How to accept payments online for your eCommerce business
If you’re thinking of opening an eCommerce business or are looking for ways to improve your existing one, it’s important to think about how you will accept payments online.
Online purchases have turned into the lifeblood of commerce in recent years, with the global COVID-19 pandemic driving even more of us to internet shopping. Merchants of all industries across the globe are looking for the most effective ways to offer their products online – and how to accept payments in the cheapest and easiest ways.
There are a number of ways you can accept payments online. Your goal should be to provide an optimal mix of payment options that match your specific business needs and the needs of your customers.
In the sections below, you can get to know the basics about online payments. Understand the most important online payment options that you should offer to clients, and how to go about setting up your own online payment system.
Why accepting payments online is essential for your eCommerce business
Online payments are growing exponentially, and the world is steadily shifting towards non-cash transactions. The worldwide eCommerce transaction value is expected to grow by 8.9% year-over-year with customers consistently making the choice to pay online for products and services.
The available online payment options on your website should provide your customers with the ease of use and speed they need.
If you want to stay relevant and competitive, you also need to account for the specific payment preference of your customers. You need to ensure that you provide your clients with the most convenient and secure online payment methods. The more options they have, the higher your conversion rate will be.
How to accept online payments for your small business
Being able to get paid online is essential for your eCommerce business success. But how to go about making it a reality?
In order to accept online payments, you would usually need to have a payment gateway that provides a variety of payment options and securely processes your customers’ payment information. You would also need a merchant account to accept debit and credit card payments.
The best approach for new companies who want to start accepting payments on their eCommerce store is to choose an all-in-one online payment solution like Skrill. Such single integration platforms take away the stress of processing online payments by providing a user-friendly, secure, and fast financial solution. You can open a merchant account and integrate the payment gateway on your online store in a few easy steps.
According to a recent study by ECC Köln, online shoppers are starting to rely more and more on payment service providers like Skrill because of their ease of use, speed, security, and multicurrency support. This type of all-in-one payment solution makes life easier for business owners as well. You don’t need to learn all the intricacies of digital payments at once and you don’t have to take care of complicated currency conversions. Instead, you can rely on the platform for meeting security and compliance standards, as well as for providing a variety of payment options to your customers through a single interface.
To get started with the online payment system, you just have to install the plugin on your shopping cart platform. Once installed and set up, online transactions are securely processed on your eCommerce website, supporting over 40 different currencies and providing various payment options to your customers.
The most common online payment options
What are the typical online payment methods for small businesses and for eCommerce shop owners?
Credit and debit cards
Allowing customers to pay for their purchases online via their credit or debit card is a must. It’s one of the most popular payment methods, and online shoppers expect this from all online merchants.
The most commonly used cards include Visa and MasterCard. The more types of cards your payment system supports, the better for your customers.
The traditional bank transfer is still a viable payment option that’s preferred by many customers. So it’s a good idea to ensure that your payment system supports that. You would need to provide customers with your banking details, such as IBAN.
Some payment service providers boast digital wallets, also known as e-wallets. Both you and your customers would need to have accounts with the same provider. You can link your bank account to your digital wallet to upload and withdraw funds. Digital wallets are steadily gaining in popularity with online shoppers, so it’s worth offering that payment option for their convenience.
Local payment methods
Different regions have different local payment methods that are often preferred by customers there. These may include alternative local payment methods, digital wallets, local bank cards, vouchers, and prepaid cards, among others. The more options your payment service provider supports, the more you can cater to your clients across the world, considering their local preferences.
Start accepting payments at your online store
Are you ready to integrate a payment gateway and start accepting online payments from anywhere in the world? Sign up for a free business account with Skrill today and unleash the potential of your online shop.