Top Mobile App Categories Have Spatial Reasons to Integrate Payment Gateways

Vipin Jain
Vipin Jain, Co-Founder & CEO at Konstant Infosolutions
Published on May 22, 2019 in App Development
Top Mobile App Categories Have Spatial Reasons to Integrate Payment Gateways

The requirement for payment service providers that help manage payment gateways and offer hosted or non-hosted payments are anticipated with the rising of mobile apps!

It requires a good deal of effort and credibility to establish merchant accounts with banks. Moreover, banks require a sum total to create a bond as proof to negotiate services. The payment service provider acts both as merchant account as well as the payment gateway, thus helping businesses to collect and manage payments, transferring them back to customers. Know more in subsequent paragraphs:

Mechanism of Payment Gateway Integration API’s

Top Mobile App Categories Have Spatial Reasons to Integrate Payment Gateways

Image Source:

20 Best Payment Gateway Integration Applications

Dissertating about 20 best payment gateways (as of April 2019), which in essence contain a vast array of benefits and a lot of conveniences, have changed and will continue to alter the face of finance and business as we know them. These are (1) Stripe, (2) PayPal Payments Pro, (3) Amazon Payments, (4) Braintree, (5) Authorize.Net, (6) WePay, (7) BlueSnap, (8) Payza, (9) Skrill, (10) PayU, (11) BitPay, (12) Zoho Checkout, (13) Payoneer, (14) CardinalCommerce, (15) SecurionPay, (16) Dwolla, (17) PayPro Global, (18) PaySimple, (19) CoinGate Bitcoin Payment Processor and (20) WorldPay….as amongst the most important technologies ever created. Exceptionably, their higher pricing, aging technology, and negative service reputation have encouraged savvy developers to look for alternative payment solutions.

Problems that Payment Gateways Solve

Online purchasing and transaction management are the two most crucial tasks to be accomplished online. In strict contrast to dedicated payment processors, payment gateway solutions keep a check on payments that are being transferred in a secure and convenient way. Payment gateways are integrated within the application, can even be used both independently or within larger modules, where they assume the responsibility of processing money, verification of client accounts, analyze velocity patterns, performing AVS checks, and calculating tax amounts, etc.

Payment processing companies have to comply with PCI standards and introduce as many security methods as needed to prevent fraud. Some others are open to modifications and invite developers to build custom payment pages and embed those on their websites. Signup, cost, security, support, API are 5 essential factors to consider while creating a payment integration app for mobile applications.

Types of Merchant Accounts

A user needs to understand the various types of merchant accounts before proceeding with their online transactions:

  • Aggregate: Paypal and stripe are types of aggregate merchant accounts. It is one place to store all users money.
  • Dedicated: It is more suitable for individual merchants and entrepreneurs.

Different Types of Payment Gateway Integration

Although not random, the payment paradigm has shifted from a traditional one (such as direct bank transfer) to lead way for payment gateways. This budge renders instant payments, provides credibility to merchants and security among other benefits.

Top Mobile App Categories Have Spatial Reasons to Integrate Payment Gateways

Image Source:

Payment gateways can be distributed into four main types, let's divide them into a list of positives and negatives to help in selecting the best that suits individual business needs:

1. Hosted Payment Gateways

These direct customers over to some third party payment page, away from your site’s checkout page. As soon as the customer clicks the gateway link, they are redirected to the Payment Service Provider (PSP) page. Customer is required to make the payment and is directed back to your website with a “thank you for placing your order” message. E.g.: Google Pay, Paypal is the most prevalent options.


  • These transactions are secure, PCI standard compliant and often offer fraud protection
  • These are simple and do not require any particular setup
  • These are easily customizable


  • Merchant (a bank account associated with your business) can provide the service but cannot control the entire user experience

2. Self-Hosted Payment Gateways

All the details are collected from the customer within the merchant’s website and then sent to the payment gateway’s URL when requested. This payment data can be in some specific format, might contain hash key or any secret key. Most common examples of such payment gateways are: TradeGecko Payments and Shopify Payments

What goes in its favor: It follows a customizable flow and is convenient as the transaction completes in one place

What goes against it: There is no support system, without technical support team it sometimes becomes difficult to resolve the problem on your own.

3. API hosted payment gateways

By this method customers’ add details of credit and debit card details directly on the merchant’s checkout page and payments are processed using an API (Application Programming Interface) or HTTPS queries.

Advantages of this approach: This approach offers complete control over the customer's experience and checkout interface. Besides, it can be integrated along with any mobile devices, tablets, etc.

What is not so favorable: It is compulsory for the merchants to go for PCI DSS compliance and purchasing SSL certification.

4. Local bank integration

Customers are redirected from the Local bank integration gateways to the payment gateway’s website (the bank’s website) where payment and contact details have to be filled. Payment notification data is sent upon redirection. This method is quick and easy to set up. It is not ideal for wholesalers as it doesn't enable returns.

The choice of the payment gateways depends upon the business model, the types of features required and the amount of control you want over your customer’s payment experience.

The reason why a self-hosted payment gateway provides the most streamlined environment is that it enables customers to complete the transaction from a single page and offers the merchant control over the customer experience. Mobile app development cost might vary with individual payment gateway type.

Major Categories That Require Payment Gateway Integration

Custom API development for Payment Gateway further helps industries like transportation, on-demand apps, e-commerce apps, and accommodation apps.

Transportation Apps

Payment Gateway Integration helps transportation business and taxi booking apps in sorting all bills in one place, streamlining accounting on an easy interface, sending an invoice to customers instantly.

On-Demand Apps

If even after having a website, the customers are willing to go over to the desktop website to make the payment (payment gateway integration), chances are that a lot of potential customers can be lost to competitors. Therefore there is a need to implement Payment gateway Integration API for mobile apps like Grubhub to allow the customers to make the payment without moving to any other platform.

E-Commerce Apps

PG API's allow businesses to process transactions through mobile apps to accept orders from your customers. Integration of payment gateway with shopping cart provides an effective marketing strategy to the concerned business. As the product or service and the interface of the mobile application seduce the customer to buy your service, the facility to make instant payment completes the sale to customer's satisfaction.

Accommodation Apps

In-app payment solutions within the best accommodation apps help in quick bookings and enhance user experience while they are traveling. Apps like AirBnB, (a subsidiary of Tripadvisor),,,, – have in-built payment gateways integrated for quick checkout and payments.


Apps for Integration of Payment Gateway like Paypal, Braintree, Stripe, Authorize.Net, Google Wallet, Amazon Payments, WePay, 2CheckOut and ACH Payments etc. prefer making use of payment gateway instead of wallets as with later, a user needs to enter their details every time they make the transaction, while with payment gateway, their details are securely saved and can be used at the time of purchase without entering each time.

Top Mobile App Categories Have Spatial Reasons to Integrate Payment Gateways

Image Source:

Furthermore, PG is being used by almost every industry which requires some sort of online transaction like on-demand food ordering apps like GrubHub, apps like Airbnb, taxi-booking apps, shopping cart integration, e-mail Payment Integration, corporate payment integration, etc.

Find more top mobile app developers worldwide on AppFutura.

Looking for an app or software development company?

You can post a project on AppFutura for free and explain your needs for app or software development. You will receive quotes from qualified companies and will be able to hire the best candidate through a safe payment system.

Post a project

About the author
Vipin JainCo-Founder & CEO at Konstant Infosolutions

Vipin Jain is the Co-Founder and the CEO of Konstant Infosolutions, a mobile app development company based out in India and the USA. His vision and decisions have molded the operations, plans, human resources, marketing, public relations and finances...

You might also like