Recently we have witnessed a significant transformation in its digital landscape, from mobile banking to e-commerce, the region is embracing technology at an unprecedented rate. The 2D (two-dimensional) payment gateway is one crucial component driving this change. But what exactly is a 2D payment gateway, and why is it so important for East Africa? Let’s delve into the details.
A 2D payment gateway is a payment processing system that verifies card information on two levels before authorizing a payment. Through this interface, clients can input essential card details such as the card number, expiration date, and CVV (Card Verification Value) code provided by their card issuer or issuing bank.
There are two primary types of payment gateways: 2D and 3D (three-dimensional). Here are the key differences between them:
The process of using a 2D payment gateway is straightforward:
Simplified Checkout Processes: With 2D payment gateways, customers directly enjoy a seamless checkout experience on the merchant's website. This streamlined process reduces friction by eliminating redirection to external pages and requiring an OTP, leading to quicker transactions and higher satisfaction rates.
Increased Conversion Rates: By minimizing distractions and friction from 3D payment gateways in checkout, 2D payment gateways significantly reduce cart abandonment rates. This seamless experience encourages customers to complete their purchases, resulting in higher conversion rates for merchants.
Broader Accessibility for International Transactions: 2D payment gateways support multiple currencies and payment methods, allowing merchants to cater to a global audience. This broader Accessibility enhances the shopping experience for international customers, driving sales growth worldwide.
Security and Fraud Prevention Measures: 2D payment gateways employ advanced encryption and tokenization technologies to protect sensitive payment information from fraudsters. While 3D payment gateways are more secure than 2D payment gateways, real-time fraud detection algorithms further enhance security, instilling confidence in both merchants and customers in 2D payment gateways.
Cost-Effectiveness and Convenience: With competitive pricing structures and straightforward integration processes, 2D payment gateways offer cost-effectiveness and convenience for merchants of all sizes. From setup to day-to-day operations, these gateways empower merchants to focus on growth and deliver exceptional customer experiences.
Register For A Pesapal Account Today
Get Started