Best ways to choose the right payment gateway while doing the application development

Hemendra Singh
Hemendra Singh, Managing Director at The NineHertz
Published on Jan 23, 2019 in App Development
Best ways to choose the right payment gateway while doing the application development

One of the most challenging tasks, while developing an e-commerce Business app is choosing the correct payment gateway. It may sound very simple, but it is precisely not. And it becomes more difficult when the options are more, and not even one of them you could eliminate. But, it being your startup, you need to be double sure while choosing the best-suited payment gateway for your app. These payment gateways act as a most influential aspect of the relationship between the end-users and you. Therefore, to be at the safe side makes sure you are clear with the concept of payment gateways.

What is Payment Gateway?

"Please do not refresh while we take you to the Payment Gateway?" Have you ever seen this message on your screen? Yes! Almost everyone, either at online-shopping sites or paying your bills or while paying for your Netflix subscription or any other online purchases. And most of you, practically assume it to be a way towards the gate that lets you enter the room where you can make your transaction. But theory says: Payment Gateways are a third party who acts a medium that facilitates the payment mode to the customers. Credit cards, net-banking, debit cards, and the wallets are some common modes through which they collect information of the customer, and process the transaction on behalf of the merchant.

How does it work?

Be it Android app developers or iOS app developers the payment modes they employ are all the same and so are the Payment Gateways, here is how a payment gateway works for any app or online transaction:

Collection: The moment you click on the 'Pay' button, the app takes you to the payment page, where you have to first choose the mode of payment, followed by, enter the details like your card number or Login ID of your wallets or the bank.

Encryption: Once they collect the data, the gateway takes it to the associated bank, a kind of request for the payment procedure.

Approval: The associate bank or the wallet, check the validation of the details enters and generates an OTP, one-time password, to get the approval for the transaction from the account holder.

Confirmation: Once you enter the OTP, showing that you agree with the deal. And you are done.

Once the payment is complete, the fund is transferred from the customer's bank account to that of the merchant. And your order is confirmed. Now, that you are well sound with the payment gateway, the next level you have to face is which one to employ and how. Read more to know how to chose and decide; it will be the best payment gateway for your app.

1. Check the setup and transaction charges

For your startup, it is not at fair enough to pay higher transaction charges or setup fee when you have better options. You would never wish to spend USD 100 or even more just for initial setup for the transaction. For a start-up, it generally takes some time to come up with the market; however, invented more than the turnover is not at all a good choice. You can check other options which do not charge for the initial setup, even if their transaction deals may be 4 to 5 percent higher. But this may hamper your traffic callings, for that, you can go for low setup and 1 to 2 percent transaction to hook max people.

2. Always try to get a demo

As you are new to this term, you should always try to get a demo session from the service provider. It will help you get the practical idea of its functionality.

3. Check the number of steps involved

Some of the payment gateways have some steps involved which may be a cause for customers to switch to other apps. Payment proceeding should always be shorter and thus, it will be considered as better. As the number of steps increases, the curiosity of the customer decreases and they end up quitting. Autofill options also good as it saves the detail in the app, and will only require an OTP.

Some of these gateways also ask for sign-up to their app which sometimes unintentionally affects your business.

4. Compatibility

While developing your e-commerce business app, it is essential to check whether the payment gateway you have decided to employ, supports your Content Management Service. Most of the e-commerce CMS comes with the payment gateways that are total.

5. Are you getting multiple payment gateway options?

To pull more and more customers try to employ more than one payment gateway. It is not always possible for everyone to have a common one. Try to make your app more reliable by choosing the correct payment gateway.

6. Offseas transaction support

If you are developing your app for a global marketplace, make sure your payment gateway is an overseas service provider. It should accept foreign credit and debit cards for better growth in your business.

7. Check customer reviews

Judging any payment gateway would not be correct if you are not aware of their reputation. Check their previous projects; refer reviews to learn about the payment gateways.

8. Keep switching

Just like updating your e-commerce app with the latest trendy collection, you can also turn to other payment gateways after a particular time. So, for the very beginning, just hit and choose the one you feel better with.

9. Customer service

The most crucial thing you may face is to reach customer support. Try to discuss your requirement before employing one, to several service providers. Choose the one with which you are satisfied.

These are the nine crucial things you should be double sure about while selecting the payment gateway for your business app.


Well, this is not a payment gateway, but you should be aware of "COD". Cash on delivery is the most in-demand payment options. And so have most of the app development company including this wanted mode of payment. Moreover, for the very first time, people use this mode to get themselves assured for their purchase. It is the most critical thing you should involve to establish a healthy relationship with the customer for the startup.

Once you have to build a better relationship with the customers, they would start with the online transaction. Don't forget to share your experience with us.

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About the author
Hemendra SinghManaging Director at The NineHertz

Hemendra Singh is Managing Director and co-founder of The NineHertz, a Mobile App Development Company. Hemendra has a keen interest in the latest trends and technologies that are emerging in different domains. Being an entrepreneur in the field of IT...

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