Ideas for Using Payment Methods


#1

Internet payment gateways, like Paypal, add an additional cost to your enterprise. They offer a great service and can save time in accounting and processing. But customers really don’t like it when they get to the checkout and get hit with an unexpected set of fees. And as an enterprise it’s hard to watch those fees disappear from tight margins. One way around this is to include the fees in the price of your products, but then customers that pay cash get hit too.

OFN offers one solution to this conundrum. Instead of adding a checkout fee to customers that want to use a internet payment gateway, you can instead offer a discount for users that pay by a fee payment method (like Cash On Delivery).

How to do this:

  1. Follow the instructions here for setting up a new payment method buuuut…

  2. At the bottom in the Calculator section set your Calculator Type (we recommend either Flat Rate or Flat Percent). Press update (you will get to set the amount in the next step):

  1. Once updated you will see the box into which you can set the amount. Enter a negative amount. For example if you want to offer a 4% discount to people who pay by this payment method select “Flat Percent” then enter “-4”. If you want to enter a 50p discount select “Flat Rate” and enter “-0.5”.

  1. Ensure this payment method is available in your Payment Methods list:

  1. Now when you set your prices or enterprise fees you can ensure the correct amount is added to the product prices. Full instructions found here. For example if add a 4% enterprise fee to your products then the customer will see 4% added to the price of every product then will be happy to see a discount at the checkout if they want to pay cash. Users that want to use a payment gateway will not be put off as their price has not changed.

And in their invoice: