Online Payment Gateway- Assisting The Merchants In The COVID Era
Online payment gateway is actually helping the merchants in this COVID era. Even in this cashless period, most merchants are using old payment methods. But, after the emergence of this crazy, complicated and pandemic situation, those merchants had seen a huge loss in their business. On the other side, merchants who had enabled digital payment systems in their business had seen remarkable growth. It is the technology that made the difference. Over the course of time, we have experienced advancement in the sphere of technology.
In this 21st century, if you ask for cash payment, the customers will not visit your business again. As a merchant, you will have to provide the ultimate and satisfactory convenience to your customers. You cannot deny the fact that offline transactions are complicated as well as time-consuming. The customers do not have time to wait and therefore, they always prefer fast and reliable modes of payment. The online payment modes are simple, secure and reliable and therefore, those merchants who are still relying on the offline modes should bring changes in their business strategies.
Understand Online Payment Gateway
Well, it does not take much time to process an online transaction. It is a real-time process but, there are certain things that are working behind the curtain. The online payment gateway is one of them. Standing in this technologically advanced cashless era, we can easily say that the e-commerce business is rapidly growing. The main reason behind this is the reliability and simplicity of the ecosystem of online payment. If you are a merchant and want to embrace the dynamic and large ecosystem of digital payment, you should understand how it works. Therefore, we have explained this thing here. So, go through the points mentioned below:
- Customers tap on the ‘buy now’ button and this is how they initiate the online transactions.
- After that, the online payment gateway comes to the action. Basically, the e-commerce or online marketplace takes the online consumers to the secure online payment gateway. They put the important card details and after that, the online payment gateway authorizes it. After authorizing the details, the bank or financial institution receives the card details and transaction details of the customers. The bank of those customers will check the funds available in the bank account of the cardholder.
- After checking this, the bank sends approval or declination notification to the online payment gateway. The entire thing depends upon the funds available in the account of the customers.
- After that, the online payment gateway sends the payment status to the customers. Then, payment settlement has been done with the merchants.
Some Reasons That Make Payment Gateway More Approachable
Well, there are various reasons that make the online payment gateway more approachable. We have highlighted these reasons below:
- Setting up the online payment gateway is not complicated.