Last editedMay 20233 min read
Ecommerce platforms like Shopify make it easier than ever to set up your store and start selling. Yet if you want to take payments from customers, you’ll need a payments solution. Store owners have their choice of the popular Shopify Payments as well as a bevy of third-party payment providers. Here’s a closer look at your options when it comes to Shopify payment gateway solutions, including our top five picks.
Why do you need a Shopify payments gateway?
Ecommerce payment gateways are essential for anyone running an online store, bridging the gap between paying customer, business, and payment processor. Your customers need a way to pay, and you need a way to receive payment. A Shopify payments gateway facilitates these payments by securely transmitting payment details to the processor for authorisation and settlement. The best payment gateways ensure cardholder data is handled securely according to all PCI DSS protocols, while communicating with the bank or card network for approval.
Features to look for in the best Shopify payment gateways
Every Shopify storefront is different, and as such there is no one-size-fits-all gateway that suits every business. However, there are several features that the best payment gateways for Shopify will have in common.
The latest security features
Smooth user experience
Availability in your target market
Affordable per-transaction fees
A variety of payment methods at checkout
Fraud detection tools
To choose the best payment gateway for Shopify, think about your customer’s needs, buying habits, and preferred payment methods.
Top 5 Shopify payment gateways
Now that we’ve outlined a few of the key features to look for, here are our choices for the best Shopify payment gateways that tick all the boxes.
1. Shopify Payments
The obvious choice for Shopify business owners is to use Shopify Payments, the platform’s complementary solution. It offers numerous benefits including quick pay-outs, a clear pricing structure, fraud detection, and chargeback management. Because it’s already built into the platform, it’s fast and easy to integrate without any need to deal with third parties. However, it’s not available in every country so you’ll need to check availability. Shopify will also place temporary holds on funds if there are any red flags to investigate.
2. PayPal
Another popular choice is PayPal, which integrates seamlessly with Shopify stores as well as other platforms. You’ll automatically receive a PayPal Express Checkout account when you sign up with Shopify. Its key benefit is its brand recognition; customers generally feel safe completing their purchase with a name they recognise. It’s quick to set up with no need to open a separate merchant account. Additional benefits include its mobile optimisation and global reach, making it a good choice for international stores. However, if a customer’s PayPal wallet is out of date the transaction can fail, which can be a particular problem when you need to take recurring payments. PayPal also has higher fees than some other options on this list.
3. GoCardless
We don't offer a direct connection with Shopify currently, but it's possible to get started with a custom solution by using our integration with Zapier.
We're the world leader in bank payments, specialising in solutions using bank debit and open banking. By avoiding the card networks, we offer both instant and scheduled payments whilst saving businesses money, time, and effort.
Built-in payments intelligence helps cut down on failed payments by retrying them at the most optimal time. It’s also rated best in class for customer satisfaction, ensuring you’ll receive plenty of support.
4. Adyen
Adyen is another Shopify payments gateway, offering a wide selection of payment methods and integrated payments intelligence to protect customers from fraud. With end-to-end payments and global reach, it’s good if you want to primarily take card payments. Adyen is a card-first company, and although it offers additional payment methods it’s not really optimised for things like direct debit. This can lead to recurring payment failures and associated fees. If you choose Adyen for card payments, you might want an additional gateway like GoCardless to handle the bank payment side of payment processing, to reduce your overall costs and improve payment failure rates.
5. Klarna
Online shoppers love the buy now, pay later model and Klarna is top of the list for this type of service. When you integrate Klarna with your checkout page, customers can choose to split the cost of transactions into a series of instalments with no added interest. It encourages them to make larger purchases thanks to this flexibility, increasing your checkout conversion rates and sales volume. Klarna handles the payment collection so there’s no risk to the Shopify merchant, either. The only downside is that it’s not available in every location.
We can help
GoCardless is a global payments solution, setting people and businesses free from the frustrations and cost of outdated payment methods. Find out how GoCardless can help you with one-off or recurring payments.
