To be in business, you must sell things. To sell things, money must change hands. For money to change hands, you need a way of accepting payments. That's what a payment gateway is for.
A Payment Gateway is a Digital Armoured Truck
When you're in a bricks-and-mortar store and you hand over cash to make a purchase, the cash is immediately locked securely away in the cash register drawer.
Later in the day, it will be counted and picked up by a heavily armoured security guard, who will take the money to a heavily armoured truck. It will then be transferred to a secure bank vault or cash storage facility.
Digital cash doesn’t travel in armoured trucks, but it does travel inside the armoured code.
In today's world, a great deal of money is digital. Not only does money make the world go around, but it also travels around the world at lightning speed. Even so, it still needs to travel securely to stop it from getting into the wrong hands. Digital cash doesn't travel in armoured trucks, but it does travel inside armoured code. That is what a payment gateway is for.
Which payment gateway to choose in China
In China, Paypal is totally absent from the online market (it is instead mainly focusing on helping Chinese merchants to sell abroad), therefore you need to rely on the main Chinese payment gateways available: Alipay, TenPay, ChinaPay, etc.
If you wonder which payment gateway should be chosen for your e-commerce website, one of the first point you need to focus on is their popularity:
- Alipay: 45% of the market
- TenPay: 21% of the market
- ChinaPay: 11% of the market
Alipay is clearly the most popular payment gateway system in China.
How to choose a Payment Gateway internationally
With a vast array of payment gateways to choose from, finding the gateway that's right for your brand can be a time consuming process. To help you get to grips with what's available, here are the factors you should consider when choosing a gateway:
Sign up fees: If you're on a budget, or just starting out, then it's worth looking out for a payment gateway with no sign up fee.
Transaction fees: Transaction fees eat into your profits, so the lower the better. That said, the best known gateways typically have higher transaction fees, so it can be worth paying the extra fees for the sake of establishing trust with your customers.
On site or off site?: With on site payment processing, a customer never leaves your site while making the payment. Off site payment gateways take customers away from your website and onto their website.
When do you need to be paid?: Some payment gateways allow you to set up recurring payments, which can save you a lot of time if you're selling services or products on subscription. Some also allow you to set up payments to be taken in the future.
What products can you sell?: If you're selling services or digital products, check the terms and conditions. Some payment gateways only allow you to sell physical goods.
Customer support: Check out the levels of customer support provided. Do you prefer to speak to an actual person when things go wrong? If so, make sure they provide telephone support.
The Choice Is Yours
Although there's no way around choosing a payment gateway, if you want to sell online, you have to make a choice. Don't let it be a block to setting up your online business.
A Payment Gateway is a Digital Armoured Truck
When you're in a bricks-and-mortar store and you hand over cash to make a purchase, the cash is immediately locked securely away in the cash register drawer.
Later in the day, it will be counted and picked up by a heavily armoured security guard, who will take the money to a heavily armoured truck. It will then be transferred to a secure bank vault or cash storage facility.
Digital cash doesn’t travel in armoured trucks, but it does travel inside the armoured code.
In today's world, a great deal of money is digital. Not only does money make the world go around, but it also travels around the world at lightning speed. Even so, it still needs to travel securely to stop it from getting into the wrong hands. Digital cash doesn't travel in armoured trucks, but it does travel inside armoured code. That is what a payment gateway is for.
Which payment gateway to choose in China
In China, Paypal is totally absent from the online market (it is instead mainly focusing on helping Chinese merchants to sell abroad), therefore you need to rely on the main Chinese payment gateways available: Alipay, TenPay, ChinaPay, etc.
If you wonder which payment gateway should be chosen for your e-commerce website, one of the first point you need to focus on is their popularity:
- Alipay: 45% of the market
- TenPay: 21% of the market
- ChinaPay: 11% of the market
Alipay is clearly the most popular payment gateway system in China.
How to choose a Payment Gateway internationally
With a vast array of payment gateways to choose from, finding the gateway that's right for your brand can be a time consuming process. To help you get to grips with what's available, here are the factors you should consider when choosing a gateway:
Sign up fees: If you're on a budget, or just starting out, then it's worth looking out for a payment gateway with no sign up fee.
Transaction fees: Transaction fees eat into your profits, so the lower the better. That said, the best known gateways typically have higher transaction fees, so it can be worth paying the extra fees for the sake of establishing trust with your customers.
On site or off site?: With on site payment processing, a customer never leaves your site while making the payment. Off site payment gateways take customers away from your website and onto their website.
When do you need to be paid?: Some payment gateways allow you to set up recurring payments, which can save you a lot of time if you're selling services or products on subscription. Some also allow you to set up payments to be taken in the future.
What products can you sell?: If you're selling services or digital products, check the terms and conditions. Some payment gateways only allow you to sell physical goods.
Customer support: Check out the levels of customer support provided. Do you prefer to speak to an actual person when things go wrong? If so, make sure they provide telephone support.
The Choice Is Yours
Although there's no way around choosing a payment gateway, if you want to sell online, you have to make a choice. Don't let it be a block to setting up your online business.