Introduction
Accepting payments through the cloud has become increasingly popular among businesses of all sizes. With the increase in e-commerce, cloud-based payment gateways have become a necessity for businesses looking to sell their products and services online. The top contenders in the cloud-based payment gateway market are PayPal, Stripe, and Square. In this blog post, we will be comparing these three payment gateways to help you make an informed decision on which one to use.
PayPal
PayPal has been around since the early days of e-commerce and has established itself as one of the most popular payment gateways in the world. It offers a user-friendly platform with no monthly fees or setup fees, making it accessible to small and large businesses alike.
Some of the features of PayPal include:
- Acceptance of all major credit cards
- PayPal account payments
- Integration with other platforms like WooCommerce and Shopify
- Advanced fraud protection
- Chargeback protection
- Mobile credit card reader
PayPal charges 2.9% plus $0.30 per transaction. Though PayPal stands at a higher price point compared to competitors, it has a proven track record of safety and reliability.
Stripe
Stripe is a cloud-based payment gateway that offers a seamless checkout experience centered on mobile and e-commerce. It has become increasingly popular among tech-centric companies for its flexible API, which lets developers customize the payment experience to suit specific needs.
Some of the features of Stripe include:
- Acceptance of all major credit cards
- Apple Pay
- Google Pay
- Bitcoin integration
- Advanced fraud protection
- Mobile credit card reader
Stripe charges a simple and transparent 2.9% plus $0.30 per transaction.
Square
Square is popular among small businesses for its end-to-end payment solutions aimed at ease of use and affordability. It is also known for its point-of-sale (POS) systems.
Some of the features of Square include:
- Acceptance of all major credit cards
- Gift card management
- Customer management
- Sales reporting
- Mobile credit card reader
Square charges 2.6% plus $0.10 per transaction.
Comparison
| Feature | Paypal | Stripe | Square |
|---|---|---|---|
| Accepts major credit cards | Yes | Yes | Yes |
| Payment Fees | 2.9% + $0.30 | 2.9% + $0.30 | 2.6% + $0.03 |
| Chargeback fees | $20 per chargeback | None | None |
| Refund fees | $0 | None | $0 |
| Fraud protection | Yes | Yes | Yes |
| Mobile credit card reader | Yes | Yes | Yes |
| Customization | Limited | Customizable | Customizable |
Conclusion
So, which cloud-based payment gateway is right for you? It depends on your business's specific needs. If you are looking for a reliable and safe option with an established reputation, PayPal is your best bet. If you want a flexible API and customizable checkout experience, Stripe is for you. Finally, if you are a small business looking for an end-to-end solution, Square is the way to go.
Regardless of the payment gateway you choose, always remember to prioritize the safety and security of your customers' personal information.