There’s no doubt that e-commerce has been making huge waves in Singapore. The value of consumer goods purchases hit over S$2 billion in the past year, with more than four million people purchasing consumer goods online in Singapore.
Online payment platforms have also entered the eCommerce market, allowing customers to pay for their spoils instantly.
E-commerce businesses like yours will have to sift through the multitude of online payment options available to increase sales. But what’s the point of having multiple online payment options?
Why you should have a variety of online payment options
Having a mix of online payment options might seem like a hassle to you. But let us break down why it’s so important: Convenience and Trustworthiness
1. Convenience
No one wants to spend time logging in their card details over and over. Especially when it’s more convenient to use your mobile phones to browse e-commerce sites. Having a slew of payment options can help to streamline payment processes of consumers.
Having a mix of online payments makes the user journey on your site simpler, which might lead to a higher sales rate.
What’s more? With a host of digital initiatives like virtual cards in Singapore, making payments via your smartphone has never been easier!
2. Trustworthiness
Customers usually go for the online payment option they use the most frequently when shopping on sites. By having a mix of popular online payment options, you increase the chances of customers going through with their purchases.
5 Most popular online payment options for small businesses in Singapore
1. Paypal
You’d be lying if you said you didn’t know about PayPal. Paypal currently has around 286 million active users. That’s a hell of a market to tap into.
Integrating PayPal into your site is a relatively easy process. Simply add the PayPal provided HTML code and you’ll be good to go. After adding PayPal as an online payment option for your site, you’ll be able to receive payments from a variety of credit card options.
The fees for PayPal are tagged at 3.9% on total sales amount, along with a S$0.50 transaction fee. PayPal cuts through payment hurdles to bring buyers and sellers together at lightning speed, which explains why it currently reigns supreme over all other online payment options.
2. Apple Pay
Coming up closely behind PayPal is ApplePay. ApplePay is a digital contactless payment service that features a digital wallet. Most Iphones come equipped with the Apple Wallet, making ApplePay an ultra accessible payment option for consumers.
Consumers can input their credit and debit card information into the wallet. This effectively turns all their physical cards into virtual ones. Since ApplePay uses Touch ID as a verification method, making online payment with this option is extremely secure.
Around 36% of Singaporeans are iOS users, so ApplePay is definitely an online payment option you’d want to add to your lineup.
3. Google Pay
Watch out, there’s a new kid on the block. Google Pay is a relatively new online payment service on the market. Similar to ApplePay, Google Pay also functions as a digital wallet. However, Google Pay is compatible with both IPhone and Android users, making it more versatile than ApplePay.
Google Pay has also teamed up with local banks such as OCBC to integrate peer-to-peer transactions using PayNow, all within a single app. Consumers easily complete online purchases from small local businesses if PayNow is an accepted payment method.
4. Stripe
Quickly gaining popularity in the online payment market is Stripe. Stripe is a full integrated suite of online payment methods, including WeChat Pay and AliPay.
The unique thing about Stripe is its compatibility with a myriad of shopping cart tools such as Shopify. It also allows business owners to customise their checkout page to fit the UX design of their website, making the checkout process more intuitive for consumers.
With no set-up or monthly fees, Stripe is an online payment option small business owners should keep an eye on.
Pro-tip: enjoy up to S$20,000 worth of fee free processing with Stripe when you set up an Aspire Business Account!
5. Braintree
It might be owned by PayPal, but Braintree is definitely ahead in the software development game. Braintree integrates PayPal, ApplePay, Google Pay, along with major credit cards to create a one-stop online payment platform.
Other than being a robust international gateway facilitating transactions in over 130 countries, Braintree also accommodates a host of other features. This includes billing management, checkout page customisation, and is optimised for mobile payment transactions.
With the high level of customisation it allows, Braintree offers a user-friendly online payment experience for all your customers.
So, which online payment option is the best for my small business?
Truth be told, there’s no right answer. Each online payment option has its perks and shortfalls.
As a small eCommerce site, take note of your current business goals and targets. Choosing online payment options that can help you reach these targets should be at the top of your priority list.
Other than online payment methods, virtual cards are also gaining popularity as Singapore heads towards a cashless future.
Virtual card options like the Aspire Visa Card are slowly integrating with online payment platforms to streamline business billing processes. Here’s a table showing the online payment options Aspire is integrated with:
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