What is a payment solution?
The growth of the online retail space is driving new innovations in the field of financial technology. As more customers turn to online shopping, faster, better, and safer solutions are provided to accommodate them.
In 2021, 82% of the UK population purchased a product online, making the United Kingdom a global leader in the eCommerce space. Many of these transactions were processed using online payment processing solutions such as the ones provided by Pixxles.
But what are these payment solutions and how do they work?
In the following guide, we’ll delve deeper into the topic of secure payment solutions and address the following questions:
- How can online payment solutions help modern businesses?
- How do these systems work?
- Are online payments really safe and secure?
- What are the benefits of payment processing solutions?
- What does a payment gateway provider do?
- How do modern e-commerce solutions differ from traditional services?
- Do you need a payment solution for your small business?
What are the benefits of a payment solution?
Payment solutions are third-party systems that allow customers to make a secure purchase.
A customer finds something they like, adds it to their cart, and connects to the payment gateway provider. They enter their payment details, and the system processes their payment, ensuring the customer’s details are safe, the funds are sent to the merchant, and nobody’s time is wasted.
There are several benefits to properly implementing on-site payment solutions:
Increased accessibility and sales
We’re living in the age of convenience. Customers want fast, easy, and secure payment solutions and they won’t settle for anything else. Nor should they.
By making life easier for your customers, you’ll increase the likelihood of them placing an order.
Naturally, if they are more inclined to order, your online sales should increase.
eCommerce payment solutions use multiple layers of security to ensure complete protection.
Whether it’s debit and credit card processing or bank transfers, all data is encrypted and secured to protect the customer and ensure their data is not compromised at any stage of the process.
Not only can the best payment solutions work across many mobile and desktop platforms, but they can also be used online and offline.
For example, the Pixxles payment solution accepts payments through an online checkout, but it also includes a Virtual Terminal for phone and mail orders.
Accept many currencies
If you run a global business, you should embrace your economic diversity! Online payment solutions accept payments in a number of different currencies, with conversion and processing all handled by the software.
Payment uncertainty is a rarity with payment processing solutions. All transactions are approved instantly, so there’s no need to wait for cheques or e-cheques to clear. If the money is there, the payment will be approved, and the order can be processed.
Fraud checks are performed by the payment processing provider, thus reducing the risk of chargebacks resulting from fraudulent transactions.
How can a payment solution grow your business?
There are a couple of ways that effective payment solutions can grow your business:
- Attract new customers
- Retain loyal customers
In the first instance, you’re giving customers what they want, so they will be more likely to purchase from your company.
If they can’t pay the way they want to pay, they will leave and see what your competitors have to offer.
Secondly, online payment solutions can help you to retain existing customers and improve loyalty.
Take the Pixxles payment solution as an example.
Not only does it make invoicing, billing, and payment solutions simple and accessible, but it also provides the following loyalty-promoting features:
- Recurring billing: Use auto-billing to offer subscription and auto-ship services. The customers enter into an agreement to pay a sum of money on a specific date, and the money is taken periodically. The entire process is automatic, thus removing the barriers that would otherwise prevent a customer from reordering.
- Mobile payment acceptance: Designed for companies that sell goods on the go, this responsive payment gateway processes card payments anywhere in the world. It captures digital signatures, adds geolocation data to customer receipts, and can take immediate payments on desktop, laptop, and mobile.
- Electronic invoicing: Send invoices to your customer’s inbox and let them pay with a few simple clicks.
- Additional verification checks: Verified by Visa and MasterCard SecureCode are rapid and seamless security protocols that further protect a customer’s transaction without requiring too much input.
Payment solution process
Setting up Pixxles on your website couldn’t be easier, as we offer a number of integration solutions. We provide SDK and API options and can help you to find a custom option that adapts to your brand and meets the needs of your customers.
How can Pixxles help grow your business with payment solutions
Security, simplicity, convenience—online payment solutions must provide all of these things and more. They are designed to meet the ever-growing demands of the eCommerce sector.
At Pixxles, we can help you to integrate a payment solution that will elevate your brand and equip it with the tools it needs to grow.
Payment solution FAQs
What are the steps in payment processing?
The process begins when a customer adds something to their shopping cart and then clicks the “checkout” button. They will be asked for their personal information and payment details, all of which are processed via a secure gateway.
The data is then encrypted and sent for authorisation, a process that typically takes a few seconds. If there are no issues, the sale is approved. At this point, the money is transferred to the merchant’s account while the customer is directed to a “sale complete” page.
Do I need a payment solution for my business?
If you want to take payments online then yes, you need a payment solution.
Payment solutions are not just the reserve of eCommerce brands with products to sell and a national/global audience to reach. You can also use these solutions to book appointments and take deposits and even sell local services.
How do payment solutions work?
Payment solutions work by establishing a secure connection between the customer, merchant, and issuing bank.
If we use credit card processing as an example, it will typically include the following steps:
- Authorisation: The customer enters their details. These are sent to the card issuer for authorisation and then confirmed or denied.
- Settlement: The payment processor contacts issuing banks to request the money, which is then charged from the customer’s account and released to the processor.
- Funding: The money is paid to the merchant, minus the fee charged by the payment processor.
These processes are automated and secure and they take just a few seconds to complete.
Are payment solutions secure?
Yes, the best payment solutions use multi-layered security to ensure that every transaction is protected. All of the data sent through these systems is encrypted, so in the highly unlikely event that it is hijacked, it will not be decipherable.
Additional layers of security are also provided by systems such as Verified by Visa and MasterCard SecureCode, both of which are in use on the Pixxles payment processing solution.