One crucial decision for an online store is defining  the payment method. There are many types of payment method but certain one fit more to optimize revenue opportunities. Hereafter a short list of the main payment methods. What will you choose for your Ecommerce business ? If you have any questions feel free to ask here.

Credit Cards

As a global payment solution, credit cards are the most common way for customers to pay online. Merchants can reach out to an international market with credit cards, by integrating a payment gateway into their business..

Mobile Payments

A popular payment method in countries with low credit card and banking penetration, mobile payments offer a quick solution for customers to purchase on ecommerce websites. Mobile payments are also commonly used on donation portals, browser games, and social media networks, where customer can pay with SMS.

Bank Transfers

Customers enrolled in an internet banking facility can do a bank transfer to pay for online purchases. A bank transfer assures customers that their funds are safely used, since each transaction needs to be authenticated and approved first by the customer’s internet banking credentials before a purchase happens.

Ewallets

An ewallet stores a customer’s personal data and funds, which are then used to purchase from online stores. Signing up for an ewallet is fast and easy, with customers required just to submit their information once for purchases. Additionally, ewallets can also work in combination with mobile wallets through the use of smart technology such as NFC (near field communication) devices. By tapping on an NFC terminal, mobile phones can instantly transfer funds stored in the phone.

Prepaid Cards

An alternative payment method, commonly used by minors or customers with no bank accounts. Prepaid cards come in different stored values for customers to choose from. Online gaming companies usually make use of prepaid cards as their preferred payment method, with virtual currency stored in prepaid cards for a player to use for in-game transactions. Some examples of prepaid cards are Mint, Ticketsurf, Paysafecard, and Telco Card. It appears that age rather than income is the driver that affects the choice of prepaid cards.

Direct Deposit

Direct deposits are when customers instruct their banks to pull funds out of their accounts to complete online payments. Customers usually inform their banks on when funds should be pulled out of their accounts, by setting a schedule through them. A direct deposit is a common payment method for subscription-type services such as purchases made with high prices.

Cash

Fiat, or physical cash, is a payment method often used for physical goods and cash-on-delivery transactions. 

Crypto

Cryptocurrency is a form of payment that can be exchanged online for goods and services. … Cryptocurrencies work using a technology called blockchain. Blockchain is a decentralized technology spread across many computers that manages and records transactions. Part of the appeal of this technology is its security. 

There are different types of payment methods to choose from. But by understanding how each one functions, and knowing who your target audiences are (particularly, where they are located), we can help you decide which payment methods to integrate. If you need help on setting your business up with appropriate types of payment methods, you can send us an email at [email protected].