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Reseller's Guide to Choosing a White Label Payment Gateway Provider

In today's rapidly evolving digital marketplace, resellers, companies, and individuals are keen to provide seamless payment solutions without the headache of developing proprietary software. But there are so many white-label payment gateway solutions out there; how can you decipher which one is best for you and your business? This article discusses white-label payment gateway providers, including the best solutions for resellers.

September 20, 2024

Key Features to Look Out for in Payment Gateway

Choosing a white-label payment gateway provider is not just about the brand; it's about the technology and features that will support your business's growth and operational efficiency.

Security and Compliance

Security is paramount in payment processing solutions. Thus, the white-label payment gateway provider must adhere to strict security and compliance standards to safeguard sensitive cardholder data and minimize fraud opportunities, like PCI DSS Compliance. PCI DSS—Payment Card Industry Data Security Standard—is a collection of security standards aimed at ensuring that any entity that accepts, transmits, processes, or stores credit card information has a secure environment in which to operate.

In addition to PCI DSS compliance, the gateway should also possess tools for fraud prevention. Fraudulent charges cause companies to lose millions and harm their reputations—no matter how long the customer has worked with them. Thus, helpful fraud prevention tools are real-time transaction monitoring, AI and machine learning, and other analytics and fraud scoring efforts.

Customization and Branding

The greater the ability to customize a white-label payment gateway, the greater the business's ability to maintain branding consistency during the payment experience. A true white-label solution renders the gateway proprietary—like the business is processing payment, down to the logos, branding, and visual appeal. This creates brand loyalty while simultaneously developing consumer trust, as consumers believe it's the business processing their payment.

Beyond front-end white labelling, a reliable white-label payment gateway should also provide back-end customization—changing the appearance of back-end interfaces and dashboards needed for back-end processing to create a more personalized brand experience.

Integration Capabilities

Ease of integration is another factor to consider when selecting a white-label payment gateway. The solution should boast an abundance of APIs and SDKs that are simple to integrate and compatible with existing systems and platforms. APIs are Application Programming Interfaces that allow one software program to talk to another to transfer information and functionality.

On the other hand, SDKs are Software Development Kits given to developers to create new applications on top of the payment gateway. In addition to APIs and SDKs, plug-and-play represents another simple, easy integration option. These are systems already created, and all that's needed for integration are modules with popular e-commerce sites and pay pages, requiring little in the way of coding/development efforts.

Payment Methods and Currency Support

A white label payment gateway that is flexible offers all necessary payment options. I'm talking credit and debit cards, digital forms (PayPal, Apple Pay), direct transfers, etc. The more the merrier, preferably with multicurrency options, better conversion rates because if they see something they can use to pay, they're more likely to go through with the sale. Multicurrency capabilities are crucial for those with international operations or extensive customers. Being able to pay in all currencies means that they can select their currency.

Furthermore, it must be a flexible gateway that can manage changing customer demands, a fluctuating marketplace, and future advancements in payment technology.

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Expert tip

When choosing a payment gateway, focus on reliability and adaptability rather than the sheer number of payment methods offered. While many providers emphasize quantity, only about 20% of these methods are actively used. Instead, look for a gateway built on a robust, high-performing architecture that ensures long-term reliability and uptime.

Business Factors to Consider When Choosing a Provider

Beyond the technical features, several business factors play a pivotal role in selecting the right white-label payment gateway provider.

Pricing Structure

A clear and transparent pricing structure is essential for maintaining profitability and offering competitive services to your merchants. Key considerations include:

  • Clear Information on Fees: Ensure that the provider offers detailed information on transaction fees, setup costs, and any additional charges. This transparency helps you budget and price your services accurately.
  • Healthy Margins: The pricing should allow you to maintain healthy margins while offering value to your merchants. This balance is crucial for sustaining your business model and ensuring that your merchants remain satisfied with your services.

Customer Support

Reliable customer support is vital for addressing technical issues and inquiries promptly. Consider the following:

  • Reliable Support: Look for a provider that offers reliable support to assist with technical issues and inquiries. This support should be available through various channels, such as phone, email, and live chat.
  • Personalized Assistance: Having a point of contact who understands your business and can provide personalized assistance is invaluable. This ensures that any issues are resolved quickly and efficiently, minimizing downtime and maintaining merchant satisfaction.

Scalability

As your business expands, it is crucial that your white-label payment gateway provider can handle increased transaction volumes and offer access to new functionalities. Consider the following:

  • Handling Increased Transaction Volumes: The provider should be able to handle increased transaction volumes as your business expands. This includes having a robust infrastructure that can scale up without compromising performance.
  • Access to New Functionalities: Access to new functionalities and services is essential to stay competitive in the market. This includes features such as advanced fraud prevention tools, new payment methods, and integrations with emerging technologies.

Comparing Different Providers

When it comes to selecting a white label payment gateway provider, comparing different options based on their unique selling propositions and how they align with your business needs is crucial.

Unique Selling Propositions

Each white-label payment gateway provider differentiates itself through specific features and benefits.

Key factors to consider include:

  • Customization and Integration: The degree to which a provider allows customization and seamless integration with existing e-commerce platforms.
  • Security Measures: The robustness of security protocols, including data encryption and fraud detection capabilities.
  • Pricing Models: The structure of transaction fees and any additional costs for services such as customer support and maintenance.
  • Multicurrency Support: The ability to process payments in various currencies is essential for businesses operating internationally.
  • Customer Support: The availability and responsiveness of customer support services.

Prioritizing Features Based on Business Needs

To choose the right provider, businesses must prioritize features according to their specific requirements:

  • Assess Integration Needs: Consider the compatibility of the payment gateway with your current e-commerce platform and the ease of integration.
  • Evaluate Security: Look for providers with robust security measures, including end-to-end encryption and fraud detection tools.
  • Consider Transaction Fees: Compare the pricing models of different providers to find the most cost-effective option for your business.
  • Check for Multicurrency Support: Ensure the provider supports multiple currencies if your business operates internationally.
  • Review Customer Support: Opt for a provider with reliable and responsive customer support to handle any payment-related issues.

Case Study: What Makes DECTA Gateway Different

DECTA's gateway as a third party in the payment processing space is unique against the competition due to stability, uptime, and architecture technology.

For example, DECTA differentiates itself with the following factors that make it a champion in the space.

  • 99.99% Uptime: DECTA has a 99.99% uptime, which essentially means that merchants are able to process payments at any given time with no downtime. This is crucial to ensure customer experience and avoid losing sales due to inability.
  • Future-Proof Architecture: DECTA is future-proof because of its scalable and flexible architecture. Businesses need not worry about system upgrades or migrations as DECTA will support increased transaction volumes and new payment functionalities down the line.
  • Tokenization: With DECTA's tokenization functionality, sensitive payment information is exchanged for a unique token which protects against data breaches to a fuller extent while still allowing easy, repeat payments without storing credit card information.
  • Payment Orchestration: With DECTA's payment orchestration solution, you receive an all-in-one, centralized interface to control different payment service providers (PSPs), acquirers, and payment methods. This simplifies the payment process for the business and the end user while facilitating better payment routing and reducing incidences of cart abandonment.

Evaluating Payment Gateway Reseller Programs

It's important to assess the benefits and drawbacks of each reseller program, as this information can help ensure you're selecting the best one. As there are so many options available, knowing these few specifics will help narrow down to the most reputable, secure, most efficient, and at the end of the day, easiest payment processing for your customer.

Reliability and Uptime

Reliability and uptime for the vendor are critical. A proven solution that has been around with good customer feedback, stable operation reliability, and at least 99.99% uptime is critical to ensure that your clients will not be frustrated, as any payment service that wastes time and money will ultimately cost them. 

Reseller solutions are known for strong infrastructure—compared to high levels of integrations—the latter meaning that other integrations have nothing to do with your company. 

Key considerations include:

  • Consistent Performance: Evaluate the provider's track record for uptime and reliability. Guaranteed uptime and redundant systems ensure uninterrupted service, preserving customer trust.
  • Platform Stability: Assess the provider's infrastructure to ensure it can handle high volumes of transactions without compromising performance.

Merchant Acceptance Policies

With merchant acceptance capabilities, providers can underwrite any kind of merchant. Whether a transaction is considered high-risk—without jeopardizing security in the process—solutions meet the needs of any vertical.

Key considerations include:

  • Accommodating Policies: Look for providers that offer flexible acceptance policies to cater to various merchant types.
  • High-Risk Transaction Handling: Evaluate the provider's strategies for managing high-risk transactions, ensuring security and compliance with industry standards.

Technical Support and Integration Assistance

Providers should offer comprehensive help during the onboarding process, as well as continued technical support to address any future challenges.

Key considerations include:

  • Initial Setup and Integration: Assess the provider's support during the initial setup and integration process. Look for providers that offer easy-to-implement APIs and developer-friendly documentation.
  • Continued Technical Support: Evaluate the provider's ongoing technical support capabilities, including response times and availability to address issues or queries promptly.

Practical Tips for Resellers

Navigating the complexities of this industry can be challenging. Here are some practical tips for resellers to help you succeed:

Checklist for Comparing Providers and Reseller Programs

Checklist for Comparing Providers and Reseller Programs

  • Assess Provider Industry Experience: When vetting potential providers, be sure to assess their industry experience. Choosing a provider who has been in the credit card processing game for a long time will help guarantee that they understand the pain points of the industry and offer industry-specific solutions.
  • Evaluate Branding Opportunities: Ensure the merchant complies with the branding and customization levels your company needs. The final white-label solution is that you get the payment gateway in your logo, colours, and optional messages. This means payment is a branded experience consistent with your company at all other times.
  • Validate Compatibility with Security Standards: Ensure the merchant is compatible with the industry's security standards related to PCI DSS. Beyond PCI compliance, excellent security measures—encryption, tokenization, fraud detection—are necessary to ensure sensitive customer data is not at risk. 
  • Evaluate Supported Payment Methods: sometimes less is more; a handful of trustworthy, meaningful methods are better than a ridiculous supplement of unsupported methods. The payment processor should accept debit/credit cards, digital wallets, ACH/bank transfers, alternative payments, etc.
  • Evaluate Fees: pricing should be clear and equitable. Consider the fees related to the payment processor. Are there transaction fees per transaction, fees for setting up the payment processor, and unexpected fees? Make sure that the fee schedule accommodates your transaction volume and budgetary constraints.
  • Evaluate Integration Resources: Ensure they possess all necessary integration assistance and developer resources. The simpler it is to integrate with your current platform or website, the less business downtime. Furthermore, you want a vendor that provides ongoing technical support and upgrades.

Common  Mistakes to Avoid

Overlooking Quality for Quantity

If a payment gateway provider has a lot of merchants but many are unreliable or worse, that's the problem. Quality over quantity—make sure every payment option offered will work for you and your customers.

Not Considering Merchant & Technical Support

You also need to consider whether your payment gateway provider will have enough support for you and your merchants. Payment gateways will need technical support and upkeep, and you'll want your provider around to help fix problems when they occur (and they will). Not 

Ignoring Regulatory Changes

Find a provider who knows evolving compliance and regulations so you never fall out of compliance with your business operations. Errors are irrevocable.

Reevaluate your requirements

Constantly reevaluate your merchant services situation to improve and cut costs where necessary. Keep in mind that your provider may still be the best option for you down the line, but reevaluating for improvements gives you the opportunity to legally implement your reevaluation per compliant standards.

Summary and Conclusion

Ultimately, comparing white-label payment gateway providers comes down to features that meet your needs relative to processors, business considerations, and reseller program considerations. The more aware you are of the value propositions of each payment processor relative to your priorities, the better you will be matched with a partner who guarantees seamless integration and expansion.