With the introduction of WordPress open source web hosting software, non-technical merchants could build beautiful, responsive websites and e-commerce stores. The Woocommerce plugin built the foundations for B2B merchants of both goods and services, yet there remained a payment problem for merchants looking for flexibility and speed for their customer experience. Hence, a gap appeared for Woocommerce payment gateway integrations, as default options included check payment, direct bank transfer, and cash on delivery. Replacing these outdated options with a secure digital payment solution helps drive revenue and retention.

‍How do WooCommerce payment gateways work?

Woocommerce payment gateway integrations are enabled by installing plugins onto your e-commerce store on WordPress. There are various plugins available to download and enable for Woocommerce.. Using a plugin that requires an API key to install, the payments are directed through the gateway, handled securely, with the money transferred from the customer to the vendor’s bank account. The payment gateway handles the funds, ensuring no fraud or breaches occur. The gateway takes care of all the technical aspects of the payment process so merchants can focus on driving new revenue and optimising the customer experience.

How do I add a payment gateway in WooCommerce?‍

1. Install the plugin in your WooCommerce store.

2. Go to WooCommerce >>Payments and enable the same payment plugin in your store. 

3. Click on Manage, in the WooCommerce>> Payments on your payment plugin.

4. Look at the settings for the plugin that needs to be configured for setting up the plugin for your WooCommerce store. The plugin settings will contain the option to include API keys for both Test and live environments.

5. Obtain the API key from whichever Woocommerce payment gateway you are using by registering with them.

6. Add the API key to plugin settings.

7. Save the settings.

8. Try out a test transaction to check if the plugin is working and can facilitate payment transfer.

9. Once you are happy, your payment method will appear at checkout to be used in live mode for real payments. 

WooCommerce payment gateway fees

Woocommerce does have its own payment gateway that charges 1.4% sales cut (plus around £0.20 in transaction fees) for UK payments. It does not charge to use 3rd party payment gateway plugins. Using other gateways with no fees like iwocaPay is possible without incurring extra charges from Woocommerce, where you can build custom CTAs, BNPL and intelligent customer logic for a seamless experience. 

Best payment gateways for WooCommerce

There are various options for Woocommerce payment gateways with varying fees and features. These include iwocaPay, Stripe, Paypal, Square, ApplePay, and Amazonpay,

1. Stripe

Stripe is a clean and simple solution that charges 1.4% + 20p for UK payments, with 2.9% + 20p for international cards.. However, while it integrates with ApplePay, it is more of a developer-focused payment solution. 

2. PayPal

PayPal offers a secure option, having been around since the start of the millennium.. It charges 1.4% +30P for card transactions where the buyer does not have a PayPal account. While it is reliable, the user experience is not as smooth as other gateways.

3. Square

Square is another option that works similarly to Stripe, although its solution is more designed for physical point-of-sale machines. It charges 1.4% + 25p per UK transaction.

4. Amazon Pay

Amazon Pay is another solution more focused on e-commerce that is compatible across many countries. It is more expensive at 2.7% + 30p of any monthly trading volume below £50,000 in the UK.

5. iwocaPay

iwocaPay offers a simple and powerful Woocommerce payment gateway, with accounting integration and modular pricing, You can build in custom CTAs and smart logic to upsell packages for a bespoke pricing strategy. It offers buy-now-pay-later for businesses allowing customer flexibility, with no charge incurred by the merchant. 

Whichever option you choose, it’s certain that interoperability and flexibility can solve the challenge of B2B payments. 73% of B2B purchasers demand better buying experiences, so it’s no wonder Woocommerce payment gateway plugins are delivering ROI for businesses.

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