In 2021, under the influence of the epidemic, online Consumption of consumers has grown up on a large scale, which stimulate the rapid development of the global-commerce retail industry. As a global payment solution provider, Oceanpayment actively participates in the global E-Commerce processing to offer payment gateway service and solution.
What is a Payment Gateway?
The payment gateway serves as the interface between the financial network system of the bank and the Internet network. This is a collection of servers operated by the bank to convert data transmitted over the Internet into internal data of the financial institution, or a third party appointed to handle merchant payment information and customer payment instructions.
For those global merchants who want to build up their own website selling products or services worldwide, the most difficult hurdle is to open up . What role does payment gateway play in e-commerce? The following are five important roles of payment gateways in e-commerce:
The payment gateway acts as an intermediary connecting the buyer, seller and bank so that online transactions can be carried out.
Ensure that the process is seamless
When a customer enters their debit/credit card information, the payment gateway verifies the card information to ensure that there is nothing superfluous before approval. This is a great way to prevent fraudulent activities.
Ensure transaction quality
The payment gateway will see that the payment information entered by the customer is valid, the issuing bank has authorized the transaction, and the receiving bank will send the correct amount to your merchant account. In other words, the payment gateway ensures that the seller receives the correct amount at the correct time.
Ensure transaction security
One of the core components of a payment gateway is security. It encrypts sensitive information, uses the HTTPS protocol as a secure data communication method, and complies with security standards such as the “Payment Card Industry Data Security Standard”.
The payment gateway allows buyers and sellers to come from the other end of the world, making transactions easier. It can reduce (if not eliminate) security risks and the need for manual intervention.
Why should you care about payment gateways?
As an online seller, it is important to consider the payment gateway because it:
Improve customer experience
When you cater to your customers’ payment preferences, they will be more satisfied with your service, which will affect your brand in a good way and increase your conversion rate in the process.
Easy to use
Most online shoppers have interacted with payment gateways in their previous shopping experience. In this way, you will provide them with things they are already familiar with. At the same time, setting up a payment gateway requires almost no effort for you.
As mentioned earlier, using a payment gateway can provide additional security for your transactions. Through SSL, payment card industry data security standards, tokenization, 3-D security and anti-fraud tools, it can reduce the occurrence of serious credit card fraud.
E-commerce Payment gateway – The key factor of e-commerce growth
Online data shows that 64% of consumers will no longer visit the website with bad influence of payment link and 28% leave negative sentiment to merchants because of terrible payment experience.
Furthermore, in the process of global payment, different countries’ cultures, languages, and security requirements are involved. Any error in any link will cause a bad experience for consumers, which will directly lead to loss of sales and brand damage.
Therefore, without a good independent payment channel, the entrepreneurship and development of global e-commerce will face obstacles from overseas acquiring.
After many years of accumulation and precipitation, Oceanpayment has formed global digital payment solutions and service capabilities that not only support the access of the global mainstream SaaS & open source website platform such as Shopify, Shopline, Shopyy, WIX, Woocommerce, etc., but also cover international credit card acquiring and localized payments, and support Visa and MasterCard , American Express, UnionPay International and other credit card, debit cards, support more than 140 payment currencies at the same time, integrate more than 500 kinds of global payment products, consumers can choose their home country e-wallet, online bank transfer, prepaid Payment methods such as card and mobile payment.
With high-quality digital payment solutions and services for tens of thousands of global e-commerce websites, Oceanpayment brings a better payment experience to global consumers and helps global brands quickly access the local market.