Best Payment Methods for Shopify 2024

Choosing the right payment gateway can make or break your Shopify store’s success. With so many options available, it’s tough to know which one best fits your business needs and customer expectations. This guide cuts through the clutter to provide a comprehensive comparison of the top payment gateways for Shopify in 2024. 

Gain data-driven insights into features like pricing, security, global capabilities, and integration ease to identify the ideal payment solution for your ecommerce store. You’ll get actionable recommendations along with an "at-a-glance" overview of each gateway’s standout benefits.

Top Payment Gateways for Shopify

Shopify Payments

As Shopify's in-house payment solution, Shopify Payments offers easy integration, streamlined transaction processes, and transparent fees for store owners. By using Shopify Payments, merchants can quickly set up a payment gateway directly through their Shopify admin, skipping the hassle of dealing with third-party providers.

Intuitive integration means store owners can get Shopify Payments up and running with just a few clicks. There's no need for complicated coding or bringing in developers to connect payments. Shopify handles everything behind the scenes, allowing merchants to focus on their business instead of payment technicalities.

Shopify Payments shines when it comes to simplified transaction fees. While a third-party payment provider often buries merchants in various charges and rates, Shopify Payments offers straightforward 2.9% + 30¢ fees on all transactions. There are no hidden costs, monthly fees, PCI compliance charges, or surprise bills. Store owners know exactly what they'll pay per sale.

For Shopify users looking for a fuss-free payment solution, Shopify Payments ticks all the boxes. It's already integrated into the platform, it's easy to set up and manage, and transactions are smooth like butter. Shopify basically takes care of everything payment-related so merchants can get back to the fun stuff like running their online store.

PayPal

As one of the most ubiquitous payment processors on the web, PayPal needs no introduction. This household name offers global acceptance, competitive rates, and instant trust among customers. Integrating PayPal as a payment gateway gives Shopify store owners access to over 377 million active PayPal account holders.

PayPal's global reach is a major perk for Shopify merchants selling internationally. Rather than dealing with multiple gateways based on geography, PayPal allows store owners to process online payments from nearly every country seamlessly. Conversion rates often see a nice bump when customers see PayPal as an option during checkout.

Transaction fees sit at 2.9% + $0.30 per transaction, very much in line with top providers like Stripe. PayPal also comes with no monthly costs. For store owners processing serious sales volume, PayPal offers customized pricing, often slashing transaction fees below 2.5%.

From a customer trust perspective, PayPal boasts one of the highest brand recognition levels in payments. Customers feel confident in PayPal's security and ability to handle disputes or refunds. Offering PayPal at checkout provides a sense of trust that can increase overall conversion rates for Shopify stores.

Stripe

Stripe has earned its reputation as a top-tier payment gateway thanks to its elegant design, robust features, and developer-friendly APIs. This payment processor makes life easy for Shopify merchants who prioritize flexible, customizable payment solutions.

Setting up Stripe takes minutes, not days. Stripe's documentation and pre-built Shopify integrations allow store owners to quickly start accepting payments. For developers, Stripe offers multiple SDKs and APIs to tailor the integration precisely to business needs.

Security and compliance are coded into Stripe's DNA. The company uses rigorous protocols and infrastructure to protect transaction data. Stripe handles all the heavy lifting of PCI compliance for merchants. Coupled with built-in features like Radar fraud protection, Stripe provides watertight security.

Stripe's pricing is competitive at 2.9% + $0.30 per transaction in the U.S. Volume discounts can drop fees to as low as 1.5% for serious sellers. Stripe also impresses with rapid payouts, often hitting merchant accounts the next business day after a sale. For Shopify brands that prioritize design and customization, Stripe is a go-to choice.

Square

Square made its name by helping small businesses accept in-person credit and debit card payments. Today, this payments juggernaut also offers a robust online gateway perfect for omnichannel Shopify merchants. Square offers top-tier security, flexible payment processing, and a reputation for transparency.

A major advantage of Square is its ability to handle both online and offline transactions from the same interface. There's no need to reconcile payments or manage separate accounts. Shopify store owners can direct in-person sales through Square's POS app and online revenue through the payment gateway for unified reporting.

Square keeps processing fees simple at 2.9% + $0.30 per online transaction in the U.S., with custom pricing available with volume. Offline swipe fees are slightly lower at 2.6% + $0.10. Square also offers installment plans called Square Invoices to help increase cart sizes.

From a security perspective, Square utilizes industry-leading protocols to protect data and prevent fraud. Square's given name inspires confidence in the company's ability to handle money. For Shopify merchants selling across channels, Square is a versatile payment processing partner.

Amazon Pay

Amazon Pay brings instant recognition and trust to Shopify checkouts thanks to integration with customers' existing Amazon accounts. Allowing customers to pay via their Amazon credentials boosts conversion rates while letting Amazon handle the heavy lifting of security and payments.

Integrating Amazon Pay with Shopify takes mere minutes. Store owners simply connect their Amazon seller account to their Shopify admin. Amazon's name, branding, and icons are automatically applied during checkout to inspire shopper confidence. It's an easy shortcut to payment peace of mind.

For customers, Amazon Pay offers unified purchasing without needing to enter shipping addresses, credit cards, etc. Amazon has all their info on file, removing purchase friction. Merchants benefit from having Amazon handle fraud protection and payment details. Amazon Pay balances simplicity for customers with robust features for merchants.

Shopify sellers looking to streamline the buying process should consider Amazon Pay. Given Amazon's mastery of ecommerce and digital payments, merchants can benefit from letting this retail giant power payments. Conversion rates often rise when customers see the trusted Amazon name at checkout.

Buy Now Pay Later (BNPL) Integration

One of the emerging trends in ecommerce is the "Buy Now Pay Later" (BNPL) option. This payment method allows customers to purchase items immediately but defer the payment, typically splitting it into smaller, interest-free installments. For many consumers, BNPL offers a flexible and financially manageable way to shop, especially for higher-priced items.

Several payment gateways are now integrating BNPL into their offerings. For instance, PayPal introduced "Pay in 4," a short-term installment solution that lets customers split purchases into four payments. Similarly, Square offers installment plans called Square Invoices, which can be seen as a form of BNPL, helping to increase cart sizes.

For Shopify merchants, considering a payment gateway that supports or integrates with BNPL solutions can be a game-changer. It not only caters to the evolving preferences of consumers but can also boost conversion rates and average order values. As BNPL continues to gain traction, it's worth exploring gateways that offer this feature or can easily integrate with dedicated BNPL platforms.

Braintree

Braintree brings robust payment processing and global support to Shopify merchants. This PayPal-owned company offers integrated commerce tools, fraud protection, and simplified cross-border transactions.

The top advantages of Braintree include seamless localization in over 45 currencies and 130 countries. Shopify sellers can easily process global transactions without needing to cobble together patchwork systems based on geography. Braintree smoothes cross-border friction.

Competitive pricing at 2.9% + $0.30 per transaction positions Braintree as an affordable high-end option. Braintree also plays nice with platforms like Apple Pay and Google Pay to support mobile wallet transactions. Leveling up overall conversion rates.

For omnichannel retailers, Braintree offers seamless integration with PayPal and Venmo wallet payments. Unlocking these digital wallets helps turn browsing shoppers into buying customers. Braintree removes payment friction at checkout for a better buyer experience.

Authorize.net

Part of the Visa group, Authorize.net is a payment gateway stalwart that's been around since the early days of online transactions. This established company offers battle-tested security, developer-friendly APIs, and support for recurring billing.

Authorize.net utilizes end-to-end tokenization and data encryption to keep transactions secure. Integrations leverage Authorize.net's fraud prevention tools to identify and mitigate risks in real time. Shopify merchants can feel confident in this gateway's security foundation.

Developers will appreciate Authorize.net's open API and integrations with leading ecommerce platforms like Shopify. Customizable payment flows and support for subscription transactions provide helpful flexibility.

While not the cheapest option, Authorize.net's competitive rates and rock-solid reliability make it worth considering. Large enterprises depend on this gateway every day, so handling a Shopify merchant's transactions is a breeze.

2Checkout (now Verifone)

Formerly known as 2Checkout, this payment gateway was recently rebranded as Verifone. The name change came after Verifone acquired 2Checkout in 2018, though the original branding still holds widespread recognition. Shopify merchants can count on this tested solution for global payments.

A standout feature from 2Checkout/Verifone is its support for payments in 200 countries through over 100 payment types, including popular local options. This global coverage combined with 2Checkout's fraud tools helps merchants sell internationally with less risk.

Pricing sits at 2.9% + $0.30 per transaction, very much in line with other top-tier gateways. Verifone also plays nice with external solutions like accounting software for easier reconciliation and reporting. Shopify sellers will appreciate 2Checkout's track record for uptime and reliability.

For Shopify users selling goods worldwide, particularly in developing markets, 2Checkout/Verifone is a go-to choice. The extensive payment method support removes much of the friction of cross-border transactions.

Worldpay

Trusted by merchants across the globe, Worldpay brings robust payment processing and support for various payment types to Shopify businesses. This major player offers 100+ payment methods, fraud protection, and multi-currency transactions.

The top advantages of Worldpay include its global reach and ability to handle local payment preferences. Shopify merchants can tap into preferred regional payment options like iDEAL in the Netherlands or Sofort in Germany. Increasing conversion rates.

Competitive pricing makes Worldpay an affordable option despite its depth of features. Fully transparent fees help merchants calculate costs upfront. For enterprise clients, Worldpay offers custom pricing and account management.

Between the extensive payment method support, customizable flows, and translation features, Worldpay makes cross-border commerce smooth for Shopify sellers. It's a rare all-in-one global gateway for unified multinational transactions.

Opayo

Formerly Sage Pay, Opayo offers U.K.-based Shopify merchants rock-solid security protocols, PCI compliance, and responsive customer service. While Opayo may lack the brand recognition of a PayPal or Stripe, its features cater nicely to British ecommerce shops.

Opayo shines brightest when it comes to security and compliance. The company utilizes rigorous protocols like 3D Secure and multifactor authentication to keep data safe. Opayo also handles PCI compliance checks for merchants, saving them time and effort.

Another advantage of Opayo is its stellar 24/7 customer support team. Shopify merchants have a dedicated contact for queries, setup, disputes, or anything payments-related. Support that goes the extra mile provides helpful peace of mind.

For Shopify users selling primarily to British customers, Opayo checks the boxes for reliability, security, and service. While not necessarily the flashiest name, Opayo offers a robust localized gateway solution.

Features to Consider When Choosing a Payment Gateway

Ease of Onboarding

When selecting a payment gateway, ease of integration and onboarding should be the top criteria for evaluation. After all, merchants want to get their payment solution up and running quickly with minimal hassle. Comparing options based on how intuitive or challenging the setup may be can help narrow the choices.

Shopify Payments shines here as the native Shopify gateway. Activation takes mere minutes directly within the Shopify admin. For users prioritizing quick setup and seamless integration, Shopify Payments delivers friction-free onboarding.

Other user-friendly gateways include Stripe with its pre-built Shopify integrations, and PayPal thanks to its near-universal recognition. Both can be activated in under an hour with simplified workflows. On the flip side, Authorize.net involves more steps for integration and customization.

Overall, the most beginner-friendly payment gateways feature straightforward signup flows, pre-built app integrations, and tutorials or support documents that simplify onboarding. Choosing an option like Shopify Payments or Stripe that gets merchants to accept payments quickly avoids needless complexity.

Security Aspects

Security should be the number one priority when trusting a third-party payment gateway with handling transactions. Comparing providers based on encryption methods, fraud protection, and security protocols is key.

Leading options like Stripe and PayPal leverage AI and machine learning to analyze transactions for suspicious patterns in real time. Both use tokenization to protect sensitive card data, and maintain rigorous PCI compliance standards. These safeguards mitigate risk.

Checkout customization also factors in here. Solutions like Square allow toggling security features in the checkout flow like CVV and postal code verification to reduce fraud. The ability to tailor security to your business needs provides helpful control.

In general, established gateways from major providers invest heavily in security infrastructure and protocols to safely move money online. Checking for features like end-to-end encryption, AI fraud monitoring, and customization provides confidence for merchants and customers alike.

Transaction Fees and Other Costs

Pricing should be a primary factor when selecting a payment gateway solution. Transaction fees can significantly impact profitability, so comparing rates across providers is crucial.

Leading options like Stripe and Shopify Payments charge competitive transaction fees of around 2.9% + $0.30 per sale. These pricing models are straightforward without hidden monthly costs. Square offers tiered rates starting at 2.6% for lower volume.

Some gateways cater to enterprise clients with negotiated rates, but come with monthly fees for smaller merchants. For example, Authorize.net charges $25 per month plus transaction fees. These extra costs add up.

Ideally, look for simple per-transaction pricing with no monthly fees. Calculate potential monthly transaction volume to determine which provider offers the best value based on your sales. Payment gateway pricing directly impacts the bottom line.

Geographical Considerations

Regional Payment Preferences

Shopify merchants should factor regional customer payment preferences into their gateway selection process. Certain solutions hold more visibility and trust in specific geographies. For example, U.S. customers tend to prefer recognizable options like PayPal, Amazon Pay, or credit card payments. Meanwhile, European shoppers may expect iDEAL in the Netherlands or Bancontact in Belgium as localized options during checkout.

Understanding regional preferences, and then choosing a gateway with support for associated Shopify payment methods, can lift conversion rates. Offering locally popular payment options inspires trust and confidence in international customers.

Omnichannel platforms like Square allow easily tapping into multiple regional preferences from one unified interface. But also consider more internationally focused providers like PayPal, Stripe, or Braintree for broad geographical support.

Global Payment Solutions

For Shopify merchants targeting audiences worldwide, a payment gateway with robust international capabilities is key. Solutions like PayPal and Stripe enable the processing of transactions globally from a single account.

Features that enable borderless transactions include support for:

• Multiple currencies - 100+ currency options.
• Local payment types - iDEAL, Paytm, etc.
• Merchant of record services - tax compliance.

These capabilities allow for seamlessly serving customers internationally. Additionally, fraud protection and security tailored to global transactions limit risk. A gateway purpose-built for worldwide payments saves needing to cobble together a patchwork of regional providers. Streamlined global commerce in a single unified platform.

Currency and Exchange Rate Handling

The ability for a payment gateway to smoothly handle multiple currencies and exchange rates is mandatory for Shopify merchants selling globally.

Leading international gateways like Stripe and PayPal auto-convert foreign transactions to the merchant's home currency at competitive forex rates. This simplifies reconciliation while supporting 100+ currencies.

Other features like automatic exchange rate conversion, or the ability to set manual exchange rates, help merchants avoid confusion and cost surprises when selling worldwide.

Shopify sellers with global ambitions should ensure their payment gateway choice can fluidly handle cross-currency transactions, taxes, and global compliance needs. Geographic payment considerations help fuel worldwide ecommerce growth.

Acceptable Card Types and Payment Methods

Range of Accepted Cards

The range of cards and brands accepted by a payment gateway affects customer payment accessibility. Gateways accepting major card networks like Visa, Mastercard, American Express and Discover provide the most flexibility.

Leading options like Stripe and Braintree accept all major card types by default. Shopify Payments also supports an extensive range of card brands. Broader card acceptance removes friction during checkout.

Some providers may limit card brand support, like Square only accepting Visa and Mastercard initially. While customizable, restricted card types inconvenience some customers. Comparing card acceptance helps maximize sales.

For the best customer payment flexibility, prioritize gateways supporting numerous card brands. If your target audience heavily uses a specific card like Amex, ensure the gateway accepts it.

Digital Wallets and Alternative Payment Methods

Beyond standard cards, many modern payment gateways integrate with digital wallets like Apple Pay and PayPal. These allow customers to seamlessly checkout with stored payment methods.

Gateways like Braintree provide SDKs to easily integrate popular wallets. While Stripe enables express Apple and Google Pay checkouts. Supporting digital wallets boosts mobile conversion rates.

Some providers also accommodate alternative payment methods like cryptocurrency. For example, Coinbase Commerce allows accepting Bitcoin, Ethereum and USDC payments on Shopify. Adding cutting-edge payment types attracts tech-savvy customers.

Cash on Delivery and Offline Payment Options

For online merchants selling high-value physical products, supporting offline payment methods like cash on delivery (COD) can enable additional sales. Gateways like PayPal facilitate COD by integrating with shipping carriers. PayPal releases funds to the merchant once delivery is confirmed by the customer. Enabling COD builds trust without payment risk.

Offline payment support provides flexibility for customers without ready credit card access. Integrations with COD networks through carriers like UPS unlock additional transactions beyond cards.

Integration Ease

No-Code Integration Solutions

Shopify store owners should consider the availability of no-code solutions when evaluating payment gateways. Simplified “plug and play” integration removes the need for advanced technical skills.

Leading options like Shopify Payments and Stripe offer seamless no-code setup right from the Shopify admin. Intuitive workflows get merchants process payments within minutes without touching code. For users lacking development resources, prioritizing gateways with pre-built integrations, like PayPal and Braintree, ensures straightforward activation. No-code solutions save money on hiring developers just to connect payments.

Turnkey integration experiences allow store owners to self-serve payment activation. No need to wait around for developer schedules to align. No-code setup gives Shopify users more autonomy and speed.

Developer Support and Documentation

Payment gateways with robust developer support, documentation, and community resources enable smoother advanced custom integrations with Shopify.

Top options like Stripe and Braintree provide extensive docs for customizing flows via API. Interactive SDK references and sample code accelerate development projects. Active community forums also lend a hand in resolving issues. Other developer-friendly gateways include Shopify Payments with open-source plugins and Square with code libraries across multiple languages. Thorough technical materials get integrations up faster.

For Shopify stores needing tailored payment experiences, trusting a gateway with proven development resources eliminates frustrating roadblocks during complex projects.

Integration with Other Business Tools

When evaluating the best Shopify payment gateways, merchants should examine integrations with other vital business tools like accounting, analytics, shipping, etc.

Leaders in seamless business integrations include Stripe with its ecosystem of connected apps, and Square leveraging tools like Weebly site builder and Square Point of Sale. Tight platform integrations allow unified data flows between payments, inventory, fulfillment, accounting, and more. Eliminating painful manual data reconciliation between siloed systems.

Prioritizing a payment gateway playing nice with your existing or planned business stack results in operational harmony. Streamlined workflows amplify efficiency while minimizing administrative burdens.