A means of payment is a tool that is used to charge for your sales. These means of payment can be online or offline.
In the former, the transaction occurs 100% virtually, whether the result is immediate or within a period of time, which is usually up to 72 business hours.
In the case of face-to-face (or offline) payment methods, it is not necessarily the case of collection in a physical location and in cash.
Offline payments can also be those transactions where the customer has to go to a bank, an ATM or a collection network branch such as Rapipago or Easy Payment, for example, to pay for their purchase.
Currently, there is an ecosystem of integrated means of payment where the different modalities coexist and complement each other. Read on to find out more.
Means of payment in Argentina
In each country there is an ecosystem enabled for online sales. In the case of Argentina, the means of payment are the following:
- : These are local, national and international cards issued by private or public banks. The most used cards are Visa, American Express (AMEX) and Mastercard.
- Cash: it is made up of collection networks such as Easy Payment, Rapipago or bank deposits.
- Transfers: Currently, most banks have electronic banking that allows transfers to be made from their own page or through the PagoMisCuentas service.
In addition, in electronic commerce there are online payment processing systems that allow the integration of a store with multiple payment methods, through the so-called payment gateways or payment platforms.
Graphically it would look like this:
Main differences between payment gateway and payment platform
A payment gateway is an application that authorizes online payments.
One of the main differences between both payment processing systems is that the gateways are only in charge of the communication protocols between your online store and the bank (or the card).
We could say that it is the equivalent of the Posnet in a physical store, since they send the information and receive a response, which can be an approval or denial of the transaction.
In addition, the gateways allow you to have your own internet business number and offer a direct connection with the means of payment. This means that the money from each sale is credited directly to your own bank account, without any intermediate steps.
The payment platforms, on the other hand, offer an indirect connection, that is, the money collected for each sale is credited to a virtual account on the platform and then you have to request the transfer to your own bank account.
The commissions of the payment platforms vary depending on the time in which you choose to have the money credited to your virtual account.
On the other hand, and unlike the payment gateways where the agreements of the rates for use of the service or installments without interest are in charge of your business, giving you greater freedom of decision; payment platforms have the ability to enter into agreements with the various banking entities and cards, obtaining exclusive benefits due to the large volume of daily operations they handle. This may include interest-free fees or a reduction in fees for use of the service, for example.
Another difference between both payment processing systems is that the gateways are mainly implemented through a payment form within your store, without the need for your customer to be redirected to an external site.
However, in some cases and depending on how the integration is done, some platforms also offer an in-store payment form.
In order to integrate this payment system with your , you have to comply with strict security protocols known as PCI Compliance (they are a compliance standard whose purpose is to protect cardholder data) and in most cases a team of programmers is needed to develop the integration.
On the other hand, on payment platforms, this process is carried out outside the online store. This means that the buyer is redirected to the platform and, from there, the transaction is finalized and confirmed.
Thus, payment platforms simplify the work of the online store since the integration is much simpler and does not require the involvement of developers.
In Argentina, Decidir is one of the most chosen payment gateways, while , MercadoPago and PayU are the most used payment platforms for national payments and PayPal for payments from abroad.
To simplify this topic, we summarize all the information in this comparative table:
Payment gateway Payment platform Operation It is a communication protocol between the store and the bank or card.
Send the information and receive the approval or declination of each transaction.
Indirect connection between the merchant and the client’s bank. Crediting The money is credited directly to the seller’s or merchant’s bank account. The money from each sale is credited to the platform’s virtual account and can then be transferred to a bank account. Commissions They charge their commission for the number of sales. With a minimum that, if not reached, must be paid equally. They are for each transaction and vary depending on the time you choose to have the money credited to your account (the shorter the time the money is available, the higher the commission, and vice versa). Benefits The fees for using the service or fees without interest are the responsibility of each business. They have the ability to enter into agreements with various banks and cards, obtaining exclusive benefits (for example, interest-free installments). Integration You need a team of programmers to develop the integration. No need to involve developers.
Is a platform or a payment gateway right for me?
If you still have doubts about which payment processing system is the most convenient for your e-commerce, we summarize the four most important factors to take into account when making a decision.
Commission and profit margin
It is essential that you analyze the cost and costs associated with the commissions charged by payment platforms or gateways. The equation has to be profitable for you.
Payment platforms have commissions that are applied for each approved transaction. Generally, they vary according to the time in which you choose to have the money available in your bank account (the shorter the time the money is available, the higher the commission, and vice versa).
This value includes the cost of the service they provide, which is usually higher than the gateway commissions, but which is the price to be charged in an agile and simple way without having to develop your own integration.
The payment gateways charge their commission for the amount of sales and have minimums that, if they are not reached, must be paid the same. Also, in this case you will have to consider the cost of integration by a developer.
Before making a decision, we recommend that you create a cost spreadsheet to understand how this expense would impact your numbers. You can download your free spreadsheet here:
Implementation
As we just mentioned, depending on the type of payment processing system you choose, you are going to have to consider the cost and time of implementation.
In the case of gateways, if you do not have your own development team that is in charge of its implementation, you will have to hire one.
Your customers’ preferences
It is important that you investigate what payment methods your potential customers use to understand which ones you should offer.
In Argentina, according to what was carried out by the Argentine Chamber of Electronic Commerce (CACE), the most used online payment method is the credit card through a payment platform.
However, there are regions where payment through collection networks (Rapipago or Easy Payment) is very common. Mercado Pago, for example, includes these payment options in its platform.
business stage
If you are just starting with your online store, we suggest that you start with a payment platform since you will have everything much more resolved and you will be able to start selling online very soon.
As time goes by, we suggest you analyze the number of transactions you receive and your average ticket to determine which modality suits you best and, if necessary, change it.
Systems to collect in a store
Next, we resolve some of the most frequent doubts when choosing a payment system for a physical or online store.
How to charge with a credit card online?
- You hire an online payment service, be it a gateway or a payment platform, and integrate it into your site. .
- The customer chooses their products and proceeds to make the payment in the form that appears in your store.
- The transaction is made and once the purchase is verified, the intermediary sends the payment to the merchant, deducting the commission amount.
The main benefit of this payment system is that it offers a secure environment to the client, since it guarantees that their data will be protected by the intermediary institution that provides the service.
How to charge with a credit card in my business in Argentina?
Currently there are three options to charge by credit card in a physical business in Argentina:
- Traditional terminal (or a device connected to a cell phone).
- payment link
- QR codes.
Payment gateways in Argentina
They simplify the collection processes for both the person who buys and the seller. With them, the buyer has multiple ways to pay (cash, card, installments, deposit or bank transfer) and can be directly or indirectly connected.
Multiple payment gateways operate in Argentina, including:
About Pay Cloud
Pago Nube is the payment solution developed by Tiendanube so that the brands that use this e-commerce platform can charge and manage the sales of their online business.
Its main differential lies in the fact that all the actions related to the collection of sales are available directly in the administration panel of the Tiendanube.
Also, the solution has highly competitive rates that fit every pocket and cloud stores that use Pago Nube will no longer have to pay the cost per transaction Until now, they paid according to the plan they had previously chosen.
Among the advantages of Pago Nube we can mention:
- Discounted cost per transaction
- centralized management
- transparent checkout
- Security
- Better conditions with all forms of payment
💡 If you want to try Cloud Payment, click below:
International online payment platforms
A basic requirement to be able to offer products to customers from other parts of the world is to offer an international payment method. Once everything is set up correctly you will be able to withdraw your funds and transfer them to a bank account.
Among the international online payment platforms, the following stand out: and . So you can choose the one that best suits you to carry out your transactions.
Remember that if you want to make sales to…
Facebook Comments
Disqus