Ecommerce, Technology

Which payment gateway will you choose?

payment-gatewayWhen a retailer goes online, the first thing he/she worries about is the transaction of the payments. As making and receiving payments is not exactly in real time like in offline scenario, the need to make these transactions safe and secure becomes the prime need for an ecommerce venture. Here comes the role of the payments gateways.

Also Read :- How to Choose the Correct Payment Gateway for Your Business?

With the growth of ecommerce, the retailers in India have recognized the value of Online Payments. Even, the retailers have started encouraging their customers to pay a small amount online for Cash on Delivery transactions as commitment fee to reduce denial of order at the doorstep, thereby impacting business positively. Thus, it becomes even more important that the Payment Gateway selected by Merchant must be efficient, responsive and technically advanced.

Since past one year the payment gateway technology has seen many innovations along with the entry of new players with advance Payment Architecture. However, as per Vivek Sagar, MD, EMVANTAGE Payments Pvt Ltd, the over 30% transaction drop is impacting the online industry adversely and almost all the players claim to have got the solution.

“As per the large merchants, the drop %age has not still reduced. One critical reason is that the Payment Gateways are not tuned to the Seasonal Impulse.This coupled with poor architecture and poor network impact the transactions adversely. Some new players have tried to handle the problem through advance architecture. Only time will tell if this solves the problem”, he added.

Thus, while selecting any one of these, one must keep in mind two important criteria’s viz. Innovation and Efficiency. Other factors such as response of the Payment Gateway during and after the integration, readiness to integrate with leading shopping carts with ease, etc. also forms a critical support factor the upcoming retail merchants must look for.

Here is a brief comparison of some most widely used payment gateways by the ecommerce merchants in India.

* The payment gateways are featured here only on the seller perspective and not the buyer

** The article is purely for informative purpose and does not state any kind of rankings for the portals included

*** Payment gateways are listed in alphabetical order of their names and the order in the list does not implies the performance or ranking of these gateways

1) Atom: A Financial Technologies Group Enterprise, Atom technologies offer 360o payment facilities over Internet atomthrough Atom Paynetz, IVR, Mobile Applications, Atom wallet Service and POS, with over 100 payment options. Currently, the payment gateway processes 15 million + transactions and is having 4500+ strong merchant tie ups across various sectors spanning across Government , Utility, BFSI, DTH, Education, Entertainment and many more. Also, the platform offers Third Party Viewer(TPV) Support for maximum banks along with the more than 3 prepaid card options.

2)  CCAvenue: CCAvenue, founded in 2001, is one of the largest Payment Gateway in India today and currentlyccavenues powers more than 85% of the e-commerce merchants in the country. It offers a wide range of services along with many innovative features such as phone pay, real-time live monitoring tool and SNIP which allows collection of payments across social media.

Recently, it  became the first and only payment gateway to go Live with DBS Bank’s Net Banking option. Also, it offers a new Retry option for online shoppers, giving them up to three attempts to complete their purchases successfully, in turn enhancing the merchant’s transaction success rate.

3) Citrus: Backed by Sequoia Capital, this payment gateway offers some really unique features such as Singlecitrus click checkout, In-App purchases, etc. at a zero setup cost and quite low TDR charges. Once a merchant sign up with Citrus, he can access their branded payment pages across all devices, thus offering a wide range of payment options. Also, it provides a feature wherein even when a transaction fails, the customer finds himself on the payments page only instead of basic information filling page.

Till date, Citrus Pay has acquired over 550 merchants over the past 13 months and records up to 11,000 transactions per day. Also, it has recently raised USD 2 Mn from Sequoia Capital

4) DirecPay: A TimesofMoney Service, DirecPay apart from offering a wide range of affordable payment options, alsodp gives an assurance of T+2 settlement cycle. It also offers option of Multi Bank EMI, wherein all major banks like HDFC, Citibank are supported for EMI conversion. the other unique features include dropped transaction tracking, automated reconciliation, real time MIS and on demand analysis & reporting tools.

5) EBS: One of the the most secured online payment service provider, EBS deploys its own fraudebs management solution . It offers international payments & multi-currency services though Ogone, one of Europe’s biggest payment provider and e-Wallet service through Paypal. Part of Ingenico, the leading global player in payment terminals, the platform processes over 130 Mn transactions globally.

EBS is the only player in India with an extensive local network spread across 8 cities including Mumbai, Hyderabad, Chennai, Delhi, Bangalore, Ahmedabad, Jaipur & Thiruvananthapuram.  In comparison to other portals we find it a bit costlier, however it provides custom packages based on the volumes committed, along with the sector specific pricing for Insurance, Education and companies dealing in B2B businesses.


6) EMVANTAGE: It enables online merchants to sell through multiple channels including Social Media and hasemvintage developed models to increase revenue for Online Merchants. Along with wide range of payment options. EMVANTAGE also provides analysis and reporting tools like Transaction alerts, Failure analysis, etc.

Facebook Buy button, iFrame payment box, Chargeback support, Payment remittance tracking, Auto Capture option, Void and reversal option are other features available on the portal. EMVANTAGE is commercially competitive and its packages are available on the basis of Volume of transactions and also offers custom pricing plans for volume higher than INR 50 Lakhs.

EMVANTAGE is also a payment gateway PaaS service provider and is fully equipped to power multiple different payment gateways on its platform as white label offerings

7) PayPal: In India, Paypal is being used widely for cross border transactions due to its simple and transparentpaypal pricing and easy currency conversion facility. It provides basically three selling options – Web, Invoice or Mobile. It accepts only Paypal and some major credit cards such as Mastercard, Visa and Discover.

Recently, Paypal also extended its Seller Protection policy to Asia pacific, to protect merchants from fraudulent transactions and cases where items are not received by buyers. It also offers the option to sell on world’s biggest marketplace ebay.

##As Paypal is an international service, its difficult to compare its pricing options with those of Indian origin. To know more, Please refer to its site here

8) PayU : With a high conversion rate of 12%, multiple payment options and 24×7 customer service, PayU claims topayou-india Go Live fastest at a much affordable pricing. The site offers features such as 1 Click checkout, iFrame solution for secure collection of card data, Payment analytics, IVR payments and Email Invoicing. The company is a part of PayU India, backed by parent company Naspers Group, valued as a $25 billion media and internet company. The clients include major brands like Jabong, Snapdeal, Tradus, Bookmyshow and many more.

PayU India also operate another payment gateway, PayU Paisa which provides features like a free webstore, free webfront and email invoicing. Sellers who already own a website can too integrate with PayU Paisa at zero setup cost. The platform offers a strong  dispute resolution mechanism and is used widely by schools, housing societies, art enthusiasts, SME’s and many more.

9) PayZippy: Built by the technology team of online marketplace Flipkart, the payment gateway work for cardpay-zipy payments on both web and mobile. The pricing is almost same when compared to others, however, the way of charging it, is slight different. There are no sign up or annual maintenance fees. For International cards, it charges an additional fee of 1.5% over and above the domestic credit card pricing.

The merchants are charged on the basis of their credit card transaction value. Also, there are no package scheme available like other sites. For instance, the monthly credit card transaction value upto 5 Lakhs, is charged with 3.50%, between 5 – 10 lakhs 3.25%, etc. For transactions above INR 1 crore, the merchants can ask for custom quote from the company.

10) Zaakpay: The portal aims at simplifying payments in India. It offers both mobile (Mpay) and web (Webpay)zaakpay based payment gateway services. Mpay provides In – app payments facility for Android and iPhone applications and requires no additional fee. Also, it charges a fixed one time setup fee and Annual maintenance charges. However, TDR is dependent on Monthly payment volume. For e.g. TDR is 3% for payment volume between INR 0-5 lakhs, 2.5% for INR 5-50 Lakhs, etc. Its clients include portals such as Mobikwik,,, American Swan, Giftery and many more.


Apart from these, Merchants also have an option to choose from payment service providers such as BillDesk, TechProcess, PayTM and DialDesk. Also, some banks like HDFC and ICICI have been providing their own payment gateways to the merchants, however, as these gateways can provide access to either a very few or no other banks, the payment options for the merchant get limited at the end of the day.

**** Although, both the Atom and PayZippy portals are good but have given relatively very less information on their website. We tried to connect over a call as well as through mails. The response is still awaited.

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    I just wanted to suggest a platform for the Merchants, It’s called Zest Money. It’s India’s first digital lending platform that offers EMI facility without a credit card. It enables consumers to buy high value products and pay later. The Zest Money platform enables instant account opening and real time credit approval, combined with seamless digital loan servicing and repayments technology. Merchants can consider offering this facility to their consumers.

  4. 4

    TechProcess Payment Services Limited is the poineer and leader in the payment gateway industry followed by all others. According to my experience as a merchant it has the most innovative industry specific solutions. Also through our internal data we found out that it has phenomenally high success rate way better than any other.

  5. 5

    Citrus is the worst payment app I have seen till date.
    Please see its Facebook page and on comments u can find out how many problems customers face daily.

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  7. 7

    Thanks for this information! Paysera is also worth attention. I have been using this gateway for my project in Europe and now it is expanding to India, They have interesting flexible services, which, in line with credit card payment processing, include mobile payments and checkout with QR code. Also they do international money transfers to bank accounts.

  8. 8

    Hello World,

    BlueZeal SoftNet, leading name in the field of e-Commerce module development, has created a revolution by creating World’s first-of-its-kind Cloud Extension Services for its unique e-Commerce solutions. This magical innovation will help us to swiftly deploy our unique services to all our clients at one time enabling them to avail the necessary updates for upgrading to the latest version of the e-Commerce modules they are using, uninterrupted, 24×7, which is the ultimate need of the hour.

    We are also very proud to say that CCAvenue, has officially chosen us to develop their
    payment gateway modules.

    CCAvenue is South Asia’s largest payment gateway solution powering thousands of eMerchants with real time, multi-currency, multiple payment options online payment processing services. The solution is powered by proprietary technology that integrates transaction-processing, advance shopping cart, auction payment collection facility, fraud control, financial reporting and order tracking. CCAvenue is the only complete PG solution in the region that has the unique ability to offer the full spectrum of Internet payment options.

  9. 9

    We area a startup company it training and certification based out of India now I am confuse which payment gate way one should go. Can anyone let me know which is better.. As if now we are planning to go for a Citrus pay

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    By going thru all above points , now I am confuse which payment gate way one should go . I required gate way Initially for national and later on for international transactions ..

    Must be smooth in implimantation ! Easy to operate ! 24×7 technical support ! Less transaction fee ! Leser step step for payment process ! Secure payment ! No or less set up fee ! Minimum documentation ! Mobile payment option !

    Please make me clear if any other thing required to be called good payment gate way !

    Please sugges me on Arvind.aua@gmail. Com

    Appreciate your support in advance

  12. 12

    Dear Team

    We would like to inform that , please check 100 times before taking citrus else this will kill you business . They only settle in email not in bank , we have already informed all banks about the same. They will keep on saying that provide us this provide us that but the settlement will never happenes.

  13. 13
  14. 14

    Hey guys, was going through
    various options for a payment gateway for my e-commerce portal and found out a
    comparative chart, looks very interesting to understand what the different
    service providers are currently offering.

  15. 15

    For Indian Startups I will suggest fethr, Zaakpay or best Citruspay.

    – All of them have lesser than 3% transaction fee.
    – Almost no (or minimal) setup fee.
    – No AMC.
    – Good customer and technical support.

    Some more points to consider..
    – Zaakpay has 2 steps payment process.
    – Citrus has one step payment process.
    – Zaakpay as well as Citrus have Mobile payment options.
    – Fethr is a startup.

    – Nancy
    Working at (Find All Stores at One Place)

  16. 16

    We signed up with DirecPay (TimesofMoney) to support our international e-commerce website based out of NCR and experienced a harrowing 5 months wait time with no results. They are the most inexperienced and unprofessional bunch, who have no understanding of how international websites work and lack the technical expertise or the urge to find resolutions. Now, an endless wait to get our money deposits back. PayPal is the BEST option!

  17. 17

    You can try out fethr -( fethr – Payments.Simplified ) . fethr lets any merchant start accepting payments in less than 3 days all you need to do is register on fethr ,submit the online activation form and choose your payment app & start accepting payments. fethr currently supports all major Master & Visa credit and debitcards and netbanking of 8 major banks.

    Disclaimer : I am the part of the fethr team

  18. 21

    hey ,
    zaakpay payment solution is the only one which provides fastest approval ,less paper work and maximimum payment options on a lesser TDR and the services are exceptionally good

  19. 22

    if you are a startup based out of India try out the following new payment platforms.

    1. Payupaisa ( : This is a payment platform from payu group. The payment gateway can be activated 10-15 days with minimum documentation. ( : Fethr is a payment platform for developers similar to stripe or wepay in the US. The platform can be activated instantly and one can start accepting payments in a day with minimum documentation. The rates starts at 0.99%+Rs5/transaction for cards. : Mobile pos startup based out of Hyderabad. Suitable for retailors and physical merchants

  20. 24

    One big technical error – all names mentioned here are “Online Payment / merchant aggregators’ …these are not gateways… PGs are offered by Banks and powered by say MiGS, etc…

  21. 27

    scrap this article, simply (Ctrl+C) There are other keys on keyboard kindly use it we will then appreciate you. we like real and genuine articles who cares about payment gateways companies will choose whatever they like its upto them and their investment.
    This article lacks zero analysis and there are really some very good gateways not listed.

    • 28

      Dear Reader,

      This is simply a comparitive analysis of direct offereings made by some renowned payment gateways available in the India Market. The author has not made any slightest judgement of the services and user reviews regarding any paticular payment gateway provider.

      The takeaways from the article can be that what are the differences in the payment gateways available in the market. Rest for feedback and reviews please write us at , and we will be more than happy to share our personal and collected opinions.

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