When you make the decision to own and operate a business, one important factor to consider is whether you will make your company an eCommerce business. There are a wide variety of different payment gateways that you can choose from to benefit your business and your customers, though each has their own array of benefits. Below are some of the most popular eCommerce payment gateways and the reasons as to why they might work for your specific business plan.

Which eCommerce Payment Gateway and Why?

What is an eCommerce Payment Gateway?

The simplest way to understand a payment gateway is to imagine that you are buying products online. When you have added everything to your cart and you are getting ready to check out, you’re going to need to input your credit card information or other payment details. At this point, you are using a payment gateway that will withdraw funds from your account and pay the company so they can pack and ship your goods.


As the single most popular payment gateway for businesses around the globe, PayPal gives you the ability to transfer money to friends and family, collect payments from customers, and keep track of your invoices. All that you will need is an email address and a valid bank account to start using the service. As a business, you will have to choose their merchant services that give you the ability to process credit card payments instead of relying solely on debit card purchases. There is a $0.00 sign-up fee, the service accepts MasterCard, Visa, Discover, American Express, and more, and typically has a 3.9% transaction fee, though this may differ depending on the amount of goods you’re shipping.


Also referred to as “2CO”, 2Checkout is a service that was created in 2000 and allows merchants to accept credit card payments. There are 8 different payment methods available through their service in 15 languages and 26 different currencies. They also have different invoicing systems that you can choose from to accurately manage your finances as well as shopping cart extensions including redSHOP, Joomla, and VirtueMart. In order to begin using their service you will have to submit an application and wait to be approved. They accept American Express, Discover, Visa, MasterCard, debit cards, Diners, JCB, and more. With over 200 countries supported through the service and a 3.9% transaction fee, it’s similar to services from PayPal.

Google Wallet

As a relatively new payment gateway that you can use to your advantage, Google Wallet allows users to make payments directly from their smartphones, typically by “tapping” their smartphone against a payment screen. The program will store information about your debit cards, credit cards, gift cards, and points cards that you might have at participating retail locations. You’re able to send money for free or cash out your entire bank account entirely through your phone. They accept MasterCard, Visa, Discover, and American Express. Since this service is so convenient, more shoppers are beginning to look for businesses that support Google Wallet.