A year ago I had an email conversation with my friend about PayPal and Credit Card Processing Online in general. Yesterday I came across it and decided to compile a brief QnA blog post with some tips and best practices implementing Credit Card processing on a website.
Credit Card Processing Diagram
One of the best description diagrams online that I can find belongs to authorize.net - How it Works diagram. Authorize.net has also a bunch of docs, case studies and white papers concerning CC processing online in general.
Credit Card Processing for your site — QnA
Q: Credit Card processing. How this is done?
A: Integration with well established vendor. The most simple and quickest is PayPal.
Q: How are invoices issued?
A: By email.
Q: I need online credit card payment integrated in my site. You recommended PayPal. PayPal gives the following options:
- PayPal Website Payments Standard
- PayPal Website Payments Pro
The first option redirects the client to PayPal in order to pay. It is undesirable. The second option processes payment on my site without redirecting. This is what I need. However pro option is only available to US merchants. Is there any solution? Do you know some other way?
A: This is a common mistake, it is desirable, that client is redirected to PayPal in order to make payment, she is either way automatically redirected back to your site when finished. Advantages (standard option):
- Easy to implement.
- Converts better.
- It is important for a user who pays with his/her credit card online to get an indication that it is processed via well known provider that she can trust. Everybody knows PayPal — it belongs to eBay.
- Pro option will have better conversion only when your site authority is comparable with PayPal.
Q: I understand your points. However the common opinion is that more solid when everything is processed on your site. Most companies work this way even the small ones.
A: Yes, it is more solid when everything is altogether on your site... except Credit Card payment. It is only one page and user does not go away from your site because user is automatically redirected back when finished paying. Usually the payment page is customizable and it is easy to create compatible design so she can feel she is still on your site. It is always good to check out other companies in your niche, go to their payment page and look at the browser address bar...
Thursday, April 05, 2007 8:31 PM