Integration of Payment Gateway with Mobile Application

A complete guide Integrating The Payment Gateway In Mobile App.1000X600

Nowadays, the e-payment system is connected with mobile commerce apps, and the process of digital transactions is the primary concern of online merchants. In this blog, we will give some reasons why it has achieved popularity as a payment gateway and some primary principles of its implementation in mobile apps.

What is the mobile payment gateway?

A payment gateway is a service which will purchase the products online secure and safe for the clients. With the procedure of buying things from mobile devices or desktop computers, users have made money wired to a payment gateway enabled with the merchant’s account. However, you can also do it with credit cards or other types of internet transaction processing.

The payment gateway is the same as the electronic fund’s transfer at the point of sale (EFTPOS). An in-built gateway is a system that aids mobile or web app users in making the digital fund transfer and will buy items safely and quickly.

A Global Payment Gateway market size was around 26.8 billion in 2021 and is assumed to reach about 106.4 billion by the end of 2030, with a growing CAGR of 16.8% from 2022 to 2030.
A region of North America occupied the market more than 35.8% in 2021. In the US, the SME sector will hold more than 40% of the payment gateway market share in 2021.

How does the payment gateway work?

A mobile application development usually accepts the in-payment at a similar time it manages to get along without a payment gateway and the app system implementation. A gateway is the mediator who will authorize a transaction, helps to encrypt the data, and fill the order. It will link and connect a merchant’s app user’s shopping cart and have the merchant’s bank, which will frequently act as the payment processor, issue the cardholder’s bank. Let’s see some of the suggested sequences of events that will make a payment gateway-driven procedure of online payment:

  • Users will browse the merchant’s store online and select what they wish to include in the shopping cart.
  • For selected items, you have to be paid for now; for this, the card could be charged and must be authorized first.
  • The credit or debit card information and the transaction details are entered into the app for a payment gateway.
  • It will send the data via the payment processor to a cardholder’s bank.
  • The data is sent back via a payment gateway to the app if verification is successful.
  • At last, a gateway will initiate the payment settlement, and the money is viewed in a merchant’s bank account.

What steps of the mobile payment gateway integration process in Android and iOS applications?

You may have heard about a Google Play billing solution and the in-app purchase from Apple. These are the same services that sell digital content on mobile devices. The purchasing mechanism permits you to buy the content only inside the android and iOS applications.

Conversely, a third-party payment gateway didn’t work with digital purchases. Still, it is the way to open the door to selling physical services and products externally from the android and ios apps. It is the one type of miracle button through which you can turn on the payment gateway. The implementation is made in several steps, which involve the use of the following components:

1. Client and Server SDKs:

The payment gateway provider has its software development kit or SDK. It is usually found on the provider’s official websites and is used by the developers connected with an existing app functionality and facilitates the work. A provider’s client and server SDKs will act that enables the collecting and handling of payment information.

2. APIs:

Gateway API keys will help to configure the SDKs and libraries as the vital part of creating the payment gateway integration in mobile apps. It is organized around REST if the sellers want more control over a checkout experience, as they have to go for APIs.

3. Third-party apps:

By utilizing them, you can implement a gateway provider with previous programming experience.

How to select the correct payment gateway method?

While dealing with the configuration and the integration of the payment gateway, every merchant faces the complex decision of selecting a better option. Before making any decision, you should know the answers to the following questions:

1. Gateway is internationally accepted

You can go with the local solution if you have a local business and a provider in your region. However, an international payment gateway makes the global marketplace more accessible when you are excited about cross-border trade. Besides, that later option allows more customers.

2. Is Gateway scalable enough that it grows together with your business?

If you are involved in international business activities, then there are opportunities that your consumer will grow faster in comparison to the local company. It increases your sales volume, and the transaction fee changes may affect this growth.

3. Payment method app users prefer

If you do not want to lose your clients, ensure that there are as many payment methods supported on your mobile app as possible or some of the famous ones used mainly by the users in the market.


4. The payment gateway affects the user’s checkout experience

The availability of a preferred payment method is an excellent example of an app checkout experience. It is necessary to make the checkout experience fast and seamless, too. The credit card payment is integrated faster with the Gateway in your application. Users can check out with at least a single click of a button with the support of APIs and other tools for optimization.

5. Efforts that mobile payment integration needs

Usually, the payment implementation in the Android and iOS apps did not take too much time and effort. However, excellent outcomes demand complex solutions. The bespoke nature of some payment gateway mechanisms involves extra development efforts that take full advantage of the payment gateway.

6. Cost-effective

The use of the payment gateway recommends that transaction fees be paid. The price usually depends on many factors and usually equals a percentage of the amount processed.

What is to be considered before a mobile payment gateway services implementation?

We have a list of the problems that are taken into account during the strategic planning phase; let’s see them below:

1. Merchant account

Merchants are expected and required to have a bank account. These accounts allow you to accept payments via a payment gateway and the processor that sets your transactions.
The former provides its owners with corresponding merchant ID numbers that will make the enterprises easier to identify, stable and secure from fraud. However, account owners will get more control over the transactions, which take less time to complete with a dedicated account.
An aggregate account is enough that turns the payment gateway into the aggregator shared by multiple businesses. Moreover, it is granted to them by the same Gateway of the payment provider.

2. Integrated payment gateway or hosted

Payment gateways are hosted off-site, or it is added to the store. Hosted gateways redirect the consumers to the online payment service provider platforms where all the payment is collected and processed. This process is viable if the provider is well-known to the customers and there is no fear when it is directed from an app or website. Integrated payment gateways are connected to the website or mobile application through APIs, which delivers a smooth user experience but needs more development efforts.

3. Gateway API / Payment Request API

On the subject of integrated gateways, there is the payment of the request API. It will improve the checkout process, helps to purchase the one API call and needs the mobile app users to complete it in a few steps. However, an online payment service provider can deliver its payment APIs, which significantly benefits it.

4. Ease of implementation and maintenance

Ease of development is the most necessary consideration from a programmer’s point of view. Some of the components examined while developing an online payment gateway are how to use the SDKs, a mobile-platform specific, or its grants an implementation in the programming language of their choice.

Well-known Payment Gateway

1. Paypal

With the PayPal payment gateway, a store can give their clients buy now, pay later facilities that increase sales and improve the customer experience. It provides a seamless and secure checkout process. It supports 100+ currencies in its app and has multiple payment methods. It is the top payment app in the USA, used mainly by americans.

2. Authorize.Net is one of the best payment gateway providers in the USA that has fraud detection, supports recurring payments, and gives simplified PCI DSS. It has about 450,000 merchants and handles about 1 billion transactions every year.


Searching for the payment gateway solution that will meet your requirements takes much time and effort as it is complex to integrate the payment system.

Now, you know how to create the payment gateway in the mobile app for your enterprise, and you know the first step is towards the safety and security of the online payment app. If you need more details, you can reach a reputed mobile app development company like Bosc Tech Labs, as we have a team of experienced developers who will give you the best quality of your project.

Frequently Asked Questions (FAQs)

1. What is the mobile payment gateway?

These are the most trending services that sell digital content on mobile phones. As for purchasing the mechanism, it allows you to buy content found inside the android or iOS app.

2. How will payment integrations work?

The payment processor takes the payment information the client has entered into an online store and transmits it to the issuing bank. A payment gateway does the same but has one step further that authorizes the fund transfer between buyer and seller.

3. What is a secure payment gateway?

A payment gateway is a secure connection via which a transaction is submitted to a banking network for authorization, reporting and settlement. A specific payment gateway is used by all businesses in the US and worldwide.

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