Over the past decade, digital payments have overtaken cash and card as the preferred method for online shopping. In 2014, digital methods made up just over a third of global e-commerce spending. By 2024, that share rose to 66%, driven by mobile-first shoppers and digital wallets. Today, mobile commerce alone powers more than half of global online sales—a clear sign that checkout experiences must be secure, fast, and optimized for every device and region.
A payment gateway is a technology that securely transfers payment information from your website or app to a payment processor, then back again to confirm whether a transaction was approved or declined. It’s the bridge between your online store, your customer’s payment method, and your acquiring bank.
How it works:
A dependable payment gateway integrates seamlessly with your checkout process, supports multiple payment methods, from cards to local wallets, and keeps sensitive data encrypted and compliant with global security standards.
|
Type |
Description |
Pros |
Cons |
Best suited for |
|
Hosted gateways (redirect) |
Customers are redirected to an external payment page (for example, a wallet or bank page) to complete the transaction. |
Easy setup, low PCI burden, trusted by customers familiar with major providers. |
Less control over checkout experience, possible drop-offs when users leave your site. |
SMEs needing simplicity and quick setup. |
|
API or direct integration gateways |
Customers stay on your website while payment data is securely processed through APIs. |
Customisable checkout, improved UX, consistent branding. |
Requires PCI-DSS compliance and stronger technical skills. |
Mid-size to enterprise businesses wanting control and flexibility. |
|
Self-hosted gateways |
Merchants collect and encrypt payment information before sending it to the gateway. |
Full control over experience and data. |
High security responsibility, costly compliance. |
Enterprises with strong IT infrastructure and internal compliance teams. |
For startups and SMEs, hosted gateways are often the fastest route to go live. Larger businesses with established infrastructure usually benefit from API-based or hybrid options that allow deeper customization and control.
Security is the foundation of any payment processing solution. Look for PCI-DSS Level 1 certification, encryption, and tokenisation. Fraud prevention tools such as AI-based monitoring, velocity checks, and 3D Secure 2.0 can reduce chargebacks and protect customer data.
A gateway should support major cards like Visa, Mastercard, and American Express, plus regional wallets such as Alipay, GCash, and PayPay. APAC and Latin America buyers often prefer e-wallets or bank transfers over cards. The more options you offer, the higher your conversion rate.
Cross-border commerce is growing rapidly. Asia Pacific’s e-commerce market is projected to reach USD 2 trillion by 2025. To succeed, merchants need gateways that offer multi-currency acceptance, local acquiring to reduce cross-border fees, and settlement in home or local currencies.
Your e-commerce payment gateway should integrate smoothly with platforms such as Shopify, Magento, or WooCommerce. Developer-friendly APIs and SDKs simplify integration, testing, and maintenance. Providers like Antom offer sandbox environments for safe testing before going live.
A well-designed checkout improves conversion. Features like one-click payments, local currency display, and mobile-optimised design can reduce friction. Remember, every additional step increases cart abandonment risk.
As transaction volumes grow, you need reliability. Look for uptime guarantees, fast response during peak periods, and multilingual support. For global merchants, around-the-clock technical help and transparent documentation are critical.
Payment gateways usually charge several types of fees. The table below outlines the common fee types and typical market benchmarks (note: these vary by provider, region, and transaction volume).
|
Fee type |
Description |
Typical benchmark |
|
Setup fee |
One-time onboarding or integration cost. |
Often waived or up to USD 500 for custom integrations. |
|
Monthly fee |
Recurring platform or account maintenance charge. |
USD 10–50 per month for SMEs; often negotiable for enterprises. |
|
Transaction fee |
Charged per payment, usually as a percentage plus a fixed cost. |
2.0%–3.5% + USD 0.20–0.40 per transaction. |
|
Refund fee |
Deducted when issuing refunds. |
Typically USD 0.25–0.50 per refund. |
|
Chargeback fee |
Cost for disputed or reversed transactions. |
USD 15–25 per case. |
|
Cross-border/FX fee |
For payments involving currency conversion or international cards. |
1%–3% additional fee depending on region. |
Pricing models can vary. Interchange++ is more transparent, showing exact card network and processor costs. Tiered pricing groups transactions by type but can hide true costs.
Watch for settlement delays, rolling reserves (especially for high-risk merchants), or FX loss from forced conversions. Reliable reporting and clear contracts prevent surprises. The best payment gateways provide predictable pricing and fast fund settlement.
If you run a subscription service, look for features like automatic recurring payments and easy subscription management. Marketplaces may need split settlement tools. For hybrid businesses operating both online and in-person, unified gateways supporting POS and online payments offer efficiency.
Selecting the best payment gateway for e-commerce means balancing cost, coverage, and customer experience. Review how your current system performs, identify missed payment opportunities, and ensure your next solution supports your growth markets.
Antom offers flexible, secure solutions designed for global e-commerce merchants, with strong coverage across Asia and beyond. Whether you are scaling a start-up or managing international operations, choosing the right payment partner helps you accept payments with confidence and grow sustainably.