E-commerce Payment Implementation Types

Choosing the Right Fit for Your Business

When choosing the right type of e-commerce implementation merchants are faced very often with multiple choices that sometimes do not make it easy for them to decide which way to go. Let us go in to short overview of the most common types and the best fit when it comes to size and channel.

Hosted Payment Pages

The most common implementation for the small merchants, as it removes any kind of technical or security requirements, with the sensitive data being completely handled by the provider. However it does have some drawbacks, and only when does drawbacks overpower the advantages, merchants should move to more complex type (API).

Advantages

• Ease of Implementation - Quickly integrate payment processing with minimal coding required, ideal for businesses without extensive tech resources.
• Security - Payment processing is managed by the service provider, reducing the PCI compliance burden on the merchant.

Drawbacks

• Less Control - Limited customization options can hinder brand consistency.
• Redirects - Customers are taken away from the merchant's site to complete payments, which can lead to higher cart abandonment rates.

API Integration

This is the most complex type of integration, suitable for larger merchants. It does bring the highest level of customization and independence, but at the same time introduces significant requirement for technical knowledge and resources.

Advantages

• High Customization - Allows for full control over the checkout experience, enabling seamless brand integration.
• Direct Control Over Data - Merchants can directly manage and retrieve transaction data, offering better insights into customer behavior.

Drawbacks

• Higher Technical Requirement - Requires strong technical expertise to implement and maintain.
• Increased Security Responsibility - Merchants are responsible for ensuring the security of the payment data, increasing the compliance burden.

Hosted Payment Fields

Nice balance between the rigid HPP approach and the API based complex integration. Increasing popularity, in particular with the mobile shopping experience, as it enables customized UI check-out experience while keeping the security and technical complexity with the provider.

Advantages

• Enhanced Security - Sensitive payment information is handled by the payment provider, not stored on the merchant's servers.
• Customizable UX - Allows for customization of the user interface elements while keeping data handling off-site.

Drawbacks

• Integration Complexity - Can be more complex to implement than a full hosted page.
• Dependency on Third Party - Relies on third-party services for critical parts of the payment process, which may affect the user experience during outages or downtime.

Choosing the right e-commerce payment implementation depends on your business needs, technical capacity, and customer experience goals. This is why our own IPG39 solution supports all of the above for the purpose of enabling you to choose according to your needs.

Evaluate each option carefully to ensure the best fit for your business and customers.

For more insights into optimizing your e-commerce strategies, follow us on LinkedIn or reach to us via email, sales@field39.com