For e-commerce, payment gateways are part of the very mechanics of how you do business. They are indispensable, forming the middleman between your company (the merchant) and the end customer. They take and authorize payments securely – much in the same way a point-of-sale device would do in a retail outlet.
So it’s important to choose the right one, one that matches your business and delivers exactly what you need. Here’s how it works:
- Your customer places an order on your website by selecting their item/s, then checking out.
- Their information is securely transferred to the payment gateway and through that to the bank to authenticate the requested transaction.
- Once the authentication process has been completed (presuming it’s not declined), the funds are then sent from the customer’s account to the payment gateway, and from there to your company.
- Along the way, the payment gateway will notify you of the progress.
List of e-commerce payment gateways in the UAE
So here are some of the key players in the UAE market – be sure to research carefully to find which works best for you.
- Telr: They are an award-winning payment aggregator and provider. They focus on startups and SMEs. Their full-stack, feature-rich payments solution has been built completely in-house. This makes it highly customizable, enabling customers to accept payments online and through a wide range of alternative payment channels. Telr are part of the evolution of e-government, consumer goods, food delivery, and services including taxi apps.
- Amazon Payment Services: Amazon Payment Services’ mission is to build a robust payment eco-system that translates into better conversions and enables the MENA e-commerce ecosystem. They serve the needs of online shoppers in all Arabic-speaking and surrounding countries through their trusted, secure payment network that gives everyone the opportunity to shop online safely and easily.
- Checkout: They use their expertise to empower users to unlock more value in every transaction using fluid, flexible financial tools. Their end-to-end platform helps users move faster with flexible tools, granular data, and deep insights. Users can then innovate, adapt to markets, create outstanding customer experiences, and make smart decisions faster. Since 2012 they have grown to be a team covering ten international offices.
- 2checkout: The founders started Avangate in 2006. They became a digital commerce leader in the international market for digital goods, enabling software companies to accelerate online sales through any channel, any model, and any market. In 2013, they were acquired by Francisco Partners, a leading global private equity firm. In 2017, Avangate acquired 2Checkout to expand payment flexibility and broaden market reach, and the joint company was reintroduced under one name as 2Checkout. Now, they power modern digital commerce for global businesses across many industries.
- CASHU: CASHU is a safe and secure online payment method that was established in 2002. It is considered the first and the largest in the MENA region, serving nearly 2.3 million consumers with accessible and easy solutions to pay online. CASHU is available at over 75,000 vendors spread across every country and city within the MENA region.
- CC Avenue: CCAvenue is a leading Payment Gateway Service Provider, authorized by Indian financial institutions to appoint sub-merchants. They accept and validate internet payments via a variety of methods, providing a secure link between the merchant’s website, the issuing institution, acquiring banks, and the payment gateway providers.
- PayTabs: PayTabs is an award-winning B2B payment processing company built to provide buyers and sellers with groundbreaking technology to pay, and get paid. PayTabs caters to growing small and medium enterprises, large corporations, and the e-commerce market by empowering them with a range of comprehensive payment solutions.
Cheapest payment gateway in the UAE
When it comes to the cheapest option, it really depends on your requirements.
For example, we have already mentioned Telr. Their entry plan (AED 0 – 20,000 monthly volume) costs AED 349/month (0% of transaction volume, AED 0 per transaction, AED 0 security deposit, AED 0 setup fee).
Meanwhile, their medium plan (50,001 and above monthly volume) costs AED 99/month (2.49% transaction fee, AED 0.50 per transaction).
When you come to choose a gateway, it’s important to check the setup fee, monthly fees, commission per transaction, and processing fees. Also look at their history, and the territories in which they operate – will they suit your business and your customer base? While getting a good price is important, it’s also vital to ensure that your chosen payment gateway is top of the line when it comes to security and anti-money laundering.
How to choose the best payment gateways
It’s a tough choice to make and there are many options on the market. Here are some of the considerations when making your choice:
- Support: how easy is it for a customer to place an order, what is the refund process like, is there 24/7 email and phone support, and what is the typical resolution time for problems? In answering these questions, you’ll get a better understanding of how the gateway responds to problems you may have in your daily business.
- Add-ons: What is the availability of integration codes, plugins, and other extensions that you may need? Also, how well does it integrate with your other systems? Without understanding how the gateway integrates, you cannot be certain you’re making the right choice for your specific business.
- Time: How long does it take for the money to reach your bank account? This is a simple one – you need that money transferred and any delays could cause serious problems. Checking this with your gateway is important.
- Cost: And of course, how much does the payment gateway cost, are there any hidden fees, are you on a suitable plan given your current volume of business and are you getting genuine value for money? You also need to look at how you might change or expand your plan should your business scale up in the future.
We are BIZ, the official Dubai representative office of Fujairah Creative City Free Zone. If you are looking to open your eCommerce company in Dubai or get a free zone license, then we can help. From visa applications to all the necessary admin tasks, we handle it all – leaving you free to get on with your business.