Are you expanding your online business to new markets? If so, selecting the right payment gateway for international transactions is crucial to ensure smooth and secure cross-border payments.
A payment gateway bridges your website or app and the payment processor, enabling seamless authorization and processing of customer payments. Therefore, choosing the right payment gateway can significantly impact your conversion rates, customer satisfaction, and compliance.
But with so many options available, how do you select the ideal payment gateway for your international business? Keep reading because, in this comprehensive guide, we will discuss what an international payment gateway is, the five key factors to consider when choosing a payment gateway for international transactions, and introduce you to WP EasyPay, the ultimate WordPress plugin for Square international payments.
So, buckle up, and let’s dive right in!
What exactly is an international payment gateway?
An international payment gateway is a digital service linking a bank’s financial network to online businesses. It connects the merchant’s site and the client’s bank or card provider, enabling payment authorization and completion. Furthermore, it assists businesses in adhering to each country’s local rules and security standards, like PCI DSS, GDPR, and PSD2.
For many years, payment gateways and processors were separate services different entities offered.
- Payment Gateways securely forward payment details from the checkout system to the payment processor.
- Payment Processors then ensure the information is accurate and formatted correctly before sending the information to the issuing bank or credit card network for approval. Some gateways are even integrated with multiple processors to enhance performance.
Nowadays, these two services usually come together, and most businesses use both terms interchangeably.
5 Key Factors to Consider When Choosing a Payment Gateway for International Transactions
Now that we have a clear understanding, let’s explore the key factors to consider when selecting an international payment gateway.
#1: Multiple Currency Support
When expanding your business globally, you must offer multiple currencies support to cater to customers from various countries. Ideally, you want a payment gateway that supports all the currencies your target customers use and the currency you want to receive your payments.
For example, if you sell products or services to US, Canada, UK, Australia, and India customers, you want a payment gateway that supports USD, CAD, GBP, AUD, and INR. Additionally, you want a payment gateway that allows you to receive your payments in your preferred currency, such as USD or EUR.
Some payment gateways may charge extra fees for currency conversion or exchange rate fluctuations. Hence, you should also check each payment gateway’s pricing and fee structure before choosing one to avoid currency conversion fees and offer your customers transparent and accurate pricing.
#2: Easy Payment Options
Think back to the last time you abandoned a shopping cart online. What was the reason? Was it because the site didn’t offer your preferred payment method? Like some people prefer credit cards while others prefer cash, online shoppers also have their preferred payment methods.
Your payment gateway should accommodate these preferences by providing a wide range of payment options, such as credit and debit cards, digital wallets, and bank transfers. Hence, you want a payment gateway that offers multiple payment options that suit your customers’ needs and preferences.
Some of the common payment options that customers may look for are:
- E-Wallets: PayPal, Skrill, Neteller, etc.
- Debit and Credit Cards: Visa, Mastercard, American Express, etc.
- Bank Transfers: ACH, SEPA Direct Debit, BACS Direct Debit, etc.
- Mobile Payments: Apple Pay, Google Pay, Samsung Pay, etc.
- Alternative Payments: Alipay, WeChat Pay, Klarna, Cryptocurrencies, etc.
You should also check if the payment gateway supports recurring payments or subscriptions if you offer such services and one-click checkout or express checkout features that can improve the customer experience and reduce cart abandonment.
#3: Flexibility and Easily Scalable
Your business isn’t static—it’s constantly growing and evolving. Similarly, the payment gateway you choose must be flexible and capable of scaling with your growing business. It should be able to handle an increase in transaction volume as your business grows and expands into new markets.
Moreover, it should also adapt to technological changes and customer preferences. In other words, it has to integrate with your existing website or app seamlessly and can adapt to future changes and technological advancements.
Lastly, don’t forget to check if the payment gateway offers any additional services or features that can add value to your business, such as fraud prevention tools, invoicing tools, customer support tools, etc.
#4: Pricing and Fee Structure
Let’s face it, running an online business isn’t cheap, and every penny counts. When choosing a payment gateway, you need to consider its pricing and fee structure. It’s like shopping for a car—you wouldn’t buy one without knowing its price and running costs, would you?
Following are a few of the service charges you may encounter when using a payment gateway:
- Setup Fees: It’s a one-time fee for setting up your account or integrating your website with the payment gateway
- Monthly Fees: These are fixed monthly or yearly fees for using the payment gateway’s services or features
- Transaction Fees: Fees related to the number or value of payments processed by the payment gateway
- Currency Conversion Fees: Charges for converting currencies
- Cross-Border Fees: Costs associated with processing payments from foreign customers (international customers)
- Chargeback Fees: The cost of handling chargebacks and disputes initiated by customers or card issuers
- Withdrawal Fees: Fees for moving funds from your payment gateway account to your bank account
Different gateways have different fee structures. Some charge a flat fee per transaction, while others charge a percentage of the transaction value. Others might even have monthly or annual fees. Make sure you understand these costs and how they fit into your business model before making a decision.
#5: 24/7 Customer Support
In online business, problems don’t follow a 9-to-5 schedule. They can occur at any time, and when they do, you need to be able to resolve them quickly. This is why it’s important to choose a payment gateway with reliable and responsive 24/7 customer support that can help you resolve any issues or queries quickly and efficiently.
For good quality customer support, make sure to check the following:
- Availability: The hours and channels you can contact customer support (phone, email, chat, etc.)
- Responsiveness: Speed and accuracy with which customer support responds to your inquiries or requests
- Knowledgeability: Their level of expertise and professionalism in handling your issues or questions
- Satisfaction: How satisfied are you after interacting with customer support? Have they provided the proper resolution or not?
Lastly, a good payment gateway would have online resources that can help you troubleshoot problems or learn more about the payment gateway’s services or features, such as FAQs, user guides, tutorials, blogs, forums, etc.
WP EasyPay: The Ultimate WordPress Plugin for Square International Payments
If you are looking for an easy-to-use, affordable, and secure way to accept international payments on your WordPress website, you should consider WP EasyPay.
WP EasyPay is a WordPress plugin that allows you to integrate Square’s powerful payment processing capabilities into your website without any technical expertise. Square is one of the best payment gateways with international capabilities, as it supports over 130 currencies and offers competitive pricing.
With WP EasyPay, you can:
- Accept one-time or recurring payments from customers in different countries using credit cards, debit cards, or mobile wallets (Apple Pay, Google Pay)
- Customize your checkout page with your logo, colors, and fields.
- Use shortcodes to embed your checkout form into any page or post on your website.
- Manage your payments, subscriptions, customers, and reports from your WordPress dashboard.
- Secure your data and transactions with PCI DSS Level 1 compliance and SSL encryption, etc.
So, what’s holding you back? Give WP EasyPay a try today and expand your business globally!
Choosing a payment gateway for international transactions is not an easy task, as there are many factors to consider. However, following our guide above, you can narrow your options based on your business needs and preferences.
If you want to integrate Square for international payments, WP EasyPay is a top choice, offering seamless Square integration, a user-friendly interface, scalability, and dedicated customer support.
Make the right choice for your international business and provide customers with a seamless payment experience across borders. Choose WP EasyPay today and elevate your online business to new heights. Happy Selling!
Frequently Asked Questions
Not all payment gateways are suitable for international transactions. When choosing a payment gateway, consider whether it supports multiple currencies, complies with local regulations, and offers international payment options to cater to customers from different countries.
The ability to integrate a payment gateway with your international eCommerce site depends on the compatibility and supported integrations of the payment gateway. It’s essential to check if the payment gateway offers plugins or APIs compatible with your eCommerce platform or website.
The most important factors to consider when selecting a payment gateway partner for international transactions include the following:
1. Multiple Currency Support
2. Easy Payment Options
3. Flexibility and Scalability
4. Pricing and Fee Structure
5. 24/7 Customer Support
Yes, some payment gateways offer support for multiple languages and localizations. This allows you to provide a localized payment experience to your international customers by displaying payment pages, messages, and instructions in their preferred language.