WooCommerce Difference Between PayPal and PayPal Checkout

Do you want to know the difference between PayPal and PayPal Checkout? PayPal is one of the best payment options for any WooCommerce store. WooCommerce, by default, is integrated with PayPal, and there is an option to activate or deactivate this payment method.

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Many store owners add the PayPal payment gateway on their stores because customers trust PayPal and many merchants see an increase in their bottom line by using PayPal on their site.

PayPal Merchants benefit from a 27% increase in total customers after integrating PayPal. The total amount spent by customers increases by 15%, and transactions per customer almost double. This is a significant amount of sales growth, and it is worth testing PayPal in your store’s checkout to see if you can duplicate these results.

It is worth mentioning that customers on your store do not even testing PayPal in your store’s checkout to see if you can duplicate these results. Customers can alternatively use their bank account or credit card to complete checkout.

Additionally, your store should have an SSL certificate to protect payment information and login information for you and your customers from being sent in plain text to your server. This will increase your conversions, as customers will trust your store.

Difference Between PayPal Standard and PayPal Express Checkout

This comparison is meant to help you decide which PayPal service is right for your WooCommerce store.

1. PayPal Standard

PayPal Standard is one of the most popular gateways for store owners, as there are no setup fees, termination fees, or merchant accounts needed to set it up. All you need to do is set up a PayPal Business account. It is available in 190 countries around the world. Therefore, almost any store owner can use it.

Transactions done through PayPal standard are processed on PayPal’s site. It allows customers on your store to pay with a PayPal debit or credit card.

After customers proceed to the checkout and select PayPal as their payment mode, they will be sent to PayPal. You will be charged the standard transaction fee for these payments, which is 2.9% + 30¢ per transaction.

After customers complete the PayPal checkout, they will be redirected back to your store. Additionally, PayPal also offers volume discounts if you process over $3000 in transactions with PayPal monthly.

The checkout is completed on PayPal’s site, meaning that you have to rely on PayPal to send payment success and failure notifications to complete an order. However, you can use Instant Payment Notification (IPN) to get the notifications.

The default PayPal IPN can occasionally be unreliable, resulting in the orders not being completed correctly on your store. This is one of the disadvantages of the PayPal Standard.

2. PayPal Express Checkout

PayPal Express is very similar to PayPal standard, as you will be charged the same 2.9% + 30¢ per transaction with no setup or termination fees. Additionally, it is available in the same countries as PayPal Standard. The major difference is the checkout flow.

PayPal Express avoids the IPN issues, which are in PayPal standard. Customers on your store will be directed to PayPal from your site, but they do not complete checkout at PayPal.

Instead, customers approve a purchase at PayPal. After that, they are directed back to your site with a token passed to your site behind-the-scenes. Your site can use this token to submit a final payment to PayPal.

When the customer clicks to finish placing the order on your site after being directed back, the order is finalized, and the token is sent back to PayPal with the order details. This makes it more reliable than PayPal Standard. This is because the checkout is completed on your site. However, the payment is made on PayPal’s servers once your token returns to PayPal.

Conclusion

PayPal is one of the best payment gateway solutions that you can integrate with your WooCommerce store. In this post, you have seen the difference between PayPal Standard and PayPal Express Checkout. I recommend using PayPal Express Checkout, as the checkout flow ensures that there are no IPN issues.

Editorial Staff

WooCommerce Difference Between PayPal and PayPal Checkout

Difference Between PayPal Standard and PayPal Express Checkout

1. PayPal Standard

2. PayPal Express Checkout

Conclusion

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