Shopify Payments vs Stripe: Which Payment Processor is Better?
As an online business owner, the selection of a payment processing platform is paramount. You want your customers to have a smooth and seamless checkout experience, and you want to minimize processing fees as a business owner.
Two of the most popular payment processing options for online businesses are Shopify Payments and Stripe. In this post, we'll compare both in terms of their pricing, features, and ease of use.
Pricing
First and foremost, let's talk about pricing, the factor that drives most business decisions. Shopify Payments charges a straightforward 2.9% + 30 cents per transaction. It also charges an additional 1% fee for businesses in the Shopify Basic and Shopify plan. In comparison, Stripe has a flexible pricing model. It charges a 2.9% + 30 cents per transaction for US-based businesses but varies its rates for businesses based outside of the US.
Both platforms have no set-up, monthly, or other hidden fees.
Features
Beyond pricing, features play a critical role in selecting a payment processing platform. Shopify Payments features its own shopping cart, making it easy and quick to install, particularly for new e-commerce merchants. Shopify Payments allows consumers to use popular methods of payment, such as Apple Pay, Google Wallet, and Shopify’s virtual wallet.
Stripe, on the other hand, is renowned for its versatility of integration with other platforms, including Big Commerce, Magento, and WooCommerce. This flexibility enhances e-commerce merchants in expanding checkout options for overseas customers. Stripe also grants access to more than 135 different currencies, accommodating merchants that deal internationally, which is a clear advantage over Shopify Payments.
Ease of Use
Both platforms are user-friendly, with intuitive dashboards and informative tutorials. Shopify Payments’ checkout experience is understandably more comfortable to handle for Shopify customers. Still, Stripe’s lightweight integration and configuration make it an ideal choice for those who prefer building customized checkout experiences tailor-made for their business.
Ultimately, the best choice between Shopify Payments and Stripe will depend on your personal preferences and business needs. However, you can rest assured that both are industry leaders and reasonable options to secure transaction processing for your online store.
References
- Shopify. (n.d.). Shopify Payments
- Stripe. (n.d.). Pricing