Choosing the Best Payment Gateway for Shopify Dropshipping

Choosing the Best Payment Gateway for Shopify Dropshipping

Table of Contents

  1. Introduction
  2. Shopify Payments
  3. Stripe
  4. PayPal
  5. Alternative Payment Gateways
    • Google Pay
    • Apple Pay
    • Amazon Pay
  6. Third-Party Payment Providers
    • First Data
  7. Alternative Payment Methods
    • Alipay
    • Bitcoin
    • Skrill
    • Sezzle
  8. Manual Payment Methods
    • Cash on Delivery
    • Money Orders
    • Bank Deposits
  9. Choosing the Best Payment Gateway for Shopify Drop Shipping
  10. Conclusion

Choosing the Best Payment Gateway for Shopify Drop Shipping

With the surge in popularity of drop shipping, finding the right payment gateway for your Shopify store is crucial for a seamless and efficient online business. In this article, we will explore the various payment gateways available in Shopify and discuss the pros and cons of each option. We will also highlight the importance of selecting a payment gateway that suits your specific needs and target market.


Before we delve into the specifics of payment gateways, let's first understand the basics. A payment gateway is an online service that enables merchants to accept electronic payments on their websites. It acts as a mediator between the merchant, the customer, and the financial institutions involved in the payment process. By integrating a payment gateway into your Shopify store, you can securely process online transactions and offer a seamless checkout experience for your customers.

Shopify Payments

Shopify Payments is the default payment gateway provided by Shopify. It is powered by the renowned payment processor, Stripe. Shopify Payments offers several advantages, including easy integration, seamless checkout experience, and competitive transaction fees. As a Shopify merchant, you can benefit from using Shopify Payments by eliminating the need for third-party payment gateways and simplifying your transaction process.

However, Shopify Payments is only available in select countries, such as the United States. If you are outside of these countries or prefer to explore other options, you can consider integrating additional payment gateways into your Shopify store.


Stripe is one of the most popular payment processors globally and powers Shopify Payments. If you are based in the United States or in a country where Shopify Payments is not available, integrating Stripe as your payment gateway is a viable option. Stripe offers a wide range of features, including automatic payments, advanced fraud detection, and various payment methods. However, it is essential to note that Stripe charges a transaction fee for each payment processed.


PayPal is a well-established and widely recognized payment gateway that operates in numerous countries worldwide. As a Shopify merchant, integrating PayPal into your store allows you to accept payments from customers who prefer using PayPal as their primary payment method. PayPal offers a user-friendly interface, robust security measures, and buyer protection. However, you should be aware that PayPal charges transaction fees, which may vary based on your location and the type of PayPal account you have.

Alternative Payment Gateways

In addition to Shopify Payments, Stripe, and PayPal, Shopify offers a selection of alternative payment gateways that cater to different customer preferences and regional requirements. These alternative gateways include:

  • Google Pay: A digital wallet that allows customers to make purchases using their Google account.
  • Apple Pay: A contactless payment method available to customers with Apple devices.
  • Amazon Pay: Enables customers to use their Amazon account details to make payments on your store.
  • And many more...

When choosing alternative payment gateways, it is crucial to consider your target market and the payment preferences of your customers. By offering multiple payment options, you can cater to a wider customer base and increase the likelihood of completed sales.

Third-Party Payment Providers

Shopify also collaborates with several third-party payment providers, offering you more flexibility in selecting a suitable option for your Shopify store. Some notable third-party payment providers include:

  • A global payment solution that supports various payment methods and offers advanced fraud protection.
  • First Data: Provides secure payment processing solutions for businesses of all sizes.
  • And more...

These third-party providers offer additional features and customization options that may cater to specific business needs. However, it is important to keep in mind that using third-party payment providers might incur additional transaction fees.

Alternative Payment Methods

Apart from traditional payment gateways, Shopify also supports alternative payment methods. These methods enable customers to pay using non-conventional forms of payment, such as cryptocurrencies. Some of the alternative payment methods available on Shopify include:

  • Alipay: A popular payment method in China that allows customers to pay using their Alipay accounts.
  • Bitcoin: A decentralized digital currency that enables secure and anonymous transactions.
  • Skrill: An e-commerce payment platform that offers fast and secure online payments.
  • Sezzle: A payment solution that allows customers to split their purchases into interest-free installments.

By offering alternative payment methods, you can cater to niche markets and attract customers who prefer these unconventional payment options. However, it is important to evaluate the popularity and acceptance of these methods in your target market before integrating them into your Shopify store.

Manual Payment Methods

In certain situations, you might need to offer manual payment methods to accommodate specific customer requirements or regulatory restrictions. Manual payment methods include options like cash on delivery, money orders, or bank deposits. While these methods can be convenient for customers who prefer offline payment options, they may require additional administrative effort and potential risks, such as fraudulent orders.

Choosing the Best Payment Gateway for Shopify Drop Shipping

When selecting the best payment gateway for your Shopify drop shipping store, it is essential to consider several factors. Firstly, assess the availability of payment gateways in your target market and ensure they offer secure and reliable payment processing. Evaluate the transaction fees associated with each gateway and consider how it aligns with your budget and expected sales volume.

Additionally, analyze the preferences of your target audience and select payment gateways that cater to their preferred payment methods. By offering a wide range of payment options, you can enhance the customer experience and boost your conversion rates.


The choice of a payment gateway is a critical aspect of running a successful drop shipping business on Shopify. By understanding the features and limitations of various payment gateways, you can choose the most suitable option for your store. Consider factors such as transaction fees, geographic availability, customer preferences, and additional features offered by different gateways. By providing a seamless and secure checkout experience, you can enhance customer satisfaction and drive revenue growth in your Shopify drop shipping store.


  • Choosing the right payment gateway is crucial for a seamless Shopify drop shipping experience.
  • Shopify Payments, powered by Stripe, is the default payment gateway in Shopify.
  • PayPal is a widely recognized payment gateway available in many countries.
  • Alternative payment gateways like Google Pay, Apple Pay, and Amazon Pay cater to diverse customer preferences.
  • Third-party payment providers offer additional features and customization options.
  • Alternative payment methods like Alipay, Bitcoin, and Skrill provide unique payment options.
  • Manual payment methods such as cash on delivery and money orders accommodate specific customer requirements.
  • Consider factors like transaction fees, geographic availability, and customer preferences when selecting a payment gateway for Shopify drop shipping.


Q: How do I choose the best payment gateway for my Shopify drop shipping store? A: When choosing a payment gateway, consider factors such as transaction fees, availability in your target market, preferred payment methods of your customers, and additional features offered by each gateway. It is crucial to select a gateway that aligns with your budget and caters to the needs of your specific business.

Q: Can I integrate multiple payment gateways into my Shopify store? A: Yes, you can integrate multiple payment gateways into your Shopify store. Offering a variety of payment options can cater to diverse customer preferences and increase conversion rates. However, keep in mind that each payment gateway may have its own transaction fees and requirements.

Q: Are there any payment gateways that support cryptocurrency payments? A: Yes, Shopify supports payment gateways like Bitpay and Coinbase Commerce that facilitate cryptocurrency payments. Integrating these gateways allows you to accept payments in cryptocurrencies such as Bitcoin, Ethereum, and more.

Q: What should I consider when choosing manual payment methods for my Shopify drop shipping store? A: When offering manual payment methods like cash on delivery or bank deposits, consider the administrative effort required, potential risks of fraud, and the preferences of your target market. Manual payment methods can be convenient for customers who prefer offline payment options but may require additional diligence to ensure a smooth process.

Q: Can I change my payment gateway in Shopify after my store is already set up? A: Yes, you can change your payment gateway in Shopify even after your store is set up. However, it is important to consider any potential impacts on your existing orders and data. It is recommended to backup your store data and consult with Shopify support or a developer before making any significant changes to your payment gateway.

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