IT:AD:Online Payment Processing

Summary

Without an ability to process payments online, you have no business. Period.

But after 20 years of there being the web, it's still not easy to get that part sorted out.

The two holdups for a lot of startups are:

  • not having a US based address/bank account
  • not having a merchant account.

Terminology

Solutions

merchee.com

  • Advantages:
    • No Merchant Account required.
    • The Process is simple: you define a product, they give you a Short ShopUrl (eg: http://shplnk.com/XkXaAQ), and when clicked, it takes you to their website, where the you enter your CC info. Sweet.
    • Nice easy set up.
    • Fees are a flat 4.5% + 45c.
  • Considerations:
    • “Stripe, for non-developers (Devs love it too)”
    • It's half baked at present. Several typos on Order Form, etc.
    • Don't see a way to change quantity.
    • Don't see a way to cancel payments, etc.
    • Maybe it's toooo simple?
  • Disadvantages:
    • US Account required (Jan 2013). A pilot program for international vendors is starting.
2016/10/24 11:18

Stripe

  • Advantages:
    • A darling of Silicon Valley.
    • No merchant account required.
  • Considerations:
  • Disadvantages:
    • Not available outside the US yet.
2016/10/24 11:18

Pin

  • Advantages:
    • No merchant account required. Very similar to Stripe.
  • Considerations:
    • AU based.
    • Integrated with Xero.
  • Disadvantages:
    • Really for selling to AU/NZ only.
    • Requires an AU bank account.
2016/10/24 11:18

BrainTree

  • Advantages:
    • Strong backing (it's not going anywhere)
      • Purchased by Paypal.
  • Considerations:
    • That said, purchased by PayPal – which is about the slowest people to pivot, so it might just never grow much beyond where it's at.
    • 2.9% + 30c…but I can't tell if they need a merchant account. Looks like no…
  • Disadvantages:
2016/10/24 11:18

2CheckOut

  • Advantages:
    • Available in NZ.
    • Handles recurring payments.
    • Looks good.
  • Considerations:
    • No setup fees.
    • No monthly fees.
    • For NZ, transaction fees are: 5.5% + 45¢ per successful transaction
  • Disadvantages:
2016/10/24 11:18

Google Wallet

  • Advantages:
    • Backed by a big player
    • Think it's strategic to Android payment.
  • Considerations:
    • Might be in mobile, but don't see many websites referencing it.
  • Disadvantages:
    • Requires a US account.
2016/10/24 11:18

Amazon

 

PayPal

  • Advantages:
    • Well established
  • Considerations:
    • PayPal Website Payments Standard does not require a Merchant account. They pay on PayPal, and get redirected back.
    • PayPal Express Checkout requires Merchant Account. With it, they get redirected to PayPal, where they don't automatically have to sign in (if their cookie is valid).
    • Rolling your own UI, or a Service, requires the Payflow Gateway.
      • Which requires a Merchant Account.
      • And it's more expensive to setup.
    • Can create Subscribe and Unsubscribe buttons.


<A HREF="https://www.paypal.com/cgi-bin/webscr?cmd=_subscr-find&alias=65K84SYFZLKTQ">
<IMG SRC="https://www.paypalobjects.com/en_US/i/btn/btn_unsubscribe_SM.gif" BORDER="0">
</A>

<div>
<f.orm action="https://www.paypal.com/cgi-bin/webscr" method="post">
  <input type="hidden" name="cmd" value="_s-xclick">
  <input type="hidden" name="hosted_button_id" value="7WLSPJP94M3D2">
  <input type="image" src="https://dl.dropbox.com/u/11851202/USERS/SKYS/Resources/Purchase.png" border="0" name="submit" alt="PayPal">
</f.orm>
</div>

  • Disadvantages:
    • Requires a US Address & Business to create a Business Account.
2016/10/24 11:18

BalancedPayments

  • Advantages:
    • Probably good at what it does.
  • Considerations:
    • Probably a niche need….that is pretty distant from I'm looking for today.
  • Disadvantages:
2016/10/24 11:18

Shopify

  • Advantages:
    • integrated shopping experience that looks good.
  • Disadvantages:
    • Don't see it as a viable way to sell services.
2016/10/24 11:18

Tools/Libs

Resources