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Payments

How to Choose the Right Payment Service Provider

Payment Service Providers (PSP) can benefit your business greatly. They make it easier for you to accept payments from your customers all over the world by offering a platform that can adapt to accommodate multiple payment channels, methods and currencies as your business evolves. Additionally, they can be a more cost-effective alternative to using a payment gateway or setting up a merchant account. But how do you choose the right PSP for your business? Let's discuss the key features to look for and the questions to ask, to help decide which PSP has what it takes to enhance your business and help you grow.

From mobile wallets to ‘buy now pay later’ and QR codes, your customers want different options when paying online. As a result, the payments landscape is fragmented, and it can be time-consuming to keep up with changing technologies and customer preferences.

Payment Service Providers (PSP) offer services to eCommerce and mCommerce merchants, helping them accept different types of payments with a single payment provider. Simply put, they take responsibility for all the ‘heavy lifting’ of accepting, processing and managing payment transactions. That means you can offer your customers different payment options while saving on integration and processing costs.

But how do you choose the right PSP for your Business? Let's discuss important features a PSP should have to help enhance your business and help you grow.

Payment Service Provider for Omni-Channel and Cross-Border Payments

An online PSP optimized for eCommerce and mCommerce should give you the flexibility to pick and choose the methods and channels that suit your business and customer needs as they change.

Look for a PSP that offers a wide variety of channels such as international and domestic card payments, bank transfers, digital wallets and more. And it’s not just about the payment methods. You also need to consider the needs of customers in other countries who expect to shop in their own currencies. Even if you’re not selling overseas, you might want to in the future so it’s important your PSP offers services that support.

Not only do your customers prefer options for paying in their local currency, in many European countries they can be the key to success. For example, in the Netherlands iDEAL and in Germany Giropay are among the most popular ways to pay.

Enabling a Seamless Checkout Experience

In addition to offering the right payment options, it’s important to consider the overall checkout experience. What does your checkout page look like and how does it feel? A PSP should offer features and services that enhance it, to turn customer consideration into conversion. So what helps make the checkout seamless? Consider one-page and one-click check-out options and personalized pages to improve the customer experience.

And of course, a seamless experience is not limited to your customers. It’s fundamental that you as a merchants find a PSP that can deliver a simple, swift integration, a reliable service and proactive customer service. Whether you manage your website yourself, or use a third-party.

Understand and Engage Your Customers 

Although the checkout might be considered the pinnacle of interaction, there are multiple touchpoints throughout the customer journey that can be used to add value and drive growth. It’s now possible to automate and integrate mobile customer communication and direct processing of online payments in a smart way. For example, offer integrations with your customer's favorite messaging channels such as WhatsApp or Apple Business Chat. This will allow you to interact with your customers before processing their payments to improve the customer experience.

A PSP Should Prioritize Security, Compliance, and Fraud Prevention

It goes without saying that every PSP should prioritize security, regulatory compliance and fraud prevention. As a minimum, to protect your business and customers, you need a PSP compliant with domestic and international requirements, complete with licenses and certificates that demonstrate effective risk-management. Some PSPs also offer third-party screening services that improve the online payments journey and help you grow revenue, while reducing potential fraud.

The Right Payment Service Provider for You

The important features mentioned above will help you choose the right PSP for your business. Need some extra info and guidance? Want to know what questions to ask prospective PSPs to determine if they have what it takes to help your business grow?

Our Digital Commerce Guide will help you to find the right PSP for your current and future needs. By selecting a PSP that offers multiple omni-channel payment methods that are secure, scalable and easy to integrate with web and mobile environments, you stand the best chance of future proofing your business by attracting, engaging and retaining customers as technologies and behaviors evolve.

Also check out CM.com's payment solutions to see if we would be a good fit as a PSP for your company.

Learn more about PSP's and our Payment Solutions

Digital Commerce Guide Payment Solutions

Learn more about PSP's and our Payment Solutions

Digital Commerce Guide Payment Solutions
Copywriter at CM.com. Passionate about language and getting CM.com’s message out there. Shares content about CPaaS, Payments and more.

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