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Setting up an e-commerce website, especially the technological framework, can be quite a cumbersome process without expert guidance. One of the most important aspects of an e-commerce website is the technology used in the payment gateway, also known as e-payment technology. This technology serves as the backbone of the entire system and helps to process all the payments going through the payment gateway installed on your website. What is an E-payment System? An e-payment system helps you to either pay for goods and services or receive payments electronically. It is also called an electronic, digital, or online payment system. In this system, there is no direct interaction between the buyer and the seller. The e-payment system acts as the gateway connecting the customer and the merchant. This system is handled by a payment gateway provider. Technology Used in E-payments The technology used in an e-commerce transaction includes technologies for communications, processing customer data as well as financial data, data storage etc. This process comprises of ‘front-end’ and ‘back-end’ activities. Front-end activities are those at the user’s end. The most common technologies are smart cards, transponders or tags, and smartphones. Back-end activities include payment processing, account maintenance, customer service, and reporting. These activities are handled by the payment gateway provider. E-Payment Process An e-commerce transaction involves two factors: the payment gateway, and the payment processor. The payment gateway is the software on your website that connects the customer, your website, and the banking network. The payment processor, meanwhile, works in the background to ensure that the entire transaction passes off without a hitch. Payment Processor The payment processor is the most critical part of any e-commerce transaction. This is where all the heavy lifting happens. This part of the process is quite complicated as it involves multiple financial organizations, each of which levies a difference service charge. Be sure to research and study all the rates and pricing involved. There are two steps in payment processing: Step 1 - Authorizing or Approving the Sale: When a customer visits your website and purchases a product with a credit/debit card, the information received from the card is transmitted through the payment gateway where it is encrypted and sent to the processor. The processor then requests the issuing bank (customer’s bank) to check if the customer account has enough money to pay for the product. The bank responds with a yes or no. The processor sends the information to the customer and tells your bank to credit the amount to your merchant account. This is a lightning-fast process and takes just about a couple of seconds. Step 2 - Settlement of the Claim The second step in this process is where the customer’s issuing bank transfers the funds to your merchant bank, which, in turn, credits the amount in your merchant account. When you check your account, the amount is available for your use. This step might take a few days. With the increasing penetration of the internet, more and more people all over the world have begun using the internet to purchase goods and transfer funds. It is always advisable to find out what your target audience needs and provide the most convenient and relevant e-payment system. The e-payment technology used by your payment gateway service provider must be robust and able to thwart fraudulent activities. A strong system can greatly enhance the functioning of your website as well as the user experience. If you are looking for payment processing solutions, get in touch with a reputed firm that offers customized solutions to meet your specific business needs and requirements.
With ecommerce at its peak, setting up a payment gateway is no longer a challenge. Most customers constantly transact online not only through credit and debit cards, but also through other modes such as net banking, and UPI and other payment methods. There are a lot of ecommerce solution providers that are available today that have simplified payments for customers. Here is a guide to help you choose the right platform for your business. What is a Payment Gateway? A payment gateway is software that acts as a channel between an ecommerce website and a customer’s preferred mode of payment such as a credit card, bank account or any online wallets. It is the simplest way for a business to collect payments online. Having an online payment gateway in Philippines or any other country makes it easier to accept different types of electronic payments. It provides an all-in-one solution eliminating the need for you having to set up any software or hardware, connections and security. What are the Types of Payment Gateways? There are three main types of online payment gateways in Philippines or elsewhere in the world. Redirects Redirect is when the gateway takes the customer to a payment page to handle the complete transaction such as the processing and paying. It simplifies the process for the retailer and is an ideal method for a small business. Checkout On-Site, Payment Off Site In this method, the front-end checkout occurs on your site while the payment processing happens in the backend. However, you will not be able to control the user’s entire experience through this payment method. On-Site Payment Bigger businesses use on-site payments that are completely handled on their servers. The entire process such as the checkout and the payment processing are all work through your system. How do You Choose a Secure Payment Gateway? While choosing an online payment gateway in Philippines, here are a few questions you need to ask yourself. What Kind of Payments Do Your Customers Use? It is very important to know what kind of payment methods your customers already use. This would help you choose a payment type that you know they use reducing the security risks and other problems. Does Your Payment Gateway Have a Fee? Sometimes there could be additional costs that you may have to pay apart from the initial costs such as monthly subscription fees, security costs etc. Make sure that you are aware of all the costs that you will encounter before choosing your payment provider. Is the Encryption Secure? An increased number of ecommerce solution providers could lead to an increase in frauds. Since these gateways deal with money, it is important that you have a PCI compliant payment gateway. It helps protect customer data and payment information. Using a payment gateway that is secure will also boost your confidence in the sophistication of the encrypting process. How Reputed is the Gateway? While choosing an online payment gateway in Philippines, make sure you choose a payment gateway that your customers trust. Although there are a lot of big brands out there, it is important to gain the trust of your customers. Focus on how secure your payment gateway is and encourage your customers to continue shopping in your website. Do your research before choosing your payment gateway. You will find a wide variety of ecommerce service providers who will offer you different options. Choose one that you know will benefit your business and based on your business needs. While choosing your payment gateway, be sure to check the PCI compliance to ensure its security and also the per-transaction prices to know how it will impact your bottom line. All these would place you in a better position while choosing your payment gateway.
An online payment gateway is required to facilitate the transaction between the merchant and customer and is responsible for authorizing the transaction. It is important because an efficient and secure payment gateway keeps your customers happy and your transactions safe. Convenience in Payments Websites are essential for all merchants to capture a global clientele. It has also become necessary during the pandemic when customers hesitate to go out into busy streets and would rather prefer to do their shopping from the comfort of their homes. When you deal with an international clientele, you have to ensure that there is some form of payment that is easy, secure, and convenient. An online payment gateway provider makes it possible to process credit card payments or other forms of online payments for both ecommerce sites and brick and mortar stores. Encryption for Enhanced Security When you choose an online payment gateway provider, it must be one that gives you a service that offers maximum convenience and minimum risk with absolute security of your customer’s confidential information. Payment gateways, therefore, ensure there is encryption of information between the browser of the user and the server of the retailer. The transaction will only go through when the payment is authorized by the credit card company, the bank, or the financial company involved. The payment gateway allows the transaction to proceed when it gets the authorization. The payment gateway also helps with screening orders and calculating tax costs. Familiarity with Online Banking Solutions The online payment solution in Thailand is quite sophisticated, corresponding with its reputation for being one of the fastest emerging markets in the region of Southeast Asia. People here are quite familiar with online banking systems and mobile payment solutions such as the QR code. Payment gateway companies who wish to make a presence in Thailand have to provide excellent service and cover every bank there with good mobile banking apps. They have to make it possible to complete transactions efficiently by scanning QR codes. Expanding Ecommerce Market in Thailand Studies have shown that the ecommerce market is looking up in Thailand and it is the right time for online payment solutions companies in Thailand. Online shopping has increased tremendously especially with the pandemic setting in. While online spending in the urban areas has always been pretty high, the penetration of internet services in the rural areas is resulting in the population in these areas too looking at online shopping as an option. It has also resulted in merchants from rural areas entering the ecommerce bandwagon. Scanning QR codes with mobile banking applications is endorsed by the Thai government as it is faster, more secure, and totally reliable. This backing by the government is responsible for enhanced financial transactions using the digital platform including cross border fund transfers and payments.
In recent times, there have been a number of options that have become available for customers to make payments online. By offering multiple payment options, your business can benefit a lot from more customers. As your business expands, it could add extra costs and security issues. A payment service provider can guide you and help you run your business smoothly. What is a Payment Service Provider? A payment service provider or merchant service provider is a third-party company that enables your business to accept a wide range of online payments such as credit cards, online banking, e-wallets and more. They make sure that your transactions are safely and securely transferred from the customer’s account to your account. What are the Advantages of Using a PSP? Accepts Multiple Payment Methods Online payment providers in Vietnam support various methods of payment through a single channel. This allows your customers to choose from a variety of options leading to customer satisfaction. It becomes easy for your business to sustain when you integrate different methods of payment. Securely Make Transactions The payment service provider controls all information that is sent through the transaction request. It is heavily encrypted and ensures that only the customer can view their financial information. Thus, it encourages your customers to complete the transaction and also builds trust. Accept Multiple Currencies Another advantage of using an online payment provider in Vietnam or elsewhere is that it supports multiple currencies. Customers are not bound to any location and can securely complete transactions from any part of the world. This is useful especially if you plan to expand your business in the future. Helps Prevent Fraud The transfer of funds happens only once the customer verifies the card details. It also ensures that the customer has sufficient funds required to make the particular payment. The transaction would be terminated if sufficient funds are not detected. This helps in preventing fraudulent transactions. Add New Payment Methods A benefit of using a PSP is that it allows you to easily add new payment methods. The digital world is evolving, and new methods of payments keep emerging from time to time. Hence it is important for your business to keep up with the changes and stay ahead in competition. It becomes easier for customers to purchase your products or services when they are provided with multiple payment options. In conclusion, payment service providers play an important role in the global payment’s ecosystem. PSP’s are being embraced by everyone from larger financial institutions to smaller start-ups and businesses. It helps you facilitate your payments securely while reducing your integration and processing costs. Using a PSP is a great way indeed to expand your business.
First it was the internet and now it is the mobile app payment that is taking the world by storm. Smart phones are everywhere and with everyone and it is evolving and changing the way business is conducted. The Convenience Factor Mobile app payment is now the preferred method of payment and is overtaking the traditional payment methods. It is used not only for ecommerce transactions but also for in-store and all digital payments. The main reason for its popularity is the simplicity of use. Transactions are done with a few clicks of the phone. It will also benefit you financially in that you get to use coupons, there are loyalty programs, and other incentives not only for consumers but also for retailers and financial institutions. The Mobile Phone for Everything So, what exactly is this mobile app payment? A mobile app on your mobile phone is used to make payments instead of using the usual traditional and nontraditional methods such as cash and cards. Mobile payments also cover mobile money, mobile wallet, and mobile money transfer. Mobile payment apps have been developed not only by financial institutions but also by IT companies. These mobile applications make it possible for you to carry less money for your personal safety. You can, however, still continue to make all the purchases you want and keep track of your spending online. Opting for Cashless Transactions The electronic revolution in the Malaysian finance sector has led to more and more people embracing cashless transactions. Companies that provide seamless payment solutions in Malaysia also ensure that the transactions are safe and secure. You can just log in to mobile banking apps on your mobile phone and start the transactions. Ensuring no chargeback and accepting local currencies is a big advantage if you want to be part of the growing Malaysian economy. A Share of the Pie Payment solutions in Malaysia are provided by different companies all wanting a share of the pie from the rapidly growing ecommerce market. Rapid expansion of the internet into the interior regions of Malaysia has contributed to a lot more people opting for smart phones and the advantages thereof. In fact, the prediction is that the ecommerce market will grow at a rate of as much as 24% per annum. There is massive spending during the annual national shopping events such as the Malaysia Super Sale, the Malaysia Mega Sale Carnival, and the Malaysia Year-End Sale. The payment through the mobile app happens in a few seconds especially if the internet connection is fast. Mobile app payments can be done anywhere anytime. You do not have to reach for your wallet; it is there on the phone. The payment information is encrypted, so transactions happen securely. The e-wallet can be preloaded with a small amount ensuring safety of your main account.
As the current shopping trend has become virtual, merchants inevitably need to update and expand their businesses to suit the new requirements. It is essential to understand the services of online payment providers in Vietnam to keep abreast with industry developments. Read on to find out the basic concepts in e-banking and how it can benefit your business.  E-Banking Services The term e-banking or electronic banking refers to online payment solutions that enable a bank or a customer to make financial transactions electronically. It involves non-financial services as well. Once the customer has registered for online banking facilities, the services can be availed without visiting a physical bank. It is a convenient and safe banking method as a unique ID and password secure the bank portals. The system of e-bank payment for SEA countries has evolved significantly in the last two decades. It includes various forms of banking services and transactions performed through electronic means such as internet banking, mobile banking, telebanking, debit cards, credit cards, and ATMs.  E-Banking: Features The e-banking payment solution provides access to both financial and non-financial banking services. Customers can make bill payments and fund transfers to other accounts. You can check your balance or withdraw money from ATMs anytime. It enables you to keep a check on loans, savings, mortgages, and savings accounts linked to the bank account. However, customers can ask for a checkbook. All these features have led to online purchases becoming an easy and time-saving experience. Further, money transfer has become instant and real-time. Banks allow automated bill payments, and it facilitates payments done on-time. Business transactions can be tracked easily, and the history of payments for any period is at your fingertips. The banking portals function as a single window and it is a secured process. The chances of risks such as fraud, human errors, and theft are minimized.  Services in E-Banking: Mobile Banking Smartphones have become a norm these days, and it has changed its status from a luxury to a need. With well-developed mobile banking technology, customers can initiate and perform banking tasks on their mobile phones. Online payment providers in Vietnam offer mobile banking services and these can be accessed via SMS, USSD, and mobile applications. Mobile banking over SMS is a useful service and can be initiated by registering your mobile number with the bank. USSD, or Unstructured Supplementary Service Data, is communication where you can perform basic banking exercises, including balance inquiry and transfer of funds. Merchant Account A merchant account allows the business to accept payments by e-bank payments. It is an agreement between a merchant bank, retailer, and a payment processor to settle financial transactions. As the customer makes an e-transaction, the funds first get deposited into the merchant account and then transferred to the business account. The transfers are done periodically, daily, or weekly. As a business owner in e-commerce, you will need at least one internet merchant account to make the transactions happen. An internet merchant account holds proceedings from the online payment processing of credit cards.  How to Choose an Online Payment Solution? It is essential to understand how the services of online payment providers in Vietnam work and help your company achieve its business goals. You may not need to know all the minute details of how systems of e-bank payment for SEA countries work, but you should see how these solutions can work for your business. The first step is to understand your customers and their preferred payment methods. The success is in tailoring the payment options to attract the most number of customers.
Businesses have realized the power of ecommerce as they expand their businesses to achieve success. One component that plays a pivotal role in this industry is payment service providers that offer innovative payment solutions. The Southeast Asia e-banking payment industry provides a range of payment solutions to the merchants to choose from. Read on to find more about e-banking services, mobile banking, and internet banking solutions.  E-Banking Applications The banking sector and the e-commerce industry are intertwined. The industry depends a lot on payment service providers' banking services. E-commerce involves transactions of goods and services on online platforms electronically over the Internet. Unlike traditional businesses, there is no need for the buyer and seller to meet in physical stores. Therefore, it is essential to make financial transactions online. This has led to significant growth in innovative technologies in the Southeast Asia e-banking payment industry, which means many more opportunities for merchants.  Internet Banking An internet banking payment gateway is an online payment solution in Malaysia or elsewhere, which a reliable and secure form of payment is for online purchases in real-time from your bank. The purchases can be made anytime, anywhere, at the customer's convenience. The payment is fully secured, and sensitive data is completely guarded. As studies have shown, it is a preferred mode of payment in Malaysia. Further, it is a safe method as customers need to provide a user ID and password to operate it.  Mobile Banking Mobile banking enables customers to initiate and perform banking activities on their smart phones. Customers use this facility to view their account balance, transfer funds to other accounts, make transactions to purchase from ecommerce sites, etc. The types of mobile banking services include mobile applications, SMS banking, and USSD or mobile banking over unstructured supplementary service data. As a major payment solution in Malaysia, it reduces expenses as it allows customers to review transactions, pay bills, transfer funds, and check balance without calling the customer service center. Studies have shown that customers are twice more likely to have a cell phone than cash when they are out. It is especially true for younger customers, who carry smart phones rather than cards or cash.  Factors to Consider: E-Banking Solutions As the Malaysian ecommerce market expands rapidly, international merchants benefit from the opportunities opened up for growth. It is fueled by Smartphone penetration and shoppers willing to buy from overseas. Cross-border spending makes up a significant portion, and therefore, opt for a suitable product that can help you take advantage of the prospects available. Mobile applications are a popular way to reach customers, and social media comes second. It is important to note that customer satisfaction and security take priority when it comes to e-banking solutions.
It will be an understatement to say that customers have warmed up to eCommerce and online payment methods. The rapidly-evolving market throws a lot of opportunities to merchants to expand their business. The vast volume of transactions done online has paved the way for diverse online payment methods, which are now accessible to merchants. Too many options, however, could be confusing to even the most experienced eCommerce merchant. It is crucial to understand the basic concept of online payment gateways to succeed in your business. Online Payment Gateway Payment gateways are vital for eCommerce merchants as they help them accept online financial transactions and manage their cash flow. It works as a middleman between the merchant and the customer. It ensures that the payment is made correctly and securely. It is a technology that captures and validates the customers' card details, ensures the availability of funds, and eventually enables the merchant to receive the payment. With the availability of innovative technology, online payment gateways in the Philippines or Indonesia can simplify how merchants integrate their software and equip the payment ecosystem to run smoothly.  Online Payment Gateway: Why Do We Need a Middleman? In a brick and motor shop, the customer's credit card is swiped on a POS terminal to process payment. In a card-not-present transaction, swiping is not possible, and you need to rely on the information that the customer enters on the payment page. The risk of fraud is high in such situations. It is easy for fraudsters to have the card data you process, resulting in exposure to fraud and chargebacks. They may identify ways to initiate illegitimate transactions that can end up damaging your brand's reputation. Payment gateways play a pivotal role here. An online payment gateway acts as a gatekeeper of your customers' payment data. As an online transaction is made, the merchant's information is relayed to the issuing bank in encryption. It thus keeps unwanted threats away from sensitive data. It also protects the merchants from insufficient funds, expired cards, exceeding credit limits, and closed funds. Therefore, online payment gateways in the Philippines and elsewhere keep the transactions system safe and secure. Online Payment Gateway: How Does it Work? Normally, your customer adds the product into the shopping cart and then proceeds to the payment page to make the payment. The customer enters their card details, including card number, cardholder's name, and CVV number. The information is securely passed onto the payment gateway based on the integrations. In the Philippines or Indonesia, online payment gateways offer you different options for integrations on the payment page. It includes a hosted payment page and direct API. In a hosted payment page, the customers are redirected when they are ready to checkout. The payment gateway receives the transaction data before it is passed to the acquirer. It reduces online merchants' burden if you do not collect and store the cardholders' data on your server. In contrast, the direct API method enables the merchants to process the credit card and check the transactions in real-time through solutions like shopping carts, web pages, mobile applications, or billing software.  Multi-Currency Payment Gateway As eCommerce allowed merchants to expand their businesses beyond geographical limits, you need to consider the currency issues in your international markets. A multi-currency payment gateway allows you to accept payments in various currencies from your customers across the globe. In the Philippines or Indonesia, online payment gateways have options to allow multiple currency transactions so that international customers can pay in their currency of choice. The services include dynamic currency conversions and simplified authorization and settlement processes for international payments.
The last two decades have seen a significant evolution in online payment services; one such system is a virtual account. The benefits include rationalization of accounts and simplified cash management structures. Here is a guide on virtual accounts (VA) facilitated by payment service providers to merchants. What is a Virtual Account? Virtual accounts, a type of online payment service, are used by customers to optimize their working capital. It provides a single view of your cash and management of liquidity, payment and receivables management, etc. The information collection method is easy as virtual account numbers can be tracked against the payer's credentials provided by the merchant. A VA is created and assigned to your paying customer, whether it is a main distributor or a buyer. When you have at least fifty such payment sources, a virtual account will help you differentiate the payments from each source. The payments made are automatically directed to the master account.  Virtual Accounts: How Does It Work? You can create any number of virtual accounts based on your business requirements. A part of the account number is customized and assigned to each of the paying customers. As the customers make a purchase, they are directed to the payment page to complete the transaction. The payment service provider assigns a dedicated virtual account to the merchant and then to the customer. As the payment is made, it is deposited into the merchant's account, and the bank receives sales information. Compared to traditional internet banking, virtual account management expands the nature and scope of online banking. They provide clients with the platform and functionalities to manage their liquidity on a self-service basis.  Benefits of Virtual Account Management Virtual account management helps businesses get a single view of pooled bank accounts that are virtualized into thousands of bank-active virtual accounts. The automated self-service online payment solution is made available on the premise or on the cloud, which allows you to streamline the customer experience to match the requirements. The benefits are available to businesses of all sizes and types. The payments and collections are channeled through a single account, making payments on behalf of (POBO) or collecting cash on behalf of (COBO) multiple group entities. Businesses can rationalize their accounts and simplify cash management structure through the advantage of a single external account.  Optimal utilization of payment solutions by payment service providers is the key to the success of your business.