How does Stripes tokenization work

Take the customer perspective

A key goal in e-commerce is to make it as easy as possible for customers to complete a purchase. A study by ECC Cologne in cooperation with the University of Aschaffenburg showed that online customers place great value on payment methods when shopping. In Germany, certain online payment systems have become the favorites of individual customer target groups, while others, on the other hand, are particularly popular with online retailers. The trick is to reconcile the needs of shop owners and customers.

  • the most popular payment methods on the internet
  • E-payment: innovative, fast and secure
  • Strengthen the trust of your customers with Klarna invoice

The most popular online payment systems in Germany

  • invoice
    Payment on account is the most popular method among German customers because it only takes place after the goods have been delivered, so that they can be checked beforehand. The disadvantages for you as a retailer are obvious: a risk of payment default and high security costs. The sending of reminders, in the worst case the involvement of a debt collection company, mean additional expenditure in terms of time and money for you.
    Nevertheless, this method remains an indispensable payment method in some industries. For example, many customers, especially in online fashion shops, prefer to shop according to the old shop motto: "First look, then buy". Anyone who runs a fashion online shop and does not offer payment on account is doing himself a disservice. The Klarna invoice option, which you can offer as an interface via Mollie, can represent a compromise for both parties. STRATO also helps you to create a correct invoice using invoice samples.
  • Credit card
    The internationally established credit card is one of the most frequently used means of payment in Germany, Austria and Switzerland. The principle: Payment is made at the time of purchase via the credit card company or a bank. Fee: Depending on the credit card provider and industry, you as a retailer have to cede part of the sales amount to the credit card company. This can amount to 0.7 to 3.2 percent of sales. Advantage: The widely used credit cards offer you a relatively high level of security and a largely automated transaction process.
  • SEPA direct debit
    Shopping by direct debit has established itself as the third most popular payment method on the Internet in Germany. For customers who neither have an account with a common e-payment provider nor a credit card, this is the simplest alternative. Principle: The customer's account is debited as soon as you as the merchant request the money. To do this, the buyer must submit his bank details in advance and give you, the merchant, permission for direct debit. Advantage: The direct debit is considered relatively safe and cost-efficient.

E-payment: How to make it easy for yourself and the customer

"E-payment" refers to electronic payment transactions, which can include traditional payment options as well as modern online payment systems. In addition to the methods already mentioned, other innovative processes have emerged from various companies, which on the one hand should make it easier for the customer to complete a purchase and to carry out transactions; and which, on the other hand, also use tried and tested payment methods. The providers guarantee good service, attach particular importance to seller protection and their systems are already established with the broad mass of consumers. Here are some examples:

  • Skrill
    The e-payment service provider combines more than 20 online payment systems, works with more than 80 banks worldwide and simplifies the processing of payments. You need a Skrill user account to integrate the service on your website and bundle your preferred payment methods. The transaction fees on receipt of a payment amount to 2.9 percent of the invoice amount.
  • Instant bank transfer
    The online payment system can be easily integrated into any web shop and works with the customer's online banking data. As soon as all the necessary data has been transmitted, you as the seller will receive an immediate confirmation of payment and the legitimation to collect the amount of money from the responsible financial institution yourself. The system is considered to be relatively secure because you, as the seller, receive all important bank details. The transaction fees are at least 0.9 percent of sales.
  • Amazon Payments
    With Amazon Payments, a payment method is currently establishing itself on the Internet that relieves you as a seller of a lot of work and offers your customers good service. Buying Amazon with one click, which many of the users are probably familiar with, gives your own web shop credibility and sends a signal of trust to all new customers. It also brings existing Amazon customers together with your online shop. However, since this is an online marketplace, you have to think carefully and weigh up whether the connection with Amazon is profitable for your shop or rather bad for your own branding. If you sell a unique product that is also unrivaled on Amazon, Amazon Payment remains a practical payment method for your business. The transaction fees are 1.9 percent and EUR 0.35 per payment.
  • PayPal and PayPal Plus
    With STRATO you can set up an interface to the market leader in online payment systems: PayPal. This online service can be used internationally and you can activate it via the administration area of ​​your STRATO web shop. As a merchant, you benefit from the efficiency of payment processing and the service provider's many years of experience. In addition, PayPal Buyer Protection creates trust with your customers. PayPal Plus allows z. B. also payments by credit card; As a customer, you don't need a PayPal account.
  • Ingenico Payment Services
    Ingenico is ideal if, in addition to online payment methods for your web shop, you also need payment terminals in local shops. The data processing takes place in real time and is extremely well protected by tokenization.
  • Stripe
    Stripe, an up-and-coming company for online payment systems from the USA, operates in 25 countries and scores in particular with its excellent service. Should you ever need to migrate your customer data from one webshop system to another, Stripe is well prepared for it.
  • Mollie
    Thanks to smart integration, Mollie can offer payment methods at a particularly fair price - without registration fees, subscription costs or other hidden costs. You only pay for successful transactions. All functions such as daily payouts, detailed analysis options and the simple export of data are part of the service at Mollie. Mollie is always working on improvements and the expansion of its products, payment methods, functions and integrations. More than 40,000 innovative companies of all sizes already use Mollie for their monthly payments.

Offer customers secure payment options with Klarna

With Klarna invoice you can offer your customers an uncomplicated order on account and by partial payment. To do this, simply use Mollie as an interface. Since purchase on account is the most popular payment method in Germany, this payment solution is definitely worthwhile for your online shop, because it reduces the abandonment rate.


Klarna takes the risk for you

Klarna bears the full risk for orders for which Klarna invoice has been selected as the payment method. So you have the guarantee that you will receive your money with every order - regardless of when and whether the customer pays his invoice. But not only you, but also the "online shoppers" benefit from Klarna, as payment is only due after receipt of the goods. This allows your customers to check the goods first before making the payment.


Klarna invoice offers security and data protection

Numerous certificates and awards prove that Klarna invoice is a trustworthy provider, for example the “Approved payment system” certificate from TÜV Saarland. With this certificate, buyers and sellers can be sure that their data will be treated confidentially. In addition, the information security management system is ISO 27001 certified by TÜV Süd. The provider also received awards from Trusted Shops and EHI Geprüfter Online Shop.

You can provide your customers with payment on account with Klarna via Mollie as an interface. Simply implement Klarna with the Mollie Orders API, or use a plugin. Then activate Klarna in your dashboard and you can use Klarna payments within 2 days.


It's all in the mix

Customer-friendly payment methods contribute significantly to the success of an online shop. The payment methods should be adapted to the needs and purchasing behavior of the target group so that site visitors actually make a purchase. In addition to the payment method, the transparent design of the purchase process also plays a role so that customers trust your shop.

Regardless of which payment method you choose: Please always note the button solution that has been in effect since 2012 and ensure maximum transparency during the payment process. This also includes the open provision of the terms and conditions and the imprint.

Our tip:
Assign a payment service provider to manage and coordinate the transactions. If the payment processes for your web shop become more complex and require more intensive customer care for the buyer, you have an expert at your side who is familiar with the handling of payment procedures and their complex provisions.


Conclusion

  • Purchase by invoice is one of the most popular online payment methods, as payment is only made after the goods have been received.
  • The number of electronic payment service providers is growing rapidly. E-payment service providers such as Skrill, Sofortüberweisung, Amazon Payments, PayPal or Mollie attach particular importance to seller protection and data security.
  • With Klarna you can offer a purchase on account or in part payment. Klarna is one of the safest online payment systems and is ISO 27001 TÜV-certified.
  • Especially with complicated payment methods for your online shop, we recommend a payment service provider who manages and coordinates all transactions.