Payment gateway

What is a payment gateway?

When a customer makes a payment in your online store, the payment gateway handles the technical aspects of the transaction. It receives card information, verifies it via 3D Secure, checks the cardholder’s available balance with the card issuer, and processes the payment. All of this happens in a matter of seconds, encrypted and securely.

The payment gateway is the link between your online store and the financial infrastructure. Without it, you cannot accept online card payments.

Three things you need for online payments

1. A shop system —to manage orders, products, and customer information (e.g., Shoporama)
2. A payment gateway — the software that connects your store to the payment infrastructure
3. A merchant agreement — an agreement with an acquirer (bank) that allows you to accept card payments and receive the funds

Some newer solutions, such as Stripe and OnPay, combine the payment gateway and acquiring services into a single package, so you don’t need separate agreements.

How a payment works

When a customer clicks “Pay” in your online store, the following happens:

1. The online store sends order details (order number, amount, currency) to the payment gateway
2. The gateway displays a payment form where the customer enters their card information
3. The card details are sent in encrypted form to the card network (Visa, Mastercard, etc.)
4. 3D Secure verification is performed (the customer’s bank authorizes the payment)
5. The gateway receives a response and sends a confirmation or rejection back to the online store
6. The online store creates the order and sends an order confirmation to the customer

How much does a payment gateway cost?

The pricing model varies by provider but typically consists of:

• Monthly subscription: Typically 0–250 DKK/month, depending on the provider and plan. Some offer free plans with limited functionality.
• Transaction fee: Typically 0.25–1.00 DKK per transaction. Some charge a percentage instead of a fixed amount.
• Acquirerfee: Typically 1–2% of the transaction amount, paid to the acquirer.
• Additional fees: Possible extra charges for fraud protection, 3D Secure, or special payment methods.

Payment Gateways in Shoporama

Shoporama integrates with a wide range of payment gateways, so you can choose the solution that best suits your business:

• Stripe — A modern platform that combines a payment gateway and acquiring services in a single package. Easy setup via OAuth; supports cards, Apple Pay, and Google Pay.
• OnPay — A Danish solution that combines a payment gateway and acquiring services. Simple pricing and excellent Danish customer support.
• QuickPay — One of the most popular payment gateways in Denmark. Flexible with many acquiring partners.
• DIBS (Nets Easy) — Major Scandinavian provider with the Easy Checkout solution.
• ePay (Bambora) — A Danish gateway with broad support for payment methods.
• Mollie — A European gateway with simple pricing and many local payment methods.
• PayPal — A global solution widely recognized by consumers.
• Payson — Swedish payment gateway, popular in Scandinavia.

Payment Methods Other Than Cards

Modern consumers expect more payment options than just Visa and Mastercard. The most popular in Denmark are:

• MobilePay Online — By far the most widely used mobile payment method in Denmark. Available through most payment gateways.
• Apple Pay and Google Pay — Fast payments via smartphone, especially through Stripe.
• Klarna — Buy now, pay later (BNPL) with installment payments or an invoice.
• ViaBill — A Danish BNPL solution with installment payments.

How to Choose a Payment Gateway

When choosing a gateway, you should consider:

• Payment methods: Does the gateway support the methods your customers prefer? MobilePay is practically a requirement in Denmark.
• Price: Compare monthly fees, transaction fees, and acquiring fees in total. A cheap gateway with expensive acquiring fees can end up costing more.
• Setup: How easy is it to get started? Solutions like Stripe and OnPay require minimal setup.
• Support: Danish-language support can be crucial if payment issues arise.
• Security: All reputable payment gateways support 3D Secure and PCI DSS compliance, but make sure that SCA (Strong Customer Authentication) is implemented correctly.