How to accept digital wallet payments in your ecommerce store

Familie & Finanzen: So gehen Familien in Deutschland mit Geld umFamilie & Finanzen: So gehen Familien in Deutschland mit Geld um
Nick Knuppe
Head of Product Marketing
Customer-centric marketer, fanatical about GTM.

Offering customers familiar payment methods goes a long way toward building trust. More trust means less cognitive load at the moment of purchase and less chance of the customer abandoning their cart. In Europe, digital wallets are often country-specific. Let’s find out how easy it is to accept digital wallet payments in your ecommerce with a payment processor like Mollie.

How do I accept digital wallet payments?

The simplest way to accept digital wallet payments on your ecommerce site is to choose a payment processor that supports digital wallet integration. Which digital wallets your customers will want will vary depending on the type of mobile phone they use and also the country their bank is in. In Europe, adding Bancontact, iDEAL, and Klarna will cover customers in Belgium, the Netherlands, Scandinavia, and Germany. Apple Pay, Samsung Pay, and Paypal will cover nearly everyone else. You could sign up for and integrate each of these services separately, or you could rely on integrations via your payment processor. Most businesses will choose Mollie or another similar service because integration is easy, bug-free, flexible, and cost-effective. 

If you are creating an entirely custom site with a custom payment processor, then your development team should know how to connect to all the different digital wallets.

Europe has a greater number of people than the United States, and as a result, the online payment landscape is different. The two big differences are credit card use and the fragmentation of the digital wallet market. Research from Payvision in 2021 found that 44% of payments were made via digital wallets in Europe. A further 32% of digital payments were via Paypal. Perhaps surprisingly, ApplePay, Google Pay, and Samsung Pay make up only 3% of online payments. For some context, here are the top three payment methods in five European countries:

Netherlands 83% iDeal 28% digital wallets 17% credit card Germany 53% digital wallets 42% invoice 29% bank transfer Italy 53% digital wallets 41% credit card 40% prepaid cards (e-money) Spain 50% Paypal 44% debit card 27% credit card

France 46% digital wallets 44% credit card 38% bank card

The UK is a little bit different. The breakdown there is 50% credit card, 44% digital wallets, and 27% bank cards. 

How much do digital wallets charge ecommerce stores?

The fees vary from platform to platform but they are generally comparable to the fees for credit card payments. Most digital wallets charge a per-transaction fee, so if you have no volume, you’re not paying a lot of fees. Some wallets like Bancontact charge a monthly subscription as well, so offering these payment methods only makes sense if you have enough volume to justify the fee.

Tips for integrating digital wallets into your ecommerce shop 

Ease of Integration

Digital wallets are all about reducing friction at checkout. If the integration is buggy or a huge pain to integrate into your cart, then it’s probably not worth the hassle. One of the advantages of such a splintered digital wallet market in Europe is that there is always another way to accept payments.

Customer Support

Adding a payments system means you will have to rely on a third party's API to handle those payments. Once in a while, the integration may act up, or the API can stop functioning. You may need the help of a third party to get everything up and running.

Choose a payment processor that makes it easy to open new support tickets and get your problem resolved. Clear supporting documentation is also helpful, as it will allow you to handle most problems on your own. In the event you can’t solve the problem yourself, a responsive and knowledgeable support team will be the difference between a sleepless night and a minor problem. 

Check Service Agreement Requirements and Fees

It can be tempting to offer all the payment methods to try and attract more customers. This is a bad idea for several reasons, the first of which is that so many options is overwhelming enough to introduce friction into the buying process instead of removing it. The second reason is that depending on the various service agreements and fee structures of the digital wallets and payment processor you’re working with, the fees can add up quickly.

Accept digital wallet payments in your ecommerce

Mollie is a payment platform that makes it easy for ecommerce businesses to accept payments from digital wallets. Offering your customers' preferred payment methods simplifies the checkout process and increases conversions.

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