Why Using Multiple Payment Gateways is a Smart Business Move
“You can make money two ways — make more, or spend less.”
John Hope Bryant
It's an indisputable fact that everyone wants to grow their revenue. And your profits reflect the satisfaction of your customers. But to drive ever faster growth requires constant business and technical innovation. Innovative companies constantly push the boundaries of their infrastructure — including payment gateways — to expand into new geographies, markets, and business lines. Yet, the demands they place on their business are often constrained by the limitations of their technical infrastructures.
The idea of a single payment platform seems smart to many new business owners because it simplifies the process. But having multiple gateways actually offers a ton of advantages that help make your business more profitable.
Here are a few of them,
- Globalization
- Good Economics
- Customer Choice
- Avoid Downtime and Technical Issues
- Business Innovation
Globalization
The need to work with more than one gateway becomes very evident as your business expands, particularly internationally. Selling globally means working with foreign banks, currencies, and languages. Payment gateways vary by region and currencies accepted. It is always a point of considering whether or not your gateway supports the payment methods and currencies of all your target markets.
As you sell across countries, you’ll notice varying levels of support. Some gateways may cite support for a particular country, but in fact, their support may cover only certain payment methods and currencies. Or their ability to process transactions successfully and quickly is less compelling. This can be especially true for domestic versus international payments.
By offering popular payment options that are in different countries, you can attract customers from all over the world. This can help you tap into new markets and increase your revenue streams.
Good Economics
Using multiple gateways and that too the popular ones (such as PayPal payment gateway etc.) make good business sense even if you aren’t currently or in the future, planning to expand on an international scale. This is because of the contract requirements and the related fees and how collaboratively they affect your bottom line. Another one of the primary factors that help improve your conversion rates in general.
At the time we were using PayPal Websites Payment Pro for credit card processing. One day our PayPal account stopped accepting all American Express (AMEX) cards and there was no timeline for fixing it. Within a couple of minutes, we opened up a Stripe account through MYFUNDBOX and routed all AMEX cards into the new gateway. After about a month the PayPal/AMEX issue had been resolved.
Customer Choice
Customers feel secure when they find their familiar trusted payment gateway while making payments. Different customers have different preferences when it comes to payment methods, and by offering a variety of options, you can cater to their needs and make it easier for them to complete their purchases.
At the same time, fast-growth companies succeed by delivering a great customer experience. Customers that return and recommend a service demand more than just an average value. A vital part of that customer experience is the process of accepting payments. Declined transactions and long latency times for approvals can damage goodwill and reduce customers’ lifetime value.
Avoid Downtime and Technical Issues
One of the biggest advantages of using multiple payment gateways is that it helps you face downtime and technical issues with a plan B. If you rely on a single payment gateway and it experiences a technical issue or goes down for maintenance, your customers won't be able to make purchases, resulting in frustration and confusion among customers.
This can result in lost sales and frustrated customers churning out of your product. By using multiple payment gateways, you can ensure that your customers always have a way to make a purchase, even if one of your gateways experiences an issue. Smart move!
Business Innovation
With support for more than one payment gateway, businesses are able to introduce new and dynamic business models. People like options and control in any situation and the majority of them will cancel their purchases without a second thought if they do not find the payment gateway they fancy.
They generally feel comfortable purchasing from a site that offers multiple payment solutions. And if you only had one mode of payment to offer.
I believe by now, you must be fairly certain why you need more than one payment gateway for your business. The right payment gateway will make it easy for customers to buy your products. It takes time to choose the right one. Hopefully, the information in this article will make the process of selecting a little easier.
About us:
MYFUNDBOX is a subscription billing platform to help businesses handle recurring billing and revenue management operations integrated with payment processing decacorns like Stripe, GoCardless, and Mollie which supports more than 15 payment methods including bank transfer, debit cards, credit cards, SEPA, etc.
In partnership with Google Cloud, MYFUNDBOX provides a single platform to enable customer-preferred payments globally.
With MYFUNDBOX as a trustworthy partner by your side, you wouldn't need to tackle the tension of managing multiple payment gateways separately.
Choose MYFUNDBOX to be 'THE ONE' and that smart move will make you win!
Schedule a demo call to know more!
