In this famous digital & e-commerce world, the most familiar and important payment option is wallet/e-wallet or payment gateways. Technological advances have eliminated the traditional methods of conducting cash and free money transactions. Now mobile phones have played the role of checks, credit and debit cards, etc. Intelligent and digital. With the advent of digital wallets, people started using mobile payment apps for daily transactions.
What is a Digital Wallet
A digital wallet is a digital version of a traditional or physical wallet. Users can use the digital wallet to perform any transactions such as bill payments, phone recharges, travel/film reservations, and transfer money from one bank account to another, among others. The wallet securely stores virtual versions of debit and credit cards, so you don’t need to enter your card details or carry a physical card at all to make payments. Digital wallets or e-wallets have changed the way consumers pay for different products and services. Digital payments are slowly becoming a way of life and, many economists and scientists believe, have the potential to be the most desirable payment mechanism in the future.
Benefits of digital wallets for the business
- Improve your customer experience
Digital wallets help to improve the customer experience by simplifying the checkout process. Customers can get frustrated if they try to make a purchase, only to be faced with a long checkout page to complete. With fewer clicks and forms, customers are less likely to abandon their shopping cart. This, in turn, can increase conversion rates, which is beneficial for your business and your customers.
- Increased Security
Protecting cardholder data is important to your business. Any security breach can seriously affect your reputation. When you use a digital wallet on your website, The wallet provider will provide an additional layer of security by using biometrics such as fingerprints and facial recognition technology. The digital wallet uses tokenization technology, a randomly generated unique identifier or “token” that replaces a credit card number with every purchase. After purchase, the number is useless. It is the safest way to transact online today.
- Reduce Transaction Fees
Merchants can reduce bank transaction fees by issuing their own payment cards. This can be applied to electronic wallets, It’s like a shopping voucher. Except for digital maps, there is no cost to issue a plastic version. It is also not a bank card. Thus, the bank does not have to be in the payment process. These reduce transaction fees.
- Cryptocurrency payments
Most e-wallet services offer their customers digital asset transactions with the option for businesses to integrate a crypto payment gateway solution into their platform. Because they operate on a decentralized blockchain network. Cryptocurrency payments are therefore processed without intermediaries. This allows users to transfer money and pay for goods quickly and cheaply.
- Quick transactions
digital wallets create Speedy transactions because the transaction takes place on the service provider’s internal network. Both remittances to other users and payments to merchants are processed (almost) instantly through the e-wallet solution.
What is Payment Gateway
A payment gateway is an online payments service that captures and transfers payment data from the customer to the acquirer. Payment gateways are “virtual” equivalents of physical credit and debit card readers. It sends information between the beginnings. Whether it’s a terminal, a website, or a mobile device. Payment gateway delivery to help optimize payments and provide a seamless processing experience. The payment gateway allows the merchants to easily process debit cards, credit cards, and other payment methods.
Benefits of Payment Gateway for the business
Payment platforms make digital purchases easy and convenient. Customers don’t have to visit the physical store in order to get the product or service they want and can do it at any time of the day, without being limited by working hours.
- User experience
Payment Gateway Offers a real-time user experience. Select a product and add it to your cart with just one click. Saving bundled products for later purchase or adding to favourites are some of the elements that deliver a great customer experience. Payment gateways often allow you to have full control and intercept if any problems arise. However, integrating payment gateways into your site can be a costly, lengthy process.
payment gateway Secure Transactions. All payment transactions are heavily encrypted to ensure the data is protected. Secure payment transactions protect customers and merchants from potential fraud, and customers generally use the most secure payment options. This, gaining confidence in purchasing through your business should be your top priority.
Digital Wallet or Payment Gateway both are equally important for a business .digital wallets will eventually replace physical wallets and will play a major role in the future of the e-Commerce industry.Imagino offers a secure, user-friendly, and seamless platform for collecting online payments in real-time. If you have any queries, feel free to contact us