What is a "link-type payment" that can be used with no-code and low-code? Introducing Link Type Plus that can be used both in-store and online

With the expansion of the e-commerce market and non-face-to-face business, as well as the impact of the government's cashless policies, the way payment is undergoing significant changes. In particular, there is a growing need to move away from payment methods like Bank transfer and cash on delivery for faster and more secure payment methods.

Against this background, the introduction and use of cashless payment is expanding, and "link-type payment" is attracting attention, especially for businesses that have difficulty preparing development resources, and the "link-type " that completes payment from a link sent by email or SMS without building an e-commerce site or payment system.

In this article, the GMO Payment Gateway (hereinafter referred to as GMO-PG), which supports the introduction and operation of many payment by domestic operators, will discuss the mechanism of link-type payment (email link payment SMS payment), specific benefits and precautions for introduction, and​ We will explain in an easy-to-understand manner the key points for choosing the best service for your company. Read this article to find the best payment implementation method for your business.

What is a linked payment?

Linked payment is a mechanism that sends a business issued payment-specific URL (link) to a customer, who can click on the link to complete the payment on an external payment screen. Among them, the method of sending links by email is also called "email link payment" and is widely used as a means of billing and collecting money in non-face-to-face transactions.

The biggest advantage of link-type payment is that it does not require system modification of the e-commerce site, so the hurdles to introduction are low, and it is a payment method suitable for businesses that do not have an e-commerce site or non-face-to-face businesses where the price is determined after quotation and reservation.

Since you don't need to build your own payment system, you can achieve smooth transactions while keeping implementation costs low.

How linked payment works and what are they like?

The flow of a linked payment is simple and can be completed in three main steps:

1. Merchants: payment processing company Generate payment links (URLs) based on the transaction through your company and send them to your customers via email or SMS.
2. Customer: Click the link you received and enter your credit card information and other information on the payment screen of the destination.
3. payment processing company Company: Receives customer input and communicates the information to payment institutions (e.g., credit card companies). When the payment is complete, merchants are notified of the results.

In this system, merchants do not retain any confidential information such as credit card information, so they can maintain a high level of security.

Types of Linked payment

Linked payment can be divided into several types depending on the transmission method and usage scenario. Choose the format that best suits your company's sales style and customer base.

Introducing the use of link-type payment

Link-type payment is being introduced especially in industries where it is difficult to integrate e-commerce site systems and businesses where billing amounts fluctuate.

• Service industry: moving, remodeling, repair, house cleaning, etc. (price confirmed after estimate)
• Reservations and classrooms: lessons, lessons, hotel and travel reservations (additional fees and cancellation fees will be collected)
• Professional Services: Legal Consultation, Consulting, Medical Institutions (Non-face-to-Face Billing and Collection)
• Real estate: Rental brokerage, management (collection of initial costs, renewal costs, etc.)

In these verticals, even if the billing amount fluctuates, the payment can be completed by simply sending the payment, making customer interactions smoother.
With the expansion of non-face-to-face transactions, linked payment will become an increasingly important payment method in the future.

In this way, link-type payment is being introduced in a variety of business types, and is attracting attention as a mechanism that can provide smooth payment even non-face-to-face. If you are considering implementing, please check the link-based payment documentation in "PG Multi-Payment Service" for more information and consider the best implementation plan for your company.

Benefits of implementing link-based payment

Linked payment has many benefits for both the adopter and the customer. Here are four typical benefits.

Advantage 1. Easy to implement without development

The biggest feature of link-type payment is that you don't need to build an e-commerce site or a dedicated server. Simply issue a payment link and send it via email or SMS to get your online payment deployed in no time.

There is no development burden on your own system, and the initial cost and implementation period can be greatly reduced, making it easy for small businesses with limited resources to get started.

In addition, cashless payment can be provided in Card Present Transactions scenes such as physical stores simply by installing a QR code, making it possible to introduce it at a low cost and quickly.

Advantage 2. Customers can easily complete the checkout process

The customer simply clicks on the link they receive to proceed to the payment process. There is no need for cumbersome inputs or membership registration, which greatly reduces the risk of leaving in the middle of the purchase process.

Especially in today's world where purchases are made from smartphones and tablets, a smooth payment experience across devices directly translates to increased customer satisfaction and close rates.

Advantage 3. Security Strengths (Safety)

Linked payment operates in such a way that the business does not retain the customer's card information. Many payment processing company companies are PCI DSS compliant and have identity authentication features such as "3D Secure", which can reduce the risk of fraud.

This eliminates the need for individual data leakage measures and allows operators to deliver payment with confidence in a secure environment.

Advantage 4. Easily accommodates diverse payment method

By going through payment processing services, you can provide a one-stop service not only for Credit card payment, but also for multiple payment method, such as CVS Payment, QR code payment, etc.

By increasing customer choices, it is possible to prevent cart abandonment (abandonment in the middle of a purchase) and attract a wide range of customers.

What to look for when implementing link-based payment

While link-type payment is easy to implement and highly convenient, there are some points to keep in mind when operating. Here are two points to keep in mind in particular.

payment Depends on the customer's communication environment

Linked payment send links via email or SMS, so there is a risk of missing them depending on the customer's environment.

• For email: Failure to arrive due to spam filter or incorrect address registration.
• For SMS: Missing due to signal conditions or contract carrier specifications.

Also, payment links often have an expiration date, and once they expire, the payment cannot be completed. To prevent such problems, it is necessary to devise operational aspects, such as setting expiration dates and utilizing the retransmission function.

Fees vary depending on the payment processing services

The implementation cost of a linked payment consists of three components: an upfront cost, a fixed monthly fee, and a payment fee. In particular, payment fees range from a few percent to around 10%, depending on the service and product.

The commission is generally around a few percent to 10% of the payment amount, but the amount of the burden varies depending on the unit price of the product handled and the transaction volume.

Therefore, it is important to compare not only the price but also the support system, security level, and implementation Actual to select the best service for your business model.

Comparison points for linked payment services

When implementing a link-based payment, it's important to compare multiple services and choose the one that works for you. In particular, let's focus on the four points: fee structure, response payment method, customizability, and support system.

Pricing and payment fees

When considering implementing a link-based payment service, it's important to compare three things: initial cost, monthly fee, and payment fee. Even if there are no initial or monthly fees, there are cases where the fee per transaction is high.

Also, the actual cost will fluctuate depending on the time and effort involved in the implementation and the availability of support, so avoid making decisions based solely on the price list. It is important to consider your company's handling volume and sales format and choose a service that balances costs in the long term.

Can you accommodate the payment methods of your services?

When introducing a link-based payment, you need to make sure that it includes a payment method that can support the products and services you provide.

For example, whether it supports recurring payment, such as subscription, pre-order, or subscription type, is an important criterion. Additionally, make sure that you cover the payment methods that customers want, such as credit cards, carrier payment, convenience store payments, and Bank transfer.

Customizability and operation and management methods

When implementing a linked payment, you also need to make sure that the customizability and management capabilities are appropriate for your company's operational flows. Depending on the service, you may have different degrees of freedom to change the text of your billing email, display your brand logo, or link customer data.

Check whether you can achieve the payment you want to achieve in your company (e.g., brand unification, customer attribute management) before implementation. In addition, the usability of the management screen and the real-time confirmation of payment status also affect the efficiency of daily operations.

Support System and Implementation Actual

Linked payment is a payment business that involves trust with customers, so it's safe to choose a service with support and Actual to implement. Check whether there is a contact point that can respond quickly in the event of a problem, and whether there is support and API integration support in place during implementation.

In addition, Actual rich services tend to be more reliable in terms of security and stable operation. Compare case studies and response Actual by company size to choose the right service for your company's operational phase.

If you are introducing a "link-type payment" PG Multi-Payment Service

If you want to smoothly implement link-based payment, we recommend using "PG Multi-Payment Service Link Type Plus" to manage multiple payment method at once.

As a leading company in payment processing industry, GMO-PG has a wealth of implementation Actual from major e-commerce companies to SME customers.

Why PG Multi-Payment Service?

• Diverse payment method at once: In addition to linked payment, you can deploy more than 30 types of payment method, including credit cards, CVS Payment, carrier payment, and buy now pay later, all from a single contract and management screen.
• Highest level of security: fully PCI DSS compliant with fraud detection system.
• Comprehensive Support System: From pre-implementation consulting to post-operation trouble response, our dedicated staff will respond promptly and attentively.

Summary

Linked payment is a convenient and secure mechanism that allows you to provide online payment without having an e-commerce site. By enabling payment via email and SMS, billing and collection operations in non-face-to-face businesses can be greatly streamlined, and contributing to increasing the closing rate by improving customer convenience.

When implementing it, it's important to carefully weigh the pricing structure, the breadth of the payment method support, and most importantly, the support system with the Actual in the country.

payment If you are unsure about choosing a service, first check the GMO-PG "PG Multi-Payment Service" document. We will suggest how to use the link-based payment that best suits your business model.