Know Everything About Payment Gateway Integration In Mobile Apps

To run your business successfully as a merchant, you ought to integrate a payment gateway in mobile apps. The less complicated your mobile payment processor is, the more sales you get.

According to the statista data – In 2021, approx 72.9% of all e-commerce sales worldwide were made via M-commerce, up from 58.9% in 2017. This development is mainly driven by developing e-commerce markets in nations where mobile devices are the norm. Mobile apps or m-commerce will be expected to reach $3.5 trillion by the end of 2023. You can say that m-commerce is flourishing nowadays.

M-commerce plays an essential role in online business. Processing of digital transactions is online merchants' top priority when it comes to e-payment systems in general and specifically to mobile commerce. Once you decide to implement the mobile app, you will face the following issue: How do I add a payment gateway to an app? Which fintech service provider is best for the mobile app? Etc.

To understand the factors, we will try to clear your dough and recommend the best solutions. So, continue reading this blog.

What is a Mobile Payment Gateway?

A payment gateway Integration is a service that ensures users' online purchases are safe and secure. Users have their money wired to a merchant's account while making purchases directly on their mobile devices, desktops, or Personal computers. In addition to everything else, it is possible to use credit cards or engage in other forms of online transaction processing.

Payment gateways and electronic fund transfers at the point of sale(EFTPOS) are incredibly similar. A built-in gateway is a mechanism that assists users of mobile or web apps in making digital fund transfers and making rapid and secure purchases, similar to EFTPOS.

How does a Mobile Payment Gateway Work?

A mobile application that regularly allows in-app purchases is unlikely to run without incorporating a payment gateway and an in-app payment mechanism. A gateway essentially acts as a mediator, approving the transaction, helping to encrypt data, and completing the order.

A payment gateway also connects the issuing (cardholder's) bank and the acquiring (merchant's) bank, which often acts as a payment processor. The following list of steps is a recommended flow for the payment gateway-driven online payment process:

  • Once the user adds their selected items to the shopping cart, making the payments is next.
  • The customer can enter the credit or debit card details and any other details on an app and go to the payment gateways.
  • The payment gateway forwards the received data to the cardholder banks through the payment processor.
  • Whether the verification is approved or denied, the same information is sent back to the app through the payment gateway.
  • At last, if the verification is successful, the gateway initiates a payment settlement and the fund transfers into the merchant bank accounts.

Steps of Mobile Payment Gateway Integrations -

Before moving on the how to implement a payment gateway in a mobile app, you should know one thing. In today's life, it is common to hear about Google Play Billing solutions and In-App purchases from Apple. For selling digital content on mobile devices, these services are used.

They function as purchasing options that let users purchase content exclusive to their Android or iOS app. Interestingly, Google Play Billing and In-App Purchases significantly reduce the merchant's profits by charging 30% transaction fees. Consequently, a merchant will only make 70% of the profit when selling this kind of in-app product.

On the other hand, the third-party payment gateway Poland has nothing to do with digital sales, but they make it possible to sell actual goods and services outside an Android or iOS app. There is nothing like any secret button you press to activate the payment gateway. Instead, it would be best if you worked hard as a merchant to implement it into your applications. The payment gateway integration on the mobile app takes several steps -

Clients and server SDKs -

SDK stands for Software Development Kit. It is a set of development tools, utilities, and docs. With the help of these tools, the developer creates software using some specific technology. Every payment gateway has its own set of SDKs. These tools are generally platform-related. It allows fast and safe online transactions and ensures secure data transfer.

Merchant can find the SDK tools on the online payment service provider's official websites. Merchant can take the help of a professional developer to connect the app functionality and facilitate work.

Connect to APIs –

Generally, a payment gateway API is connected with the mobile app's checkout systems to an acquiring network. The critical role of the APIs is to handle the transaction processes between the merchant and the users.

APIs is responsible for performing the following tasks -

  • encrypts cardholder data
  • authorizes payment requests
  • conform purchases

Payment gateway API offers a smooth experience for the customer during the checkout process.

Apply for certificate -

As a merchant, if you integrate a payment gateway using a unique API, your server is directly involved in the payment processor. Due to these facts, it is essential for you to ensure your customer secure payment data and have a certified merchant.

To prove the system's security, merchants must fill out the Self-Assessment Questionnaire of level D, according to the PCI-DSS standard.

What to Consider before Implementing the Mobile Payment Gateways?

Before executing your plan, you need to think about all the details.Let's check -

Merchant account -

As a merchant, you need to have a merchant account. Without a merchant account, it is impossible to accept credit card payments. Merchant accounts allow accepting payments.

Generally, two types of merchant accounts are there -

  • Dedicated – This merchant account provider offers a unique Merchant Id number, which helps merchants make their business more recognizable, stable, and secure against fraud. With this account, the merchant has more control over the transactions. But, dedicated merchants have to pay extra fees.
  • Aggregate – Conversely, an aggregate type of merchant account provides you the benefits of avoiding account fees and protected contract periods. Reasonably, the aggregate account transforms a payment gateway into an aggregator used by multiple enterprises. Additionally, the same payment gateway provider has granted it to all of them.

We, Instantcharge, offer a dedicated as well as aggregate merchant account to our merchant. It helps them accept the funds easily. We offer a simple and reasonable pricing structure for the out merchant.

Hosted or an Integrated Gateway -

The payment gateway can either be hosted or integrated gateways.

Hosted gateways: Hosted payment gateways are redirected to the customer on the third-party payment page while making the payments.

Integrated gateways: An integrated payment gateway is a non-hosted payment gateway. Instead of being redirected to the third-party payment page, it allows the customer to make the payment on the merchant sites. The merchant can use their logo or brand name on the payment page. Integrated payment gateways are connected with the mobile app through APIs. It offers a smooth user experience.

We Instantcharge offer hosted gateways to the merchants. With this gateway, the customer has to redirect while making the payments. Our hosted gateway offers many benefits such as easy to use, easy to integration, multiple payment options, fraud managements etc.

Gateway and Payment Request API –

For the integrated gateways, merchants have to prefer the payment request API. With the help of this API, the merchant can quickly improve the checkout process and reduce the number of steps users of your mobile app must take. Additionally, you can take advantage of the fact that online payment service providers may offer their payment APIs.

Most fintech service providers offer their APIs, which is an excellent option for merchants.

Instantcharge offers its API for websites with the latest features.

Security Certificates -

For any online enterprise, it is essential to have PCI-DSS compliances (Payment Card Industry Data Security Standard). As you know, a payment gateway works with sensitive data such as credit/debit cards number and other personal information. Merchant cannot disclose this information, so it is essential to have the PCI-DSS.

Nowadays, most payment service providers offer PCI-DSS level-1 compliance to protect the customer's data.

We Instantcharge offer the level-1 PCI DSS for the merchant. Along with this, we also offer the security tools such as anti-fraud tools, anti-chargeback tools, etc., to protect our customers and the merchant. As a fintech service provider, security is our priority.

Easy to implement and maintain -

Easy to implement is an essential consideration for any merchant. The merchant ought to know how easy to use SDKs are, whether they are compatible with mobile-platform, allow a merchant to implement programming in their chosen language, etc. These are some of the critical factors the merchant should keep in mind.

Along with these criteria, there are some more criteria that merchants should keep in mind. These criteria differ from one fintech service provider to another -

  • Cost
  • Locations
  • Compatibility
  • Customer services
  • Payment mode

Our "Instantcharge" integration process is straightforward. We do not charge setup, monthly, or any other extra fees. Our rate is affordable in the marketplace.

Final thoughts -

Finding a suitable payment gateway poland that meets your business requirements is quite challenging for any merchant, especially if they want to integrate it into mobile apps.

But, nowadays, it is possible, and the credit goes to the latest technology. After reading this blog, you will know how to integrate the payment gateway in your mobile apps, from where you have to start it, and what are the essential steps towards safety and security. As a merchant, you should keep some points while choosing the payment service provider for your mobile apps.

We recommend you choose Instantcharge as your mobile app payment gateway. It fulfills all the criteria we discussed above. It accepts local payments from all over the world, so you can say that this fintech service provider is best for global businesses.

To learn more about Instantcharge, do not hesitate to contact us. Our expert team clears all your dough and offers you the best possible solution according to your business model.

Reference -

https://www.statista.com/statistics/806336/mobile-retail-commerce-share-worldwide/