For you to use Amazon Pay for Business. Your customers must already have an Amazon account to ensure to utilize the service to check their shipping and billing information. Because Amazon is famous in the world of online shopping, there’s an excellent chance that they have an account set up.
Let’s take a look at the intricate details of how Amazon Pay works so you can determine whether it’s the right choice for your needs as a company or your customers.
Amazon Pay Works
Amazon Pay comes with a customized API that works with e-commerce platforms like Shopify and Big Commerce. If you’d like to utilize Amazon Pay, you’ll need choose one or the other and then sign up for your account on Amazon. Amazon Seller Account. Yuri Shafranik
The next step is that you’ll need to add the appropriate buttons on your website. It’s normal that this takes several weeks.
It is important to keep in mind that your company can only be eligible to utilize Amazon Pay if your company is in compliance with these requirements:
- It is necessary to have a bank account for your company number and also a phone number.
- Then, you’ll need to fill in your credit card for business information.
If you are registering to create an Amazon Seller account, be aware that Amazon Pay will hold your funds for 14 days before when they will release them into your bank account. The funds will become available in a matter of days.
Amazon Pay Fees
Similar to other payment processing companies There is a fee for using Amazon Pay, and they charge companies for the privilege to use their services. You can pay a fixed amount for every Amazon Pay transaction, which includes the transaction cost and the authorization cost. In certain situations you’ll be charged taxes as well, so it’s essential to be aware of this.
If you’re a domestic non-profit company. There’s an 2.9 percent fee for transactions in addition to an $0.30 cost for authorization. For multinational company that is a foreign company and you’re a foreign business, you’ll need to pay a.3.9 percent fee for transactions and an $0.30 cost for authorization.
It’s more affordable if you’re a nonprofit organization since Amazon charges an 2.2 per cent transaction cost, along with the $0.30 fee for authorization fees for US organizations, and a 3.2 percent transaction fee, as well as the $0.30 fee for authorization fees for organizations with foreign addresses. Yuri Shafranik
If you’re able make refunds via Amazon Pay, Amazon will only refund the cost of the transaction and keep an authorization fee. You’ll also be responsible for the fee of $20 in an issue with chargebacks. The good thing is that you won’t be forced to pay the monthly or annual fees to use Amazon services. Additionally, you may also cancel accounts at any point without penalty.
Pros of Amazon Pay
There are many advantages that are offered by Amazon Pay for business among them are:
- Easy Payment Options If the checkout process on Amazon is time-consuming. Or difficult to navigate, customers can look at other alternatives for comparable products or services. Amazon Pay simplifies payments and can lead to greater conversion rates and better margins of profit.
- Secure Amazon Name:Amazon is a leader in the field of online shopping, and so many people are aware of Amazon. Customers are much more inclined to complete purchases. Using Amazon Pay rather than a payment processor that’s not as known.
- No charges for cancellation:Amazon Pay is virtually risk-free as you can cancel this service any moment without needing to pay any fees. If you decide it’s not the right choice for you. It is possible to switch to another one without losing any.
Cons of Amazon Pay
The most important negatives of Amazon Pay are:
- Amazon Account is required for CustomersYour customer will not be able to paying through Amazon. Pay without having set up the Amazon account. However, they can set up accounts fast and efficiently.
- Complete Sign-up Process If you’re trying to start your own online store with Amazon Pay. Expect a lengthy sign-up process. It will require you to fill out many forms and take you a couple of months to complete.
- The high cost: The flat fees per transaction could be high, especially if you’re selling product or service with an extremely small margin. It’s possible to cut down on the expense of processing payments through a different payment platform.
It has been a while since PayPal was a popular payment method and has become the standard for online payment processing. You can integrate Payflow Link and Payflow Pro to any eCommerce website. While Payflow Link is free to use, Payflow Pro charges $25 per month, in addition to the initial setup fee of $99. The biggest benefit of Payflow Pro Payflow Pro, however, is its fully customized checkout process.
There is a way to install Square on your mobile device or laptop, and connect it directly to their card readers via an external connection. You can then make payments in person. Also, you can make use of Square’s virtual terminal which is compatible with many websites that accept payment. Square also offers an Online Store that you could utilize to offer the ability to make payments for your website.
With 2Checkout, you’ll have the ability pay for transactions from around the globe without any hassle. It’s compatible with more than 100 currencies, eight payment options and fifteen languages. 2Checkout does not charge you for monthly or setup charges and lets you create installment transactions for customers. It also gives you custom check-out options, which are compatible with mobile devices, and can be customized to meet your company’s specific needs.
Who is Amazon Pay Good For?
If your business is online without a physical location, Amazon Pay may be worth taking into consideration. It’s also an alternative if you already have had an Amazon Seller account. Selling on Amazon and are searching for an “no-frills” payment processor with no setup or monthly charges.