Improve Payment Gateway Success Rate with Saved Instruments

Amidst the ongoing disruption in the Indian startup ecosystem, the digital payments space continues to shine forth. As per official data by the NPCI, UPI alone has recorded more than six thousand million transactions worth Rs. 10,62, 747 crores, beating its own records for the previous months. With diverse offerings pushing digital payments adoption at scale, Indian fintech players have been the key contributors to increasing digital payments penetration in the country.

While consumer-related benefits and data are mostly talked about, merchants do play an important role in spreading the reach of online payments. They accept payments via a reliable payment gateway to facilitate seamless payment collection. Even though the Indian payment gateway market is expected to grow at a CAGR of 20.11% during 2022-27 (Source), many merchants are still struggling to accommodate digital payments into the picture of their business.

If you are also waiting to start using a payment gateway, you might want to know more about payment gateway success rate and saved instruments – two of the most common merchant queries these days. Here, we will explore these two aspects in detail.

What is Payment Gateway Success Rate?

Payment gateway success rate can be defined as the proportion of total payment transactions that ended with a successful transfer via a specific payment gateway. This term might have gained popularity after 10 out of the top 30 banks in India recorded payment failures of 3% in UPI transactions in 2020 (Source), making consumers worry about whether to send or not to send payments online.

On the merchant side, payment gateway success rate has become a metric to compare different payment gateways.

Wondering how this success rate metric matters to your business? Consider this example –

You started selling apparel from your brand website and the orders kept on rising from day one. However, you later realized that 10 out of every 100 orders were not approved because of payment failure. This can be the result of technical glitches related to the payment gateway or its overall success rate. From a business point of view, it accounts for losing one out of every ten orders, which is not good.

By considering the payment gateway success rate, you will be in a better position to select a different payment gateway while also addressing checkout flaws in your website if any.

Now, let’s move to the second most common merchant query.

What are saved payment instruments?

Saved instruments refer to the card or bank details that customers choose to save while making online payments. Doing this is beneficial for both customers and merchants.

On one hand, customers do not need to enter their card or bank details again and again to make payments. On the other hand, the merchants will find it easier to accept payments from their consumers almost instantly.

You might want to ask – How is it related to comparing & selecting a payment gateway?

Here’s the catch:

When a customer opts to save the card/bank details while placing an order, that information is stored and handled at the payment gateway side in most cases. It means a reliable payment gateway can also benefit from its wide database of saved payment instruments other than its salient features and business-centric benefits.

Let’s look at how the payment process unfolds with saved instruments.

Payment experience simplified using saved instruments

Assuming you have the right payment gateway integrated with your website, here’s how the consumer journey goes:

A customer adds a few products to the cart and proceeds to checkout.
On the checkout page, he could see the previously-saved instruments – bank accounts, debit cards, or credit cards.
He selects the preferred payment instrument, enters the CVV, authenticates the transaction using an OTP, and it’s done! The order will be placed instantly.

Eventually, you will also benefit from the payment gateway success rate (got where it correlates with saved instruments).

As a merchant, not having saved instruments available to your customers simply means adding another step into their checkout experience. The more complex your checkout process is, the higher the risk of cart abandonment.

Also Read: Top 5 Reasons Why Customers Abandon Their Carts

If you are now convinced about integrating a payment gateway with saved instruments, the next big decision is – Which payment gateway should you select?

And the best answer is –

Simplify Payment Experience for Your Customers with Paytm Payment Gateway

If you want to enhance the customer experience when they buy from you online, now is the time to switch to Paytm Payment Gateway. Being one of the leading payment gateways in India, Paytm Payment Gateway empowers some of the largest brands in the country for payment acceptance. Its massive database of 250 million+ saved payment instruments will help your customers pay you with ease.

With Paytm Saved Instruments, you can enjoy reduced transaction time while increasing the success rate. Furthermore, we offer a maximum range of saved payment instruments in the form of:

Paytm Wallet
Paytm Postpaid
Saved cards – both debit and credit
Saved UPIs (15 million+)
Paytm Payment Bank accounts
Merchant gift vouchers

Other benefits of accepting payments via Paytm Payment Gateway include:

1-click checkout experience with saved instruments
Assured transaction safety
Industry-highest transaction rate
Instant activation backed by 100% online onboarding
100+ payment sources supported
3000+ transactions per second handling capacity
Payment Analytics
T+1 settlements, and more

Explore Paytm Saved Instruments

What more should you know about payment gateway selection?

Since hassle-free payments are a crucial part of your business, it is important that you do the groundwork to understand why the ‘best payment gateway’ is considered the best for different business types. Comparing payment gateways involves considering the features and benefits of different payment gateways before you select any of them.

With a detailed payment gateway comparison, you can minimize all possible hurdles from your customer’s journey. Given below are the steps you should follow to find the best payment gateway for your business: