With the rise of digital wallets and buy now pay later (BNPL) services, buying online from businesses is becoming increasingly popular among Aussie consumers. By using an online payment platform, businesses get access to a wider range of customers and the potential to increase sales. If it makes sense for your business, having an online payment platform can make it easier for customers to pay for your goods and services.
Letโs look at how you can incorporate an online payment platform and grow your business.
What is an online payment platform?
An online payment platform acts as a middleman between you and the customer: it lets them purchase your products digitally using a payment method. Just like how a customer would pay at a register in a physical store, a payment platform works the same way, only online. The payment platform is the register.
Youโll find that heaps of businesses use online platforms, such as online retailers like JB-HiFi and The Iconic. But online payment platforms arenโt necessarily only for retailers: you can use them for almost any business. For instance, you can integrate the service with other software, such as your accounting software, to add a payment link to an invoice.
How does it work?
How online payment platforms work is by connecting your business with the customer and their bank/card issuer or financial institution. This is done via a โpayment gatewayโ. Here is a seven-step process that articulates exactly how payment platforms work:
- Customer: The customer initiates a purchase from a website cart or โpay nowโ link on an invoice. They enter their payment details.
- Business: The business receives the payment information and transfers it through the payment gateway.
- Payment Gateway: The payment information is routed through a payment processor for authorisation.
- Payment Processor: The payment information is relayed to the bank or card issuer for verification, and the funds are available.
- Bank or issuer: The payment is approved or declined and relayed back through to the payment gateway.
- Payment gateway: Verification and authorisation are received and communicated to the business, indicating whether the payment succeeded or failed.
- Settlement: Funds are transferred from the customerโs account to the merchant’s or businessโs account.
Example
Letโs look at two scenarios in which a payment platform can work for a business: online shopping or an invoice.
Marty's Online Flower Shop
Daz's Plumbing Business
Customer Payment Timeline
- Customer browses Martyโs website for flowers. Customers see what they like and put a flower bundle in their cart.
- Customer initiates the purchase by clicking the โpay nowโ button.
- Customer is taken to the payment gateway. They can enter their details manually or via a payment wallet (which prefills their information).
- Payment information is verified via the processor and bank/issuer, and is approved.
- Payment is successful. Flowers purchased, on route to customer. Funds are sent to Martyโs business account.
Customer Payment Timeline
- Daz completes a job for a customer. He sends the invoice for services rendered.
- Customer receives the invoice and uses the โpay nowโ button attached to it.
- Customer is taken to the payment gateway and can enter their details manually or via a payment wallet.
- Payment information is verified via the processor and bank/issuer, and is approved.
- Payment successful. Job completed and Daz gets paid.
While these two businesses differ in the goods and services they provide, the process is very similar. The only difference is the point of entry (a website cart vs email invoice), but the results are the same: fast, easy payments.
Why use an online payment system
The appeal of online payment platforms lies in their convenience and functionality: they make it easy to purchase from you. Here are the key benefits of using an online payment platform:
- Payment attitudes/frequency: More buyers are shifting to digital payments due to high demand. For instance, Aussies made over 500 million transactions and spent over $24 billion in a single month in 2025.
- Payment options: It gives customers a wide range of payment options, depending on the service provider. These platforms also offer payment instalments, capturing customers who might otherwise not pay due to limited funds.
- Get paid quickly: Payment platforms are designed to give users almost instant access to funds from transactions.
- Secure payments: The platform is secure and includes fraud detection.
Stripe for small businesses
If your business can accept online payments and it makes sense for you, incorporating a platform that supports it is a no-brainer. The great thing about having a dedicated payment platform is that it can seamlessly integrate with software that you already use.
This is where Stripe comes in. Reckon has partnered with Stripe to give our users greater flexibility and features for charging their customers. By using our accounting software alongside Stripe, our customers can charge customers instantly and get paid quickly without the headache of an overly complicated online POS system. Stripe is a reliable payment platform, with over 70% of Aussies having already used it to make online payments. Take advantage of using a platform that works for you so that your business can get paid quickly.
