By 2020: Google And BCG Report