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Make More Sales With More E-commerce Payment Options

Today’s shoppers want flexibility in how they pay. Here’s how to give them more options.

Danielle Fallon O'Leary
Written by: Danielle Fallon-O’Leary, Senior WriterUpdated Jan 15, 2025
Gretchen Grunburg,Senior Editor
Business.com earns commissions from some listed providers. Editorial Guidelines.
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Many of today’s shoppers do most of their shopping online, and they use a diverse range of payment methods. To accommodate those various methods, businesses should provide customers with the flexibility to choose their preferred way to pay at checkout. The result may be fewer abandoned carts and more satisfied, repeat customers.

sales infographic

“If you don’t offer enough choices, sales can drop,” said Raviraj Hegde, senior vice president of growth at DonorBox. “Customers expect flexibility, and if they can’t use their preferred method, they might leave.”

Fortunately, it’s easier than ever to add multiple payment options to an e-commerce website. Read on to learn which options you should consider for your business.

E-commerce payment options to offer

There are a lot of payment methods available today, and it’s important to offer the ones your customers like to use the most. Otherwise your business could be negatively impacted. 

“A lack of diverse payment options can lead to cart abandonment, especially if customers don’t see their preferred method,” said Victor Julio Coupé, partnerships manager at Digital Web Solutions. “For instance, younger shoppers often rely on digital wallets, while international buyers might prefer local options like Alipay or Klarna.”

Debit and credit cards

Consumers view debit and credit card payment options as a necessity in the online shopping space due to their ubiquity and convenience. Cards such as Visa and Mastercard are the most popular, but it is also worth considering American Express and Discover. 

Digital wallets

Third-party digital wallets, such as Google Pay and Apple Pay, continue to gain traction. Digital wallets provide an extra step of security, since users don’t need to directly share their financial information on the internet.

Electronic funds transfers (EFTs)

Bank transfers and direct debits allow customers to send their funds directly from their account to your business’s bank account. A common EFT solution is the Intuit Payment Network, which can be set up as an e-commerce button on your website. Since this type of payment is most popular in Europe and Asia, it can be particularly beneficial for businesses with an international customer base.

Payment links or QR codes

This payment option allows you to branch out to different platforms, including social media. Customers can shop and pay simply by scanning the code or clicking the link without having to directly visit or navigate your website.

E-commerce financing

Online stores can use this buy-now-and-pay-later method for promotions and sales events, and may be able to sell more inventory thanks to easy financing terms. Third-party services such as Afterpay and Klarna offer zero-interest financing on e-commerce purchases and are easy to add to a checkout screen by way of API integration.

Cryptocurrency

Although there is still uncertainty about the long-term price stability of cryptocurrency, it is one of the cheapest and fastest ways to transfer payments around the globe. Implementing bitcoin on your e-commerce website could attract younger, tech-savvy customers and international customers with fewer easy ways of paying.

“Cryptocurrency payments, in particular, can become another serious driver of conversion rates,” said Vitaliy Shtyrkin, chief product officer at B2BINPAY. “Not only do they offer reduced transaction fees compared to traditional fiat methods, but they can also further incentivize customers by bringing down the price of a product when purchasing with crypto.”

FYIDid you know
If you do business in person, your credit card machine will need to be compatible with your credit card processor, which also needs to be compatible with your e-commerce platform. You can get your credit card machine directly from your credit card processor to simplify the process.

How e-commerce payment options help businesses make more sales

E-commerce payment options beyond simply entering a debit or credit card number are useful — and increasingly expected. Making sure your customers have multiple easy ways to pay is imperative for e-commerce businesses. 

“Payment options are a very critical part of the checkout process in any e-commerce setup,” Hegde said. “These work by connecting the customers’ preferred payment methods to your platform for quick and seamless transactions.”

The result is an improved customer experience, which can pay off for your business in the following ways:

  • Higher conversion rates: Customers are likely to complete their purchases when they are able to use a payment method convenient to them. Offering a variety of payment options means more shoppers will be able to complete purchases with your business. 
  • Reduced cart abandonment: Cart abandonment can occur whenever customers hit a speed bump at checkout. If they don’t have their credit card handy and your site doesn’t accept PayPal, for example, they may abandon their purchase entirely. “Analytics tools can reveal payment preferences by tracking completed transactions and abandoned carts,” Coupé said. “For example, if many carts are abandoned at the payment stage, it might indicate that preferred methods are missing.” 
  • Improved customer experience: Having a quick, easy, and secure checkout is one of the biggest ways to give customers a pleasant experience on your website and help ensure they return for future purchases.
  • Increased website visibility and traffic: Offering multiple payment options lends credibility to your site and can boost it in search results, bringing more eyes and conversions to your business.
  • Stronger customer loyalty: After having a positive experience shopping on your site and using their preferred payment method, customers are more likely to return to your business or recommend it to others.
  • Seamless international transactions: When international customers want to shop with your e-commerce store, payment has historically been a hassle. In many cases, automated clearinghouse (ACH) transfers are required, which usually take several days to settle. That can disrupt cash flow for businesses and make the customer’s experience inconvenient. They may even choose to shop elsewhere. With payment methods such as digital wallets or cryptocurrency, though, international customers can have an easier time buying from your website — no matter where they’re located. 
TipBottom line
You can use a third-party payment facilitator such as PayPal or Square to meet Payment Card Industry (PCI) requirements and give your customers peace of mind.

How to identify customers’ preferred e-commerce payment methods

Not all payment methods are created equally, so you should tailor your options to both your business needs and your customer base. 

“Add payment options when you notice a trend in customer preferences and feedback that indicate a lack of certain options,” Hegde said, noting that entrepreneurs should avoid adding options that won’t actually be used by many customers. “Pay attention to the things that align best with your customers’ habits and needs.”

Consider the factors below when selecting payment methods.

  • Demographics: Age and income can play a major role in what payment methods people prefer. If you have an older, more financially established customer base, you should include credit card options such as American Express. For younger customers, consider methods such as accepting credit cards with PayPal and offering payment plans.
  • Location: Figure out the most popular payment methods in the countries where your customers live. The options preferred in the U.S. aren’t necessarily the most popular ones overseas. 
  • Security and fraud prevention: Offer third-party payment options such as PayPal or digital wallets so customers don’t need to enter their information directly into your site. For additional security, some payment options offer data encryption. 
  • Compatibility with your e-commerce platform: The setup process for some payment options will take more work than others. Find out which payment methods are possible with your e-commerce platform, and consider payment providers to make the process easier for your business. [Read related: Open for Business: 5 Options for Setting Up an Online Store]

Some payment methods may be underused or challenging to integrate, making them not worth the hassle. Be sure to analyze whether you actually need to add a payment method before going through the effort to do so.

“It is also crucial to maintain transparent communication, notifying your customers about new payment methods and their terms of use once they become available,” Shtyrkin said. “Businesses should use all available marketing channels to reach out to both existing clients and potential newcomers.”

Moreover, all payment methods need to adhere to regulatory compliance considerations, which include aspects such as security standards. Do your due diligence to make sure any payment methods you add aren’t opening up your business to legal liability.

Did You Know?Did you know
The best credit card processors aren’t just for in-person exchanges. You can find low-fee processors that work with your platform and minimize your back-end work on e-commerce options.

Alexandra Tachalova and Jacob Bierer-Nielsen contributed to this article.

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Danielle Fallon O'Leary
Written by: Danielle Fallon-O’Leary, Senior Writer
Danielle Fallon-O'Leary is a longtime marketer with a passion for helping clients strengthen their online brands. She has managed clients' social media accounts, developed marketing campaigns and compiled key data for analytics reports. At business.com, Fallon-O'Leary provides guidance on market research, KPIs, survey data and online reputation management. Over the years, other projects have included newsletter curation, workflow management and search engine optimization. Along with her marketing responsibilities, Fallon-O'Leary has had an up-close look at other aspects of small business operations, including invoicing and accounting, employee recruitment and training.
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