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Optimizing your third-party payment gateway usage in Shopify is crucial for providing a smooth and efficient checkout experience for customers. From choosing the right payment gateway system to streamlining the checkout process, our guide ensures a secure, user-friendly, and cost-efficient transaction environment.
First, let’s look at the types of fees that Shopify has applied for their payment gateway systems.
Shopify payment gateway fees can vary based on the plan you're on and the type of transaction. It's important to be up to date with the most recent information on Shopify's official website or contact their support for the latest details, as fee structures can be subject to change.
Tips on optimizing for cost efficiency while using a third-party payment gateway on Shopify.
The online credit card rates vary depending on your subscription plan:
In-person credit card rates are lower for in-person transactions using Shopify's Point of Sale (POS) system:
If you're not using Shopify Payments and choose an external payment provider, there's an additional fee ranging from 0.5% to 2% per transaction, depending on your plan.
If you accept payments manually (e.g., over the phone), there's an additional fee:
It's important to note that these rates are for transactions processed through Shopify Payments. If you use a third-party payment gateway, additional fees from that provider may apply.
As a general overview, above are some key points regarding Shopify payment processing fees that you should keep an eye on so that you can choose the most suitable payment gateway methods and pricing plans for your businesses
When merchants use Shopify third-party payment gateways instead of Shopify Payments on their Shopify store, there are additional fees that may apply. These fees are specific to the external payment gateway chosen, as Shopify Payments integrates seamlessly with the Shopify platform, often with lower transaction costs.
It is important to be aware of these potential additional fees to accurately assess the overall cost of using a third-party payment gateway:
Most third-party payment gateways charge transaction fees on top of the standard credit card processing fees. These fees can vary based on the gateway provider and your specific agreement with them.
Some third-party gateways may charge a monthly subscription or service fee for using their services. This is a fixed cost that merchants need to consider alongside transaction fees. Also, certain payment gateways may impose one-time setup fees when you integrate their services with your Shopify store. This fee covers the initial configuration and activation of the gateway.
If you sell to customers in different countries and accept multiple currencies, third-party gateways might charge additional fees for currency conversion.
Chargeback fees may apply when a customer disputes a transaction. Third-party gateways often charge fees for managing the chargeback process.
Payment Card Industry Data Security Standard (PCI DSS) compliance is crucial for secure transactions. Some third-party gateways charge PCI compliance fees to cover the cost of maintaining a secure payment environment.
Implement SSL encryption for secure data transmission and use address autocomplete to expedite address entry.
While refunding a transaction is a standard practice, some payment gateways may charge refund fees, particularly if the refund involves currency conversion.
It's important for merchants to carefully review the fee structures of the specific third-party payment gateway they choose, as fees can vary widely. Shopify Payments, being integrated into the Shopify platform, often offers a more straightforward fee structure, and it may be a cost-effective option for many merchants.
For cost-efficiency purposes, always check with both Shopify and the chosen third-party gateway for the most up-to-date and accurate fee information.
Since merchants using Shopify third-party payment gateways don’t have those benefits offered by the platform like those who use Shopify Payments, it is a good idea to find ways to optimize and take advantage of features that already exist with the following ideas:
For Shopify store owners looking to optimize their payment gateway, those practical tips above can enhance the overall customer experience and boost conversion rates. Begin by selecting reputable payment providers and ensuring compatibility with your target audience, to optimize the checkout process for mobile users, streamline forms, and enable guest checkout to reduce friction.
Selecting reputable payment providers and ensure compatibility with your target audience.
Optimizing your third-party payment gateway usage on Shopify involves a strategic approach to cost management, leveraging advanced features, and staying informed through additional resources. With these tips, you can optimize the usage of your third-party payment gateway on Shopify, providing a secure, efficient, and user-friendly experience for your customers.
PayCEC was established in response to the growing need of businesses to accept online payments more quickly and easily. In the new media era, our payment flow has evolved to work seamlessly and effectively across all platforms and devices. We pride ourselves on combining superior technology with first-class customer service.
PayCEC is a truly global payments platform that not only allows customers to get paid but also withdraws funds to their business accounts in various currencies.
We have created an open and secure payments ecosystem that people and businesses choose to securely transact with each other online and on mobile devices.
Adding a third-party payment gateway to Shopify is a simple and straightforward process. Here are step-by-step instructions to guide you through the setup:
Following these simplified steps, you can easily add a third-party payment gateway to your Shopify store, providing more payment options for your customers. Always refer to the specific instructions provided by your chosen payment gateway for any extra details.
The answer depends on the country or region where your online business is located.
Shopify charges fees for using third-party payment gateways in addition to their own proprietary solution, Shopify Payments. Therefore, it's recommended to check the official Shopify website or contact Shopify support for the most current and accurate information.
As a general guideline, when using third-party payment gateways on Shopify, you may incur the following fees:
Transaction Fees
Additional Fees
Shopify Subscription Plan
Above are types of fees that Shopify may charge on third-party payments. Additionally, the specific third-party payment gateway you choose will have its own fee structure, so it's essential to be aware of both sets of fees when integrating third-party payment options with Shopify.
The choice of the best third-party payment gateway for Shopify depends on various factors, including your business requirements, target audience, location, and personal preferences.
PayCEC: PayCEC is well known for providing global payment gateway solutions, especially for the reliable payment system and 24-hour fast integration.
Stripe: Stripe is known for its simplicity, developer-friendly tools, and support for a variety of payment methods. It is widely used globally and supports multiple currencies.
PayPal: PayPal is a well-established payment solution that many customers trust. It supports various payment methods, including credit cards and PayPal balances.
Square: Square is a popular choice for small businesses and integrates well with Shopify. It's known for its user-friendly interface and transparent pricing.
Worldpay (now FIS): Worldpay is a global payment solution that supports various payment methods and provides features like fraud protection and recurring billing.
Klarna: Klarna is popular for its "Buy Now, Pay Later" options, making it attractive for businesses looking to offer flexible payment solutions to customers.
Amazon Pay: Amazon Pay allows customers to use their Amazon account to make purchases on your Shopify store, providing a familiar and trusted payment option.
Before selecting a third-party payment gateway, consider factors such as transaction fees, supported countries, ease of integration, security features, and any specific needs your business may have.
Additionally, check for the latest reviews and testimonials from other Shopify merchants using the respective payment gateways to gauge their experiences. And always refer to the official websites of the payment gateways and Shopify for the most current information.
We are honored to serve as your reliable business partner and financial service provider in the industry and other business-related services. With the help of our professional staff, to help merchants to achieve their goals for the development and expansion of the international business market.
Our payment flow has developed in the e-commerce world to perform seamlessly and effectively across all platforms and devices. We take pleasure in combining technology with customer service, to solve your concerns at the moment.
PayCEC is a fully worldwide payment network that not only allows merchants to be paid immediately and securely, but also allows them to withdraw money in multiple currencies to their company accounts.