🤔 What is the Payment Processing Fees Report?
Collecting payments through multiple payment gateways is an integral part of any ecommerce business. However, as the fees usually vary by processor, tracking the amount of fees paid is not an easy task. Having a thorough understanding of the concept, as well as knowing how to monitor this indicator and use the statistics to make strategic decisions is a must.
A payment gateway is any platform that allows you to take credit card payments in either online or brick-and-mortar settings in exchange for a certain processing fee. Payment gateways act as intermediaries between you and your customers and help to simplify the process of completing a transaction while encrypting the customer’s information.
Payment processing fees (also known as gateway fees) are the total costs incurred by a business in order to process customer payments through all connected payment gateways.
The Payment Processing Fees Report by Synder shows how much a business is charged by all the payment gateways they have to cover the costs of receiving and processing customers’ transactions.
⚖️ How is the Payment Processing Fees Report calculated?
To calculate the Payment Processing Fees Report, Synder pulls in real-time data from all the connected platforms and generates a report where you can see the total amount of fees paid to your payment gateways, or the amount of fees paid to each individual processor. Note that no other expenses are included in this report.
🔎 What do these numbers tell us?
It’s quite common for payment gateway providers to charge a fee for each transaction that goes through the solution. In lots of cases, however, this also includes a fraction of each purchase and a flat rate on top. Some providers may also include their additional pricing. Don’t forget that some other charges such as monthly subscription fees may also be applied.
The Payment Processing Fees Report helps you track your finances and make sure that the fees you pay are justified.
📈 What can be done to grow sales based on these numbers?
Having a comprehensive report where you can see the total amount of fees paid to each provider helps you see if this partnership is worth it. For example, if a payment gateway is not popular with your customers and the fees are high, it’s time to reevaluate using it. Sometimes it’s better to spend the money elsewhere.
Let Synder Business Insights do the numbers so that you can focus on the right strategies for your business!