Do You Really Need More than Two Payment Providers?
Modern online businesses face a difficult choice: stick with a minimalist payment architecture using a couple of top providers or build an extensive ecosystem of payment methods. This question is especially important for iGaming industry, where right payment strategy often determines the success or failure of an entire project. Understanding when expanding payment infrastructure is justified and when it becomes an unnecessary expense may be relevant for startups and growing companies too. That’s what we’ll explore today.
It’s important to note that payment systems have become much more complex than they were a decade ago. What used to be solved by connecting PayPal now requires deep analysis of business model, target audience, and market nature. You can’t just launch in any market with a universal payment method and expect immediate success. At the same time, each additional payment system brings operational costs, management complexities, technical burdens, and often potential security risks. Integrating everything in sight isn’t the solution either.
Payment Strategies for Different Business Types
Different types of online businesses require fundamentally different approaches to building a payment ecosystem.
Classic e-commerce can still comfortably operate with a minimal set of payment solutions, which often confuses other entrepreneurs. The core of such a strategy is usually one reliable processor like Stripe or Adyen, covering up to 90% of all transactions, supplemented by one or two local methods for key geographic markets. For example, if a product operates in the U.S. and Brazil, card acquiring and PIX together make a suitable payment acceptance scheme.
Additionally, traditional banks are more lenient toward the sale of physical goods, allowing e-commerce startups to maintain low chargeback rates and meet standard compliance requirements. This creates a predictable environment where the focus shifts to optimizing user experience rather than solving payment problems and putting out fires (as often happens in gambling).
Subscription services and fitness apps face more complex challenges related to the psychology of recurring payments and retention. Companies like Strava must account for subscription seasonality, cancellation patterns, and users' geographic preferences. They may need to expand to three to five payment methods, add digital wallets like Apple Pay and Google Pay, and create a more thoughtful payment experience to ensure subscription renewals.
Monoup team noted how Chinese giant Temu approached its payment strategy when entering Western markets. The company immediately connected more than 15 different payment methods, including all major credit cards, popular e-wallets, and innovative BNPL (Buy Now, Pay Later) services like Klarna and Afterpay. This aggressive approach allowed them to create an impression of maximum convenience for customers and instantly associate themselves with large, trusted PSPs (Payment Service Providers). Customers immediately understood that reputable payment systems like Nuvei had verified this business and were ready to support it, which added credibility for buyers. However, such an approach requires significant investment in integration and maintenance, which is not accessible to all startups.
How iGaming Differs from the Payment Perspective
The iGaming industry operates in a fundamentally different reality, where payment strategy becomes one of the key competitive advantages. If you don’t know how to handle payments, players will quickly notice that.
Unlike e-commerce, banks view gambling as a high-risk activity, leading to significant restrictions in choosing processing partners and much higher fees. Even licensed operators with flawless reputations face rejections from major banks and constant changes in service terms. While low-risk brands may pay around 2% in card processing fees, gambling businesses often need to budget over 10% for payment expenses.
Geographic factors add another layer of complexity, as gambling projects often aim to capture multiple countries and enter international markets rather than limiting themselves to one or two locations. This requires studying all potential markets from a payment perspective and meeting the diverse demands of players, which can vary greatly. These nuances eliminate the possibility of working with just one or two payment systems, forcing iGaming products to connect dozens of providers. Additionally, varying regulations across markets influence the process, and the instability of methods requires duplication of even this system.
Monoup conducts analytics on almost all available markets upon request, considering individual business needs and specifics, which can significantly help you build a market entry strategy if you’re a startup or improve it if you’re already established.
Another key difference is the psychology of gamblers, which is radically different from that of ordinary shoppers. Deposit decisions are often made impulsively, based on emotions, and users are extremely intolerant of any obstacles in the payment process. Statistics show that 73% of potential customers leave website if their preferred payment method is unavailable, and the decision to deposit is rarely made in more than seven seconds. Therefore, it’s not enough just to offer many methods — they must also work effectively, which is often more complicated than it seems. You need not only a variety of payment methods but also a prioritized, high-quality payment cascade. The placement of payment methods on the website is not random either — sorting and selection are critically important.
Operational risks in iGaming may also affect the diversification of payment channels. A sudden disruption of the main processor can paralyze the entire business within hours, so successful operators always have backup solutions with pre-configured integrations. This means that even if a particular PSP is rarely used, its availability can be crucial in an emergency.
Conclusion
In summary, the number of payment systems should be determined not by ambition but by the real needs of business and specifics of the target audience. When launching a new product, you need to conduct an analysis and calculate a budget that will guide your next steps. In iGaming, a wide range of payment methods is necessary for survival. The minimum set for a serious gambling operator starts at eight to ten different PSPs and can expand depending on coverage and target countries.
The golden rule for all types of businesses remains the same: every payment system should solve a specific business problem and provide measurable benefits. It’s better to have three high-quality payment methods than ten mediocre ones. Ultimately, the most effective payment strategy is one that customers don’t even think about — payment process is so smooth that it becomes invisible. Monoup can help you achieve this in an individual consultation. Reach out to us to learn more.
