How to Choose an Online Payment Solution as a Nigerian Business

March 29, 2022
Online Payment Solution

The last decade has seen the profuse digitization of the African business ecosystem.

Digital adoption is even more aggressive in Nigeria as more customers prefer the convenience of transacting business from the comfort of their homes (and smart devices), paying online.

From shopping for clothing to groceries to even betting, very few savours the traditional rigours of queuing up at a physical store, knowing it could all be conducted online.

What does this mean for Nigerian businesses? You would be financially handicapped if you don’t jump on the cashless bandwagon and integrate online payment solutions into your services.

The next question you would want to ask is what parameters you should consider when selecting a payment gateway.

What are the most critical considerations when picking a payment gateway?

We are talking about money here, aren’t we?

If yes, there is no way we can overemphasize the need for diligence when selecting a payment gateway.

Don’t forget that your customer’s payment experience significantly determines if they would do business with you – or even come back after the first transaction.

Below are the core parameters your chosen payment gateway must possess.


If the customer is king, then you must give your buyers all the royalty they deserve by integrating payment gateways that work with a broad spectrum of payment methods.

The contemporary Nigerian has debit cards, with the younger fraction fast adopting more digital wallets.

Choose a payment gateway that is minimally discriminatory and works with a vast number of payment methods Nigerian banks offer their customers.


Some decades ago, hacking was more of an American and European malady. The average African internet user didn’t have to worry about his online security.

Much has changed now, as cyber vandals furiously cast their nets online for Nigerian victims. You don’t want to expose your customers to cyber vulnerabilities when they make payments on your website.

This is why you need a payment processor that prioritizes security. Today, the best payment gateways are decked with cutting-edge encryption to make life extremely miserable for hackers.

Formidable apparatus is now being set up in Nigeria, as seen in domestic cybersecurity compliance protocols. Ensure your chosen solution religiously adheres to guidelines prescribed by the office of the NSA.


It was back in the days of our elders that slow and steady won the race. In a 21st-century Nigerian business landscape, customers want it fast and furious – and rightly so.

Few things can be as appalling to your customers as their online payment taking too long to process on your website.

Choose a payment gateway that boasts top-notch transaction execution speed. And as further icing on the cake, it would help to choose a gateway that will not charge your customers an arm and leg in transaction fees.

No one enjoys paying alarming fees for buying things from you. They will likely not come again if it happens.

Mobile compatibility

You would be mistaken to underestimate the fanaticism of Nigerian youth with mobile devices. The frenetic rave about the latest iPhone phones should adequately educate you on how much your customers love smartphones.

The chances are high that the majority of your Nigerian customers transacting online payments on your website are doing so via their mobile devices.

Therefore, when choosing a payment gateway, choose one that is sufficiently optimized for mobile users.

The payment processor should be fast, fluid, and responsive when customers deploy it on their smartphones.

That said, we have proudly observed the permeation of the Nigerian online space with native fintech solutions. Indigenous payment solutions like Paystack, Flutterwave, and PayU are extensively streamlined to the unique characteristics of the Nigerian business environment.

More than being easy and cheap to install, these payment methods are scalable. This means you pay only for what you use and can ramp things up flexibly as you grow.

It is also interesting to note that the likes of Flutterwave work with more currencies aside from the naira. This opens you to prosecuting international transactions without breaking a sweat.

Not bad, is it?

Dipo Olowookere

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan.

Mr Olowookere can be reached via [email protected]

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