Considering taking payments online through your website? One of the most popular questions we get when a merchant starts thinking about going down this path is whether to use Paypal, or partner with an e*commerce provider and an integrated merchant account. While Paypal is a good choice for a certain class of merchants - e.g. those who do extremely small monthly volume, or who will not authorize credit cards for many months - it is not always the best choice for most businesses. By choosing a different provider, you will likely experience better pricing, fewer issues and perhaps even receive more online payments than you would otherwise.
Here are five reasons to choose a different e*commerce provider other than Paypal:
1. Quicker Money Transfers
When you use an e*commerce provider integrated with your merchant processor, money will be deposited into your bank account much faster, often the next business day. When you use Paypal, money is transferred to your Paypal account and ultimately needs to be moved to your bank. This naturally slows down the process of getting your money. There are numerous reported incidents of Paypal freezing accounts and ultimately not allowing merchants to access their funds, to say nothing of them making a few extra bucks because of your float.
Maintaining a strong brand is critical for most businesses. Paypal does not allow you to have control over how your payment page looks. Clients are directed to Paypal’s site in order to remit payment, giving their brand the biggest exposure. When you use a merchant account from an e*commerce company you can design the payment page to match your website and brand.
3. Customer Comfort
Some consumers are still leery of entering in their credit card information online. As described in the previous bullet, because clients are directed to a web page other than your own to make payment, certain clients may not choose to pay immediately or call you for a different option. When a payment page matches your website, clients will have an added level of comfort that your company is handling their transactions. If there are any issues, don’t you want to be the first to know? Ultimately, the buck stops with your business and you want to make sure you are in control.
4. Better Customer Service
While Payal is a great company, a quick Google search demonstrates that they get mixed reviews for their customer service. By choosing an e*commerce provider integrated to your merchant processor they are incentivized to help you every step along the way. Ultimately you know you are well serviced if you have your merchant provider’s cell number, as opposed to an 800 number.
5. Additional Services
If you have chosen your merchant provider wisely, they should also be able to help you with adding other services as your company grows – including effective mobile and email marketing strategies, web content management and fraud prevention.
Paypal may be among the first options that come up when you consider taking online payments – they definitely did a tremendous job when it came to branding – but it is not necessarily the best choice for your business. Take the time to do your homework and request proposals from companies other than Paypal. You will likely be nicely surprised at the differences when it comes to pricing and customer support.