If you are running online business in Bharat, you need a payment gateway to accept payments from your customers. A payment gateway is a service that connects your website or app with your bank account and enables you to process online transactions securely and efficiently.
But how do you choose the best payment gateway for your business website? What are the factors that you should consider before signing up for one? And how do you integrate it with your website or app?
In this article, we will answer these questions. Take you through the process of using payment gateways for your online business.
We will cover the following points:
- When you should consider a payment gateway
- How payments are processed via payment gateways
- Defining your return – refund policy, terms of use and privacy policy upfront
- Thinking about product delivery system after sale
- What are options for the payment gateways in India, which one to choose. Does your volume or business size matter while choosing payment gateway?
- How easy you can apply and integrate them.
When You Should Consider a Payment Gateway
A payment gateway is essential for any online business to sells products or services. If you want to accept payments from online customers you need payment gateway. It should enable users using credit – debit cards, net banking, UPI, wallets payment methods to pay you effortlessly.
If you want to offer a seamless and convenient checkout experience to your customers. Payment gateway helps to reduce the cart abandonment, increase conversions, and comply with the security and regulatory standards.
How Payments are Processed via Payment Gateways
A payment gateway acts as a bridge between your website or app and your bank account. It facilitates the transfer of information and funds between the buyer and the seller.
Here is how a typical payment process works via a payment gateway:
- The customer selects a product or service on your website or app and clicks on the buy button.
- The customer is redirected to the payment gateway’s secure page, where they enter their payment details.
- The payment gateway verifies the payment details with the issuing bank or card network. It also sends a confirmation or rejection message to your website or app.
- If the payment is successful, the payment gateway transfers the funds from the customer’s account to your merchant account. A special bank account that holds your online payments for a period and then it realizes.
- The payment gateway sends a notification to your website or app about the status of the transaction.
- Your website or app displays a confirmation or error message to the customer and updates the order status accordingly.
- You deliver the product or service to the customer and issue an invoice or receipt.
Defining Your Return – Refund Policy, Terms of Use and Privacy Policy Upfront
Before you start accepting payments online, few legal policies need to be defined. You need to define and communicate your policies regarding returns, refunds, terms of use, and privacy to your customers. These policies help you establish trust and transparency with customers and protect your rights and liabilities as an online seller.
Return – refund policy – It should clearly state under what conditions you accept returns or issue refunds. Customer should get idea, how long it takes to process them, who bears the shipping costs, etc.
Terms of use policy – should outline the rules and regulations that govern your website or app. It should focus on what kind of content you allow or prohibit, how you handle disputes or complaints, etc.
Privacy policy – It should explain how you collect, use, store, share, and protect your customers’ personal and financial information.
We recommend that you must get these written from your legal advisor and then publish. You should display these policies prominently and make them accessible to your customers at all times. You should also obtain their consent before processing their payments or collecting their data.
Thinking About Product Delivery System upfront
Another important aspect of running an online business is ensuring timely and safe delivery to your customers. You need to have a reliable and efficient product delivery system. It should handle orders of different sizes, locations, and modes of delivery at reasonable price.
You can either manage your own product delivery system by hiring staff, vehicles, warehouses, etc. You may consider to outsource it to a third-party logistics (3PL) provider. So that service – partner can handle everything from packaging to shipping to tracking for you.
You need to ensure that your product delivery system is aligned with your customer expectations and satisfaction. You need to provide accurate and updated information about the availability, pricing, delivery time, tracking number, etc., of your products or services. You also need to handle any issues or queries related to product delivery promptly and professionally.
What are Options for the Payment Gateways in India, Which One to Choose. Does Your Volume or Business Size Matter While Choosing Payment Gateway?
There are many options for payment gateways in India that cater to different types of online businesses. Some of the most popular ones are:
- Razorpay: Razorpay is one of the leading payment gateways in India that offers 120+ payment modes. It includes domestic and international cards, net banking, UPI, wallets, EMI, and pay later options. It also supports international payments in 100+ currencies. Razorpay charges 1.90% per transaction for domestic payments and 3% for international payments. It also offers a powerful dashboard, easy integration, robust security, and instant settlements.
- Cashfree: Cashfree is another prominent payment gateway in India that provides 100+ payment modes. It supports cards, net banking, UPI, wallets, EMI, pay later, NEFT, IMPS, and PayPal. It also supports international payments in 30+ currencies. Cashfree charges 1.75% per transaction for domestic payments and 3.50% for international payments. It also offers a fast settlement cycle of 24 to 48 hours, an instant settlement feature, and a user-friendly dashboard.
- CCAvenue: CCAvenue is one of the oldest and largest payment gateways in India. It offers 200+ payment modes, including cards, net banking, UPI, wallets, EMI, pay later, NEFT, and IMPS. It also supports international payments in 27 major currencies. CCAvenue charges 2% per transaction for domestic payments and 4% for international payments. It also offers a multi-lingual checkout page, dynamic routing, real-time reports, and fraud prevention.
The choice of payment gateway depends on various factors such as your business size, volume, nature, target market, budget, etc. You should compare the features, benefits, charges, reviews of customers and support system. After studiying choose the one that best suits your business needs and goals.
How Easy You Can Apply and Integrate Them
Applying and integrating a payment gateway with your website or app is not a difficult task. If you follow the instructions and submit documents correctly, it can be implemented in 4-5 days. Generally, the process involves the following steps:
- Registration : Registering with the payment gateway provider by filling an online form and submitting the required documents. This may include identity documents such as PAN card, bank account details, GST certificate, etc.
- Verification : Your identity and business details verified by OTP or link sent to your email or phone number.
- Choosing a plan : Selecting right plan matches your business requirements and paying the fees or charges if applicable.
- Getting access : Get your hands on the dashboard. Use API keys that enable you to integrate the payment gateway with your website
- Sandbox Tests : Testing the integration by making some dummy transactions and checking the status and reports on the dashboard.
- Going live with the payment gateway and accepting payments from your customers.
Conclusion
Using a payment gateway for your online business in India can help you increase your sales, customer satisfaction, and credibility. To provide more comfort payment options, one should not rely on one payment gateway service. However, you need to choose the right set of payment gateways that meets your business needs and expectations.
We overviewed how to implement payment gateways for your online business in India by covering the following points:
- When you should consider a payment gateway
- How payments are processed via payment gateways
- Defining your return – refund policy, terms of use and privacy policy upfront
- Thinking about product delivery system after sale
- What are options for the payment gateways in India, which one to choose. Does your volume or business size matter while choosing payment gateway?
- How easy you can apply and integrate them.
We hope this article has helped you understand how to use payment gateways for your online business in India. If you have any questions or feedback, please feel free to comment below.
Our Reference Sources for above article were:
: https://www.brandloom.com/10-best-payment-gateways-in-india
: https://razorpay.com/payment-gateway/
: https://thedigitalskipper.com/payment-gateways-india/
: https://meetanshi.com/blog/best-indian-payment-gateways/
