Payment Processing for Today's E-Commerce-Minded Developers
Most e-commerce merchants are going to be
quite familiar with the leaders in e-commerce
Chase and PayPal have a virtual stronghold on the industry, but there are solutions and platforms emerging that are both innovative and disruptive to the digital status quo, and that are quickly becoming top-of-mind with e-commerce developers.
Stripe: One of the reasons these vendors are so disruptive is because they empower not just merchants, but also technology providers an opportunity to wrestle back control from the credit card companies. E-commerce platform Shopify, for example, announced in Aug. 2013 the release of Shopify Payments, a credit card processing system that leverages the Stripe payments technology. The integration enables merchants to accept and manage VISA, MasterCard and American Express payments directly through their Shopify system — instead of forcing them to go through a third-party payment gateway. In addition to the direct integration with Shopify, merchants receive instant setup and approval, as new stores are automatically deployed with the Shopify Payments system, providing an opportunity to start selling immediately without needing a separate payment gateway or merchant account. The system also provides real-time payment information so store owners can see their payment balances, upcoming payout schedules and receive email notifications when funds hit their bank accounts.
Dwolla: In Sept. 2013, e-commerce
solution 3DCart announced an
integration with the Dwolla payment
which enables its customers to send, request
and accept money through email, phone, and
social networks including Facebook, LinkedIn
and Twitter, eliminating the need for paper
checks and charge cards. Unlike other payment
companies that rely on credit and debit cards
and can charge sometimes excessive processing
fees to make payments, Dwolla features a
custom-built network that securely connects to
a chosen bank account while allowing users to
move money easily and affordably. With Dwolla
and 3dCart, transactions more than $10 will
cost just $0.25, while anything less than $10
will remain free.
BlueSnap: Another reason ecommerce developers are turning away from more traditional payment options is because of the sheer sophistication of the alternatives. BlueSnap, for example, is one of the most comprehensive payment platforms on the market today, powering the checkout process for e-commerce merchants of all sizes worldwide, and fueling growth for online businesses serving digital, physical and mobile markets. As both a global payment service provider and an international payment gateway, BlueSnap has reinvented the checkout experience by combining the power of four key components: integration into the storefront, global payment processing, a subscription technology and marketing tools for upsell at checkout. Companies like BlueSnap are also far more willing to take a chance on those merchants and marketers that haven’t yet made a name for themselves. The company now serves upward of 5,000 merchants, and supports shoppers in 180 countries by localizing the experience, with 28 languages, 60-plus currencies and 110 payment types.
WePay: Many of these solutions have broken through thanks to their willingness to go where other networks simply won’t. The popularity of crowdfunding is accelerating rapidly and technology solutions have emerged that are capitalizing on the trend. The WePay platform, for instance, recently announced that it is now processing up to $1.5 million per day in crowdfunding payments, and powering six of the top 15 crowdfunding marketplaces, boasting more than 30 partners using its API, including GoFundMe, Fundly, Fundable, YouCaring and Honeyfund. WePay has averaged 35 percent monthly growth in crowdfunding- specific processing since it launched its first crowdfunding API partner in Oct. 2011. On average, WePay has processed 648 percent more crowdfunding volume in each calendar month of 2013 than the same calendar month in 2012.
BONUS: Get Into Recurring Payments
Subscription commerce solution OrderGroove partnered with eBay Enterprise in Aug. 2013 to offer retailers a platform to manage repeat orders, and many other merchants are looking to do the same. See a comparison of some of the top recurring payment platforms including Chargify, ChargeBee, Memberful, MoonClerk and Space Box.