How to Choose the Best Payment Gateway in India

Plural Online by Pine Labs

The digital commerce landscape in India is constantly evolving. According to the International Data Corporation, by 2027, online sales in India will reach $200 billion.

The country’s massive smartphone consumer base, easy access to the Internet, and pandemic-induced restrictions are just a few factors that have pushed online purchasing to an all-time high in the last few years. Since potential customers have moved online, sellers have had no choice but to jump on the e-commerce bandwagon.

One of the essential considerations for setting up an online business is integrating with India’s best payment gateway. Choosing an appropriate gateway can help business owners increase transaction success rates and provide their customers with various payment options.

What is a payment gateway?

A payment gateway facilitates the process of online electronic payments by fetching a buyer’s banking details and passing them on to the acquiring bank so that they can pay for products and services using their preferred method. When a customer purchases a product or a service, businesses can immediately collect payments. Offline to Online (O2O) businesses continue to exist, operate, and expand on a large scale because of this convenience.

The best payment gateway allows businesses to collect money via various methods such as credit and debit cards, UPI, digital wallets, EMIs, net banking, and BNPL(Buy Now Pay Later). At the same time, it offers customers greater flexibility, a secure platform, and a seamless transaction experience, thereby increasing customer loyalty.

Payment gateways have become critical for businesses. If you’re an online business owner, you no longer need to establish direct relationships with acquiring banks. Payment gateways are popular with business platforms such as e-Commerce, on-demand services, booking platforms, travel and hospitality, OTT platforms, and logistic services.

Factors to select the best payment gateway in India

Paying attention to your specific business needs will help you narrow down your options, even if all payment gateways appear to be the same at first glance. To take an informed decision, these are some of the questions you can ask:

  • Who is your customer base, and which payment mode do they prefer the most?
  • Do you plan to accept payments from outside India?
  • Do you want to include digital wallets on your checkout page?
  • Are you planning to offer BNPL options for a smooth checkout?
  • Do you need EMI options for your customers?
  • Does your company require recurring payments?

Once you understand your business requirements and know what you need, you can look into your options. Businesses should consider the following parameters to choose the best payment gateway in India.

Payment Security

For an online purchase, a customer needs to share personal financial information like their credit card number and CVV. As the owner of an online business, it is your responsibility to ensure that this information is handled correctly and securely. When it comes to accepting payments, having a dependable payment gateway is essential.

The best Indian payment gateway is the one that is PCI-DSS (Payment Card Industry Data Security Standard) compliant. Before selecting a payment gateway, check its PCI DSS compliance status and other security measures.

Easy onboarding and quick integration

A payment gateway should be easy to sign up for and allow your tech team to integrate quickly. It should have a simple online onboarding process that is automated. Additionally, it should offer robust APIs and custom SDKs that can get you up and running in a matter of hours. It should preferably be compatible with e-commerce platforms like Shopify, Woo Commerce, and others through the use of plug-ins.

Support for multiple payment modes

Many online shoppers abandon their shopping carts before reaching the checkout page because the website or app they are using does not accept their preferred payment method. No business can afford to lose customers. A great way for businesses to retain customers is by facilitating their payment in the smoothest way possible and offering multiple payment modes.

High transaction success rates

Buyers and sellers are annoyed by payment failures alike. Customers who experience a payment failure on your website or app due to technical errors are unlikely to repurchase from you. As an online business owner, you can integrate a high success-rate payment gateway to avoid such issues.

Customer Support

When you run an online business, your potential customers can buy from you any time of the day. Transaction-related issues can arise at odd hours, so you’ll need assistance from your payment gateway provider round the clock. The best payment gateway provider is accessible at all times and has a minimal turnaround time when dealing with customer queries.


Pricing is a significant point to consider when choosing a payment gateway. Business owners pay an MDR (Merchant Discount Rate) to enable online payment transactions — the transactional fee allows for various payment modes. Payment gateways typically charge 2–3% per transaction. Look for providers who ask for low transaction fees and a set monthly price if your business deals in high-value transactions.

Aside from MDR fees, several other costs are associated with payment gateways. Choose a payment gateway that gives you the highest value for your money.

Faster settlements

Payment settlement time refers to the number of days payments take to reflect in your bank account. To grow, you need a brief settlement time. Check the settlement period when selecting a gateway for your business to ensure smooth cash flow. Managing refunds and chargebacks more effectively will be easier if you have quick payment settlements.

Multiple currency support

If you plan to expand your operations outside India, you should find a payment gateway that accepts global currencies.

The ability to accept payment in the currency of your target market is critical to the success of a business. Your best bet is to use a payment gateway that can handle the currency exchange process smoothly.

Final Thoughts

Payment gateways such as Plural Gateway have a dedicated customer support team to assist you with onboarding and integration. Whether you’re a start-up or an established business, you want to ensure that all your business efforts result in a high conversion rate. It is also critical to have an all-in-one payment solution in place. Sign up with Plural for the best online payment gateway experience and easy business growth!

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