Payment Gateway in Switzerland

A Swiss Payment Gateway: The Right Payment Solution Tailored to a Demanding Market

oayment gateway switzerland

The online payment sector in Switzerland continues to innovate by following changes introduced by the global regulatory framework. Payment processors focused on customer-oriented solutions and seamless payment experiences are creating competitive pressure on traditional financial service providers.

How can Swiss businesses take advantage of payment gateways based in Switzerland?

The demand for more personalization and the need to adapt to new technologies and standards has forced payment companies to offer customer-oriented solutions. At the same time, a number of banks are lagging behind technologically. The European banking industry is under pressure, as fintech has boomed in the last few years. The same is happening in Switzerland.

Fifty-nine percent of Swiss banks offer less than half of their products or services online. Eighty-seven percent of banks optimize their products for mobile use, but only a third of them provide their clients with fully optimized mobile banking.

Most Swiss banks are still living in the 90s and show very little understanding of digital technology. Banks still lag behind fintech firms when it comes to user experience. The modus operandi hasn’t changed significantly over time. There’s still a knowledge gap because the mindset of banks is built on siloed departments.

While big banks have noticed a two-digit drop in their market share in recent years, fintech companies based on the newest technology have scaled massively. They have much more to offer to online businesses and their customers. How can a reliable payment provider change the way Swiss businesses accept online payments?

An overview of online payments in Switzerland

Statista states that the total transaction value in the digital payment segment in Switzerland will amount to €18,533,000 in 2020, with a total transaction value worldwide of €1,708,142.

online payments in Switzerland
Source: Statista.com

The payment market in Switzerland is undergoing a significant change. The most common payment methods, besides cash (98% usage share), are online bank transfers and debit cards (both 93%) and online payments by credit card with 86%.

payment methods in switzerland
Source: Swiss Payment Monitor 2019

Those numbers shouldn’t be surprising because credit cards offer the highest protection for the consumer when it comes to fraud and chargebacks. As we all know, security is in the Swiss’s roots.

Mobile payments are on the rise

According to PwC’s Mobile Payment Report 2019, 52% of people under 30 in Switzerland use mobile payments, and seven out of 10 Swiss under 40 will use mobile payments in the near future. The Swiss Payment Monitor’s report states that more than 90% of people are now familiar with the payment method. People carry their smartphones everywhere, so naturally, mobile has displaced standard payment methods.

Still, many businesses are afraid of new technology and ask themselves whether they are ready for mobile payments. However, PwC’s report also shows that fintech companies are the second most trusted institution in Switzerland (right after banks).

what payment methods
Source: Swiss Payment Monitor 2019

Studies show that new payment methods are growing in popularity. Therefore, fast-growing Swiss companies should partner with payment platforms based on the latest technology and provide solutions that increase their chances of competitiveness on the market.

Payment security at the forefront

Security is an integral part of online payments, and it’s in the Swiss DNA. It’s also one of the most important factors when choosing a payment method. Before you make a final decision, make sure that the payment processor you’re considering offers complete encryption and various layers of fraud prevention.

The most common methods to fight fraud are data analysis, pattern recognition, anomaly detection, multi-layer security, and risk assessment. Search for payment security solutions that will help you minimize your risk of a data breach.

Enhanced efficiency for payment processing: The Swiss way

Because credit cards are widely used both internationally and domestically in Switzerland, Swiss companies that run online sales need to find a reliable payment partner that will enable them to offer a seamless card experience for their customers.

Bearing in mind Swiss specifics, online businesses based in Switzerland should consider working with payment processors with Swiss roots (SecurionPay is one of them) that know the market inside out and provide features for advanced payment services.

Here’s how Swiss companies can benefit from working with SecurionPay:

Competitiveness in both the Swiss and global markets, combined with a network of local partners for a better understanding of demanding customers’ needs, so that you can adjust your offers and address the gaps between their expectations
Relationships with international banking partners so that you can expand your business globally while following all market regulations
No extra fees—one of the main factors when deciding which payment method to choose
Multilevel security and PCI level 1 compliance—a complete set of anti-fraud tools to fight back effectively
Swiss precision and well-designed payments that are important for your business’s credibility
Faster transaction processing—payments completed in seconds without any interruptions or disruptions
Lower IT and development costs thanks to a seamless integration based on your setup, programming language, use cases, and more
Lower payment processing costs across markets and in various currencies
Custom payment scenarios with full flexibility so that you can enjoy the freedom of choice (a typical Swiss way) and run your business with your needs in mind
Simplified user flow and payments without redirections
24/7 real-time reporting—you’re always informed of what’s happening with your payments so that you can react as soon as an incident happens

Up to you

The payment market in Switzerland has changed tremendously in recent years, creating a number of options and a competitive landscape for online businesses.

Naturally, the increasing global penetration of the internet and new technologies will bring along new competitors. Companies that stick to legacy infrastructure will lose a major part of the market. Choose your payment partner wisely.

Are you looking for a payment gateway for your Swiss company? Contact us. We’re happy to help!

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Sandra Wróbel-Konior

Sandra Wróbel-Konior

A well-established Content Marketing Specialist with a tech-savvy personality, experience in writing, and a passion for reading. Staying up to date with the latest technology and social media trends, in love with GIFs and craft chocolate.

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