For many companies, their mobile apps have already become strong and reliable sources of revenue. By eliminating friction in the interaction with their customers and allowing them to browse the product catalog, add products to the cart and go to the checkout in a few taps, these companies have created and continue to improve one of the currently most popular shopping experiences: mobile shopping.
There is no point in giving pros and cons for building an app which allows people to buy your product without having to jump to your website to complete a purchase. It is the general trend of the retail market and every company which wants to stay relevant in this market: you go with the flow.
Mobile Payments – The Next Generation of Ecommerce
Making a purchase on a mobile screen can become quite a challenge if the customer has to input their credit card number and CVS code every time. Most probably, 2 out of 3 times they would mistype and finally give up in frustration. This is where technology has stepped in to make things easier: by loading all the details of their credit cards into a dedicated application, people can pay with just one tap, fingerprint reading or other secure but simple user identification methods.
These applications are called mobile wallets and they are developed by mobile payment providers. To make the entire process smoother, these providers have also developed APIs which developers can include in the mobile apps they are developing. Thus, an app can feature mobile payment options for the users, allowing them to complete the purchase quickly and safely.
If you start a Google search, you will discover that there are dozens of mobile payment providers whose API you can install in your app. However, we've created a list to help you make the right choice in selecting the mobile payment option which is best suited to your needs.
These are our top choices:
Launched in 2011, Stripe has quickly grown to become one of the most popular, affordable and secure mobile payment providers. For developers, the main advantage of Stripe is the wide variety of server-side languages it offers: PHP, Python, Ruby, Curl, Node, Java and Go.
Apart from this, Stripe also offers checkout features both for mobile and desktop, meaning that you can use the same payment provider for your app and for your website. Also, Stripe is very code-friendly and does not cause any problems with integration in any app. In addition, it also provides analytics which allow app owners to collect user data and get a more in-depth knowledge of customer behavior.
Stripe charges 2.9% + $0.30 per transaction.
This payment provider offers by far the most advanced security features for mobile and online payments. The mother company of Authorize.net is VISA, which is certainly a security guarantee in itself. Authorize.net can be integrated in Android and iOS apps as well as websites, and provides other useful features such as:
- Syncing with Intuit QuickBooks billing software;
- Fraud detection;
- Business accounts management;
- PCI DSS compliance through the proprietary software for tokens.
Setting up Authorize.net costs $49 and there is also a recurring monthly fee of $25. In addition, each transaction is charged an additional $0.10 if you only use the gateway feature. If you set up a merchant account, each transaction has a fee of 2.9% + $0.30.
Purchased and enhanced by PayPal, Braintree offers one of the fastest mobile payment integrations into apps and a few other features, such as the drop-in UI which allows customization across various mobile app platforms. In terms of the overall design and look for the user, the payment button looks very similar to the “Pay with PayPal” button, which is certainly useful for building trust among your customers.
As a recent development, Braintree is partnering with PayPal for a joint project titled One Touch™ mobile payment – an innovative, super-simplified mobile payment system.
Braintree charges no fees for the first $50,000 aggregate transactions, and the industry standard rate of 2.9% + $0.30 per transaction thereafter.
Recently acquired by Avangate, 2Checkout proves that it is a solid, reliable and flexible payment processor for web and mobile apps. It features 3 customizable checkout options, support for 87 different currencies and 15 languages and advanced fraud protection with over 300 rules that are applied to every transaction.
The fees charged by 2Checkout are 2.9% + $0.30, plus an extra 1% for payments received from outside the United States. For payment volumes exceeding $50,000 per month, the company offers customized discounts.
Dwolla is a full-feature mobile payments provider which caters to large amounts and a significant volume of transactions. Their strong points are:
- Customizable forms;
- Shopping cart plugins;
- Recurring payments.
This mobile payment provider works with Android, iOS and Windows Phone, and charges nothing for transactions under $10. Above this amount, the standard fee is $0.25 per transaction.