2024’s Top Payment Gateways for Shopify

Explore the best payment gateways for Shopify to increase your e-commerce transactions.

What is the first thing that comes to mind when considering starting an e-commerce business? A great product, a solid marketing plan, and a user-friendly website are high on your list. But what about payment gateways?

As much as we love to focus on the exciting aspects of running an online store, let’s face it: with a reliable payment gateway, all your efforts will be well spent. Selecting a reliable payment gateway for your Shopify store is essential, as it facilitates all monetary exchanges on the platform.

This article will delve into the world of Shopify payment gateways and examine the best available options to improve your online store’s ability to accept payments. However, before we get into that, let us take a step back and discuss what Shopify is and why it is so well-liked by online retailers.

What is Shopify? An Overview

Introduction to Shopify

Shopify is an all-in-one e-commerce solution enabling entrepreneurs and small companies to set up, run, and market their online shops. With over 1.7 million active users worldwide, it has become one of the leading platforms for e-commerce businesses.

Unlike competing e-commerce platforms, Shopify’s intuitive design and robust tools suit businesses of all sizes. Whether you are just starting or have an established brand, Shopify has everything you need to create a successful online store.

What is a Shopify Payment Gateway?

Understanding Payment Gateways For Shopify

Simply put, a payment gateway is software that authorizes and processes online payments from customers. It bridges your e-commerce store and customers’ banks, facilitating secure fund transfers.

When a customer purchases your Shopify store, the payment gateway encrypts their credit or debit card information and sends it to the respective bank for verification. Once approved, the payment is transferred to your business account.

The Role of Shopify’s Payment Gateways and Why You Need One

There are several reasons why you need to make sure you pick the best payment gateway for your Shopify store:

1. Security: Customers want to feel confident that their online payment information is safe. A reliable payment gateway ensures secure transactions, building trust with your customers.
2. User experience: A smooth and hassle-free checkout process is essential for a positive customer experience. A good payment gateway can help reduce cart abandonment and increase conversions.
3. Integration with your store: Not all payment gateways are compatible with Shopify, so choosing one that seamlessly integrates with your store is important to avoid technical difficulties.

Now that we know how crucial it is to select a reliable payment processor, we can look into the best Shopify offers.

Top 10 Payment Gateways for Shopify

Shopify Payments

About

Shopify Payments is the official payment gateway for Shopify, offering a hassle-free solution for processing payments on your online store. It has features such as secure hosting, mobile responsiveness, and marketing tools to help you grow your business. You can integrate over 100 external gateways with Shopify Payments to cater to specific payment needs. The user-friendly interface offers real-time monitoring, making it easy to manage transactions. Shopify Payments also offers competitive transaction fees and provides reliable customer support 24/7.

Key features:

• Secure hosting with an SSL certificate
• Easy integration with Shopify stores
• Mobile-responsive design for a seamless checkout experience
• Competitive transaction fees start at 2.9% + 30¢ per transaction
• Real-time monitoring and tracking of transactions
• Support for over 100 external payment gateways

Transaction and Chargeback Fees:

Online purchases processed through Shopify Payments incur a 2.9% + $0.30 fee, plus an additional 1.5% international conversion fee for US transactions and 2% for purchases made in all other regions. For chargebacks, there is a $15 fee per dispute.

Supported Countries and Currencies:

Shopify Payments is available in 17 countries, including the US, Canada, the UK, and Australia. It supports over 130 currencies, making it a versatile option for global businesses.

PayPal

About

PayPal is one of the most well-known and trusted payment gateways in the world, making it a popular choice for Shopify store owners. With over 220 million customers, PayPal offers a user-friendly interface, and it typically takes less than a day to set up an account. It also supports setting up subscriptions and recurring payments, making it a great choice for businesses with subscription-based models. With PayPal, you can choose from various pricing plans, including free and paid options. While the Pro plan is suitable for larger businesses and costs $30 monthly, the basic plan starts at 2.9% + $0.30 per transaction.

Key Features:

• Trusted by over 220 million customers worldwide
• User-friendly interface and easy setup process
• Supports subscriptions and recurring payments
• Offers multiple pricing plans, including a predictable flat-rate structure

Transaction and Chargeback Fees:

For online purchases, PayPal adds a transaction fee of 2.9% plus $0.30, with cheaper pricing available for premium accounts. For chargebacks, there is a $11 fee per dispute.

Supported Countries and Currencies:

With support for more than 25 different currencies and availability in over 200 countries, PayPal is a versatile option for businesses with international operations.

Stripe

About

Stripe is another popular payment gateway choice for Shopify store owners. Its feature-rich design makes it a good fit for any size company, from sole proprietorships to multinational e-commerce conglomerates. With Stripe, you can easily send invoices to customers and set up recurring subscriptions, streamlining your payment processes. Additionally, Stripe has a mobile application that allows you to track sales and manage your account on the go. Stripe also offers a customizable checkout flow, providing a seamless customer experience. However, Stripe has a steeper learning curve compared to other payment gateways.

Key Features:

• Supports large-scale growth with its comprehensive features
• Offers support for multiple payment options
• Mobile application for easy account management
• Customizable checkout flow for a seamless customer experience

Transaction and Chargeback Fees:

Stripe charges a flat rate of 2.99% + $0.49 per transaction, with the option to request a customized quote for large-scale businesses. Instant payouts to your bank account are available for an additional 1% fee, and international payments may incur an extra 1% charge. However, the chargeback fees for Stripe are higher than other payment gateways, at $ 20 per dispute.

Supported Countries and Currencies:

Stripe is available in over 39 countries and supports over 135 currencies, making it a versatile option for global businesses.

Authorize.Net

About

Authorize.Net is a trusted payment gateway for Shopify store owners, offering a range of features to enhance the payment experience. It supports online, e-check, and mobile payment processing and accepts major credit card brands like Visa, MasterCard, and American Express. With automated fraud detection, card tokenization, and secure customer management systems, Authorize.net provides robust security for businesses and their customers.

Key Features:

• Supports multiple currencies and payment options
• Offers excellent fraud prevention measures and secure payment processing
• Provides top-notch customer service for any concerns or issues

Transaction and Chargeback Fees:

Authorize.net has a $49 setup fee and 2.9% + $0.30 per transaction pricing structure. There are no extra costs associated with a chargeback.

Supported Countries and Currencies:

Authorize.net is available in over 33 countries and supports multiple currencies, making it a reliable option for global business operations. It also accepts various payments like credit cards, e-checks, and digital wallets like Apple Pay.

Amazon Pay

About

Shopify store owners can also use Amazon Pay as a secure payment gateway. It is simple to set up and gives shoppers a quick and easy way to pay with their Amazon account. With the integration of Amazon’s fraud protection system, businesses can feel confident in secure payment processing. Additionally, Amazon Pay offers top-notch customer service for any concerns or issues that may arise.

Key Features:

• Easy to set up and integrate into Shopify
• Utilizes Amazon’s fraud protection system for secure transactions
• Streamlines checkout process for customers using their Amazon account

Transaction and Chargeback Fees:

Amazon Pay has a transaction fee of 2.9% plus $0.30 per transaction, similar to other payment gateways. Also, it takes $20 in chargeback fees. However, it should be noted that Amazon Pay does not support PayPal payments.

Supported Countries and Currencies:

Amazon Pay is available in over 170 countries, making it a reliable option for global businesses. It also supports multiple currencies, providing convenience for international transactions.

Verifone

About

Verifone, formerly known as “2CheckOut”, is a popular payment gateway option for Shopify store owners. It offers customizable pricing plans based on the specific needs of your business, making it a cost-effective option. Additionally, Verifone has robust risk management and compliance features to help businesses track potential fraud and privacy issues. Its tax calculation feature also simplifies managing taxes for businesses.

Key Features:

• Customizable pricing plans based on business needs
• Risk management and compliance features for fraud protection
• Tax calculation feature for convenient tax management

Transaction and Chargeback Fees:

Verifone offers a flat-rate pricing structure, with a fee charged per transaction. The specific fee amount is based on the features selected by the business. However, Verifone charges $18 per chargeback, which is higher than other payment gateways.

Supported Countries and Currencies:

Verifone has a global reach, making it available in 200+ countries. It accepts various types, including cash, checks, and credit and debit cards.

Opayo

About

Opayo, formerly SageParusted, is a payment gateway option for Shopify store owners in the United States and the United Kingdom. It offers both online and offline payment software, providing convenience for managing various types of transactions. With its focus on secure payments, Opayo allows customers to pay using PayPal if desired. However, the account verification process for Opayo can be lengthy and may interfere with processing transactions.

Key Features:

• Offers both online and offline payment software
• Prioritizes secure transactions with PayPal as a payment option
• Easy integration into the Shopify platform

Transaction and Chargeback Fees:

Opayo differs from other payment gateways in its pricing structure, with monthly fees based on the number of transactions. The starting fee for 350 transactions or less is 19 GBP.

Supported Countries and Currencies:

Opayo is available in the United States and the United Kingdom, making it a reliable business option. It supports multiple currencies to cater to international transactions.

Worldpay

About

WorldPay is a popular Shopify payment provider known for its secure transaction channels and global reach. It offers multiple options for selling products and accepting payments online, over the phone, and via credit/debit cards. With competitive pricing plans, WorldPay caters to businesses of all sizes.

Key Features:

• Multiple transaction channels for selling products and accepting payments
• Competitive pricing plans for businesses of all sizes
• Support for over 120 different currencies and no charge for refunds

Transaction and Chargeback Fees:

WorldPay has two pricing plans: Standard and Advanced Gateways, which cost 19 GBP and 45 GBP monthly. The fees are based on the number of sales processed, with no additional refund charges.

Supported Countries and Currencies:

With over 100 countries, WorldPay is available to merchants globally. It supports over 120 different currencies, making it a reliable option for businesses with international transactions.

Klarna

About

Klarna is a popular Shopify payment method that offers a seamless checkout experience for customers, making it an ideal option for businesses looking to boost sales. It also provides a “buy now, pay later” structure, allowing customers to pay in installments, making it an attractive option for businesses selling pricey items.

Key Features:

• Simple pricing plans for merchants, with a fixed fee per transaction
• Easy integration with the Shopify platform
• “Buy now, pay later” structure for customer convenience

Transaction and Chargeback Fees:

Klarna offers a simple pricing plan of 2.49% + 0.20 GBP per transaction for payments from the United Kingdom or Ireland. The fees may vary for payments received from other countries.

Supported Countries and Currencies:

Klarna is available in multiple countries, making it a global payment solution. It also supports various currencies to cater to international transactions.

Square

Lastly, we have Square, a versatile payment gateway that caters to online and offline transactions for Shopify store owners. With its easy integration into the platform, Square allows merchants to process payments seamlessly.

About

Square is known for its simple pricing structure and helpful extensions, making it an ideal choice for small businesses. It also offers additional features like appointment scheduling fees and membership fees for those looking to diversify their revenue streams.

Key Features:

• Offers both online and offline payment options
• Easy integration into the Shopify platform
• Provides various payment structures, including donations, membership fees, and appointment scheduling fees

Transaction and Chargeback Fees:

Square charges a flat-rate transaction fee of 2.9% + $0.30 per sale, making it a cost-effective option for small businesses. However, a premium plan starts at $12 per month if you want access to more features.

Supported Countries and Currencies:

Square is available in multiple countries, including the United States, Canada, Australia, and Japan. It also supports various currencies to cater to international transactions.

FAQs about Payment Gateways for Shopify

Can I use Shopify as a payment gateway?

Yes, you can use Shopify payments as a payment gateway for your Shopify store. However, having at least one alternative payment gateway is recommended if there are any issues with Shopify payments.

In terms of cross-border purchases, what is the most reliable payment processor?

WorldPay and Stripe are both excellent options for businesses with international transactions. They support multiple currencies and have a global presence, making them reliable choices for cross-border e-commerce.

Is there a way to avoid chargeback fees?

Chargeback fees are inevitable for any business, but you can minimize them by providing excellent customer service and resolving disputes promptly. Safe payment methods are essential for avoiding chargebacks and other forms of fraud.

Can I use Payoneer with Shopify?

Yes, you can use Payoneer as a payment gateway for Shopify. However, it is not directly integrated with the platform and requires some coding knowledge.

Can you sell on Shopify without PayPal?

Yes, you can sell on Shopify without multiple payment gateways and options available for Shopify merchants; those are discussed in this article. It is recommended to have at least one alternative payment gateway in addition to Paypal for a more seamless checkout experience and to cater to customers who do not use Paypal. So, choose your payment gateways wisely based on your business.

Does PayPal allow dropshipping?

Paypal does allow dropshipping, but certain restrictions and requirements must be met. For example, you need a business account instead of a personal one and provide proof of your supplier’s existence and relationship with the products sold.

Get Started With Your Own Premade Exclusive Shopify Store With Dropship Launchpad

So, you’re ready to launch your e-commerce business with a fully designed and branded Shopify store. With Dropship Launchpad, you can set up your store quickly and easily with the support of reliable suppliers and hassle-free payment setup.

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Plus, we offer full protection and ownership of your store, allowing you to make changes and sell it anytime. And with our fully responsive design, your customers can access your store from any device. So get started with your dream of owning a successful e-commerce business today with Dropship Launchpad and enjoy special offers like a 3-month trial for just $1. Don’t wait any longer; start your journey to success with us now!

Conclusion: The Best Payment Gateways for Shopify:

When managing a Shopify store, you and your customers’ financial information must pass through a trusted payment gateway. Thanks to their strengths, the five solutions we have covered in this piece are all well-suited to different kinds of businesses.

A suitable payment gateway can be found based on your organization’s preferences and the demographics of your customer base. Whether you are a small business or a global enterprise, a perfect payment solution is available for your Shopify store.

Consider factors such as transaction fees, supported countries and currencies, and additional features when deciding. With the right payment gateway in place, you can boost your e-commerce transactions and provide a seamless checkout experience for your customers.