Most businesses operating within the online payments realm tend to choose their payments gateway without truly making an informed decision.
Before you go selecting a payment gateway for your SaaS application, you need to understand:
- The Different Components of a Payment Gateway
- The Specific Needs of Your Business
3 particularly important components of a potential payment gateway are flexibility, security, and customer experience:
A payment gateway provider that offers flexible payment capabilities should be at the top of your list of potential providers.
Businesses have ever-changing needs. Understanding not only what your business needs now, but also planning for the needs scalable growth is pivotal!
Does the potential gateway provider allow for the addition of additional payment rails? Will payments be able to be processed in different ways (e.g. single vs. recurring payments)?
These are questions that MUST be considered to inform your decision.
The PCI DSS (Payment Card Industry Security Standard) has a set of guidelines established to secure customer information, and there are large fines for any businesses that are not PCI compliant!
The ideal payment gateway provider should be compliant with the highest PCI DSS standards possible.
By the same token, your payment gateway provider should offer fraud protection to offset any chargeback fees, fraudulent activity, etc.
The Customer Experience
The payment gateway is the area on a business website where payments are made. Simply put, streamlined customer experience for online payments will mean more returning customers.
DON’T overlook the importance of a simple, well-designed web form for payments, regardless of whether the form is completed on your site, or on a new page!
Choosing a payment gateway with being well informed is an all too common mistake for businesses that accept payments online. Don’t just choose the first provider that you stumble upon.
There are so many factors to consider beyond the 3 mentioned in this article.