The world of eCommerce can be confusing and intimidating, to say the least.
But the fact of the matter is, in today’s world, most business owners need online payment processing.
Especially when you consider all the public health restrictions imposed over the last couple of years, it’s not surprising that online shopping is in such high demand.
But even if the pandemic had never happened, like it or not, this is the way the world was already going, as online payment processing offers so many advantages to both businesses and their customers.
It presents numerous benefits for businesses by lowering their overhead, making them more competitive, allowing them to sell to people all over the world, and giving them the agility to adjust their business model to fit an ever-changing and increasingly uncertain world.
At the same time, it also benefits consumers by eliminating the time and cost of travelling to brick-and-mortar stores, allowing them to do all their shopping from the comfort of their homes, and giving them the ability to buy products they’d never be able to access otherwise.
So, if you’re looking to start selling online, but you have no idea how to go about doing it, or how to choose the right payment processor for your business, then you’d better keep reading.
Because in this article, we’re going to discuss some of the most important things to consider when setting up your online payment processing.
Considerations for Online Payment Processing
When it comes to online payment processing, there’s a lot of needlessly complex jargon floating around out there, and it can make things very difficult to understand.
So, in keeping with our commitment to do what’s in the best interests of business owners, and provide greater clarity, we thought it would be good to explain some of this terminology and provide some perspective, so you can have a better idea of what it all means, and why you should care.
1. eCommerce
Simply put, eCommerce, also known as Internet commerce, electronic commerce, or online shopping, is a term that refers to the buying and selling of products and services online.
There are a ton of things to consider if you’re thinking about eCommerce, but for the purposes of this article, we want to focus on one thing that tends to be overlooked.
What we’re talking about, of course, is compatibility.
What do we mean by that?
Well, unfortunately, many payment processing companies like to claim that their platforms are compatible with any website under the sun, but that’s just simply not true.
Every company has its own way of doing things and depending on how your website is structured, it might not be compatible, and this can cost you a lot of time and money.
That being said, it’s important to note that typically, payment processing companies don’t set up digital shopping carts or build eCommerce websites. This is done by web developers, and what the payment processor does is just facilitate the processing of payments.
So, before you start looking at payment processing companies, it’s best to contact a good web developer, talk to them about what you want to do, and allow them to build your website before choosing a payment processor.
It’s better to do it that way than to have to build your website around the limitations of a specific company’s platform.
If you’re dead set on going with a certain payment processor, then make sure to have your web developer correspond with them before building your website, and that way you can avoid any unnecessary costs or delays.
2. Virtual Terminals
When you run a brick-and-mortar store in this day and age, payment terminals are a must-have.
Most people don’t carry around cash anymore, and these terminals allow you to process other forms of payment, such as credit cards, debit cards, and gift cards.
But what about businesses that accept payments by email, phone, mail, or fax, and have to enter customers’ information manually? How do they process payments?
Well, most of them use what’s called a virtual terminal.
A virtual terminal is basically a piece of software that allows you to turn a computer, tablet, or smartphone into a payment terminal.
This technology provides a plethora of benefits for business owners, not least because it allows you to process payments anywhere, as long as you’ve got access to the Internet.
One of the greatest advantages of virtual terminals is that they’re great for subscription-based business models, as they give you the ability to securely store card information.
This allows you to enter a customer’s information once and then set the terminal to bill at specific intervals, instead of having to re-enter that information every time, which can save some businesses literally hundreds of hours per year.
So, if this sounds like something that would be useful for your business, and you’re looking for a payment processor for your eCommerce website, you should probably find one that also offers virtual terminals.
3. Dynamic Currency Conversion
Another thing to think about when it comes to online payment processing is something called dynamic currency conversion.
In a nutshell, dynamic currency conversion lets your business give customers from around the world the option to pay using their own currency.
When a customer goes to pay, this feature will recognize where their card was issued and the corresponding currency, and if it’s different from the local currency used by the merchant, it will ask the customer if they want to pay in their own currency or the merchant’s local currency.
Typically, this prompt will include a detailed breakdown of everything the customer needs to know, such as the price in their currency and the local currency of the merchant, along with the exchange rate, and any fees that have been added as a result of the conversion.
This is great for business owners, as it makes whatever they’re selling accessible to a much wider range of potential customers, who might otherwise hesitate to buy something if they can’t pay with their own currency.
In addition, many customers will appreciate this transparency, as it gives them all the information they need to make a more informed decision.
So, if you want to open your business up to an even wider range of customers, and provide them with even greater convenience and clarity, make sure whatever payment processor you choose has a platform that offers dynamic currency conversion.
At Lucid Payments, we offer personalized online payment solutions, including eCommerce, virtual terminals, and dynamic currency conversion, so you can start selling online, no matter what your business model looks like.
If you’re confused about how to do business online, and you’re looking for simplified online payment solutions, contact us today, and let’s get started.
