A payment method is a way that customers pay for a product or service. Payment methods can include cash, credit cards, debit cards, gift cards, mobile payments, direct debits, standing orders, bank to bank payments, e-wallets, payment processors, and more. Within each type of payment method, there are often multiple payment options. For example, payment processors can include Stripe, Authorize.net, Braintree by Paypal, Shopify Payments, and more, while credit card options can include American Express, Mastercard, Visa, and Discover.
The number of ways in which merchants can collect payments from their customers is vast, with more than 200 alternative payment methods worldwide. Offering multiple payment options is generally good for customers, as it allows them to choose their preferred method and can increase the likelihood of completing a transaction. However, its important to strike the right balance when determining which and how many options for different payment methods to offer your shoppers.
