Switching payment gateways? Here’s how to do it smoothly

Are you one of these business owners that stick to a payment gateway chosen several years ago when you just started your online business, even if it doesn’t cover your current business needs? It seemed to be a perfect fit at first, but while your business is growing you can tell the difference, and the payment solution is not as effective anymore. Perhaps it’s time to make a shift?

Business needs are changing when it scales up, so it’s natural that services provided by a payment gateway with outdated technology aren’t enough any longer. Many companies decide to make a switch when they see a lack of the features they need. They start seeking a solution that will boost their conversion rate, enhance the user experience, and provide them with more effective security and fraud detection tools. Not to mention their profits.

At first, you should know that switching payment gateways shouldn’t be complicated and doesn’t have to affect the payment process on your site. The thing is to choose the right payment solution that lets you integrate directly via an API and make the entire process a piece of cake. Wondering what you should consider when making the right decision? Read on to get the answer.

Start with ensuring that the payment platform you want to move to accepts your business model and the country it’s incorporated in. Also, consider letting go of some features that are not especially important for you, and search for a payment solution with better integration and technology that will give you more control over your payments. Find a payment platform that will let you easily integrate based on your setup, programming language and/or use cases, without forcing you to make it their own. All you need is full flexibility at every stage of the integration process. Period.

What’s also important, is doing your due diligence and reading online reviews to get the overall picture of the payment platform you consider. This will help you to ensure whether it’s a reliable partner or not. Estimate what can be more viable for your business and what will bring you a higher revenue in the long run.

Calculate the fees

There are solutions that take a transactional fee for every completed payment, while others are based on monthly fees or have both transactional and monthly fees. Before you decide which one to choose, do the math and note that, in the end, it can cost you much more to pay a big amount of money every month or year than paying a percentage of each transaction.

Sometimes, the new payment gateway can come with higher fees, however, it still may be a better choice for your business. Keep in mind that advanced technology costs money, so you pay the price, but you also get better value. Make calculations to see whether it can bring more benefits to your business.

Ask yourself: What’s more important, the price itself or the added value you can get, such as user-friendly checkout, highly-effective anti-fraud solutions, or conversion-boosting features? And remember that you can always negotiate rates to find the best fit for your business, but don’t squeeze the lemon too much.

Plan ahead

You should also be prepared for the eventual downtime. Sometimes, switching the payment gateway can cause interruptions in the payments processing. This is why it’s always better to test your payments before going live, so, ideally, you have a test version of your website. It’s good to find a payment platform that provides a free sandbox mode, so you can verify whether a new setup will work well for your store.

If you make the right decision, a new payment partner will get you through the switching process and make it smooth, without any roadblocks, keeping every single transaction in place. Payment experts with a strong background and years of experience know how to make a switch without interruptions, so in order to avoid any headaches, rely on their knowledge and strategy.

Listen to your customers

You should also analyze users’ behavior on your website and ask them for feedback (for instance, by posting a question on your social media accounts). Focus especially on how the buying process looks like and what’s the weakest link in the checkout. Perhaps people abandon their carts because they can’t find their preferred payment method? Or they find it confusing when it comes to filling in the payment form, or they don’t understand error messages?

The design of the payment gateway is also important, so find one that lets you customize it the way you want. The payment form should come in line with your page’s look and feel. And note that redirecting people to external services to pay is a real conversion killer.

Overall, the better payment experience you’ll provide, the more customers you’ll attract to your website. This is why it’s important to find a payment partner with super responsive support to be there when you need to resolve issues your customers are experiencing. Time is of the essence, so make sure that your requests will never be left unanswered.

Perhaps you can have both?

If you’re not sure whether another payment provider will meet your business needs, consider having both solutions on your site and analyze business results for several months. You will then see what can be more viable for your company, so it will be easier to make the final decision.

It can bring great results, especially when your current solution doesn’t support all the payment methods preferred by your customers. When you decide to implement more than one payment gateway, compare the conversion rate, user experience, and abandonment rate, to name a few.

Note that keeping more than one payment gateway on a website can be helpful when you run business internationally, especially when preferred payment methods vary by region. Also, it can help you handle overflow during peaks, when your main gateway is down or is underperforming, so it won’t affect your bottom line. What’s more, with multiple payment gateways, you can gain flexibility for creating more complex use cases.

However, keep in mind that working with several payment providers can be a bottleneck, as you need to sign multiple contracts, manage various accounts, contact different sales reps or dilute your margin.

Make a well-thought-out decision

You don’t have to stick to your current situation, as there are so many players on the market that can offer you better payments solutions, higher conversion, bigger set of features, and other things you need to cover your business needs.

Transiting to another payment gateway doesn’t have to be a long and painful process, and it can also help you diversify risk, as transactions can be split between multiple bank accounts. However, before you make the leap to a new payment solution, consider whether it will impact your customers and the bottom line. Do the math before making any decision and evaluate it carefully. If you choose right, you can see tremendous benefits.

If you’re wondering how you can make the transition smoothly or whether it’s the right time for your business to switch to another payment gateway, find me at the upcoming TES conference. I will be more than happy to answer all your questions and suggest the best payment solution for your business.

Author: Lucas Jankowiak, CEO of SecurionPay, a payment platform that delivers Always Better Payments.
You can meet Lucas and SecurionPay Team at the upcoming TES Affiliate Conference in Cascais 1-4 March 2019.

Share this post: