Best Online Payment Gateways for Small Businesses
The online payment market in India has grown manifolds over the past few years. Led by demonetization and backed by the Coronavirus pandemic, online payments are expected to grow by a whopping 27% by 2025 from Rs 2,153 lakh crore to Rs 7,092 lakh crore in 2025.
Owing to their popularity, ease of use, and convenience, digital payments have become central to the growth of small businesses. Moreover, small businesses have banked on online payment gateways as a cost-effective growth strategy.
Zaakpay is one of the best payment gateways for small businesses which also helps in boosting sales.
What are Online Payment Gateway Systems, and How does it Work?
An online payment gateway is a technology used by merchants to accept digital payments from their customers. A payment gateway acts as an online portal between merchants and customers. It allows the latter to pay money via any digital modes like UPI, Debit & Credit Cards, Mobile Wallets, Net Banking, Pay Later & more. Online payment gateways facilitate quick online transactions that help businesses accept instant online payments.
The gateway sends the customer’s details to their bank (also known as issuing bank), which then processes the payment after checking the authenticity of the transaction. For this, the customer must enter their card details or the UPI ID, or eWallet details and authenticate the transaction via OTP or PIN. Once authorized by the merchant’s bank (also known as the acquiring bank), the information results in the fund transfer and successful payment.
Types of Payment Methods Small Businesses use
Allow your customers to choose their preferred payment mode from Zaakpay’s wide selection of payment methods.
- Credit cards: A standard online payment solution, credit cards allow a customer to pay for a product or a service using credit acquired from a bank. To avoid hefty interest charges, the customer has to repay the amount to the bank in a stipulated time. As the amount is paid in credit, the customer can purchase a higher value product than their bank balance and pay back the money to the bank later.
- Debit cards: Transactions made through Debit Cards are immediately debited from the customer’s savings or current bank account. The customer’s account must have sufficient funds to ensure that the transaction is completed.
- UPI: Unified Payments Interface (UPI) is an online payment system that collates multiple bank accounts under one umbrella application. It allows the user to choose the account from which funds are deducted without toggling between too many mobile applications. Transactions through UPI facilitators like BHIM and MobiKwik are more straightforward and quicker.
- Bank transfer: Bank Transfer methods like NEFT and RTGS are the simple transfer of funds from one bank account to another. Hosted by net banking apps in the modern payment industry, all a customer needs is the merchant banking information to complete the payment.
- Mobile wallets: A mobile wallet or an eWallet is a virtual purse linked to one’s credit or debit cards or bank accounts. Popular mobile wallets like MobiKwik allow the customers to store several cards under one roof and pay online using a single platform.
- Pay later: The ‘Buy Now Pay Later’ mode of payment is another type of online payment using credit. The customer can purchase anything on credit using services like MobiKwik Zip but has to repay the money in due time – like they do with a credit card.
There are diverse payment modes to choose from, and every customer has a preferred choice of payment. Therefore, merchants must opt for the best online payment gateway that supports multiple payment modes.
How to Set up Zaakpay’s Payment Gateway for a Small Business
Small businesses can opt for the best online payment gateway hosted by brands like Zaakpay by following these steps:
- Sign-up for free at the Zaakpay website.
- Create a merchant account and choose a plan that best suits you.
- Submit all relevant documents for KYC and your merchant bank account details.
- Choose the modes of payment to be incorporated in your payment gateway.
- Integrate the gateway into the website using Zaakpay’s pre-built plugins.
Important things to Consider while Choosing an Online Payment System for your Small Business
Choosing the best payment gateway for small business is crucial as the right payment gateway will be your partner for all the payment needs. Zaakpay’s payment gateway has been designed to offer the following features which are a must-have:
- Transaction speed: No customer likes to wait endlessly for a transaction to go through. Thus, a high transaction speed ensures that not only does the payment process get completed quickly, it takes the shopping experience up a notch for the customer by expediting the process. Not to mention, a high transaction rate will increase impulse purchases and reduce the online cart abandonment rate.
- Flexible control: Flexible control of the features of the best online payment gateway is essential for small businesses. It helps to automate the process by generating recurring bills and integrating with accounting and management software. Small businesses should also look out for gateways that offer tiered processing fees.
- Security: Businesses need to keep the customers’ safety in mind while choosing the online payment solution. Customers would either abandon the purchase or never return to a store if they find the payment gateway insecure. To combat this, an up-to-date payment system that encrypts the customer data has to be chosen. PCI DSS protocol is proof of a secure gateway, like Zaakpay. The seals of trust need to be displayed in the gateway. In addition to this, SSL encryption is an industry standard that many payment gateways abide by to keep their customers’ payment information encrypted and secure.
Benefits of Zaakpay’s Online Payment Platform
- Small businesses can reach out to customers across India by accepting online payments from any part of the country.
- Online payment gets processed quickly, notifying both the customer and the merchant of a successful transaction, making the process simpler.
- Online transactions can be carried out using multiple modes like Credit Cards, Debit Cards, Mobile Wallets, Net Banking, or UPI. This offers more freedom in terms of payment choice.
- It acts as the safest payment facilitator to the customers.
- Integration with the business website is easy and super fast.
- Customer support can help identify suspicious, incomplete, or fraudulent transactions.
- Customers can get cashback and other rewards for making a digital transaction. This makes them get more value for their spending.
- Online payments can also lead to more sales for the business as customers tend to spend more while making digital transactions.
Conclusion
The demands of the market are gradually shifting towards online payments, and small businesses need to adapt. Zaakpay, with its innovative features, serves as the best payment gateway for small businesses to grow their revenues. It opens up an avenue for companies to innovate and stand out among the competition. A secure and trusted payments solution can increase the trust of the customer in the business.
Small businesses can now focus on expanding their business and leaving all their payment woes to Zaakpay’s payment gateway.
