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How to use Stripe Payment Gateway for drospshipping?

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Are you looking to install the Stripe payment Stripe payment gateway in your store?

If so, this article is for you. As you know, Stripe is one of the most used payment gateways in dropshipping and e-commerce in general.

It is a very easy to use gateway that makes life easier for buyers. All they have to do is insert their bank details to make a payment. In this article, you will learn how to install Stripe payment processor on your dropshipping store and receive payments from your customers without difficulty. 

What is Stripe?

Stripe is an online payment system that allows transactions between sellers and buyers . The payment gateway is very well known in the world of e-commerce, because it is easy to take in hand and to install on an online store. 

Stripe is available in over 42 countries and accepts payments from all major credit and debit cards. This will mean that with Stripe installed on your dropshipping store, your customers can pay with Visa, MasterCard, American Express or other popular cards. Basically, Stripe is one of the best payment gateways in dropshipping.

Can Stripe be used for dropshipping?

This is a question that many dropshippers ask themselves. It's actually a good question to ask, because if you opt for a payment processor that considers dropshipping an illegal activity, you'll be permanently subject to account blocks. 

This can really make the dropshipping business very difficult for you. In reality, you have to understand first that dropshipping business is generally considered as a high risk business. The problem with high-risk business is that you can see a lot of returns from customers, and therefore refund cases. 

And this is exactly what payment gateways are complaining about. It is often said that the dropshipper has no control over the business model as he does not control the product manufacturing chain.

As far as Stripe is concerned, dropshipping is indeed possible, but under one condition. Dropshipping is only possible with Stripe if your business is outside of Asia Pacific or EMEA (Europe, Middle East, Africa). For example, if you have a dropshipping business domiciled in the US, you can absolutely use Stripe as your payment method. 

On the other hand, it is possible to have Stripe while not being a resident of the United States. You just need to have a company in the United States, because it is the data of this company that will be used to create your Stripe account.

During the creation of your Stripe account, you will be asked for the supporting documents, real address, phone number and bank numbers of your company domiciled in one of the countries authorized by the payment gateway. 

If you don't have all this information, you won't be able to create your Stripe account. We recommend that you opt for Stripe alternatives. 

Which e-commerce platforms support Stripe?

Which e-commerce platforms support Stripe

As you know, in dropshipping, there are a multitude of e-commerce platforms. However, not all these platforms are compatible with Stripe. 

In fact, apart from Shopify, Stripe is also compatible with BigCommerce, WooCommerce and Big Cartel. However, updates are made periodically, so don't hesitate to check if your platform is compatible with Stripe. 

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How do I create a Stripe account?

Before you can connect Stripe to your store, you must first have a Stripe account. 

The process of creating a Stripe account is pretty easy if you already have all the required documents for your account. In fact, it is a process that is subdivided into 4 main steps. 

Login and fill in the registration form

Login and fill in the registration form

Go to the Stripe website and register. You will be presented with a form where you will fill in all the required information. Before you begin this step, make sure you have all the necessary documents regarding your company ready. 

Confirmation of the email address and configuration of the home page

Confirmation of the email address and configuration of the home page

After your registration, you will receive a confirmation link by email that will allow you to verify your email address. 

Don't forget to use an email address that belongs to you, as this is the one that will have access to the account after it is created. Once you have confirmed your email address, you can now start filling in your company information .

Filling in the company's information

At this stage, you will be asked for several pieces of information about your company. The address, the account number and many others... 

Fill in all the information accurately. 

Validation of your account

After this step, Stripe will take a few days to verify all your information before activating your account. This process can take up to 3 days. You will then receive an email confirming that your identity and company have been verified.

Only after that you can access your account. Once this process is complete, you can now install Stripe on your e-commerce platform. In the following chapters, we will show you how to install Stripe on Shopify store host .

How do I install the Stripe payment gateway on Shopify?

To install Stripe on Shopify, you must first create a Shopify store. So create your store and import the products you want to sell there. Create your sales pages, your legal notices, contact pages... Basically, do everything you need to do on an online store. Once your store is ready to receive orders, you can now install the Stripe payment gateway. 

To do this, go to your store settings and click on "Payment Method". Then click on "Choose third-party providers". You will now see the Stripe logo. Click on the small button "Set up Stripe" at the bottom. 

You will be asked for your Stripe account information. Once you have completed the information, all you have to do is activate Stripe on your store by clicking on "Allow access to this account".

Do a test after installation

It is always important to do a test after installing a payment gateway to make sure that everything is working properly. 

To run a test with Stripe, you need to go back to your Stripe dashboard and go to the "Developers" tab. You'll see a "View data test" option at the top right. 

Do a test after installation

Enable this option and go back to your Shopify store to set up Stripe as your default payment method. Once that's done, click "test" to enable the test mode. 

Now you can run payment simulations on your store to see how the method works and also to fix anomalies in case you notice any. In the next chapter, we will see how to install Stripe on a WooCommerce store .

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How do I install Stripe on WooCommerce?

Like Shopify, WooCommerce is also an e-commerce store hosting platform on which you can install Stripe payment gateway. The installation method here is a bit different from Shopify. WooCommerce runs on WordPress and so to install Stripe there, you're going to have to install the Stripe extension on the store .

Go to your WordPress backoffice and go to the "Extensions" tab. Search for "WooCommerce Stripe". 

Install and activate the first extension that appears after your search. Now go to your store settings to activate Stripe in the "Payment" section. 

Scroll down and enable the "Stripe Payment Card" button. To test Stripe on your WooCommerce store, you need to check the "Test Mode" box first.

You will be asked for two keys. You will find them in the "Developers" tab on your Stripe Dashboard. Copy and paste these keys on your store and you will be ready to test Stripe. Don't forget to deactivate the "Test Mode" when you want to put your store online to receive orders.

It's one thing to get Stripe installed on your store, but the other is to know how to manage to avoid blockages. Here are some tips that will help you avoid Stripe blockages. 

How can I avoid Stripe blockages when dropshipping?

How to avoid Stripe blocking in dropshipping

In dropshipping, it is not uncommon to hear dropshippers complain about the recurrent blockages they suffer from the different payment gateways, especially from Stripe and PayPal .

As mentioned above, dropshipping itself is not considered a legal activity for several reasons. And so these various payment processors do not hesitate to block dropshippers' merchant accounts when they suspect activities that do not comply with their regulations .

Here are some methods that will help you avoid Stripe payment processor blocks. 

Have a good customer service

One of the reasons why Stripe accounts are often blocked is because of customer complaints and refund requests. And for that, only your efficient customer service can help you out.

Indeed, you must have a full-time customer service available and ready to satisfy your customers' requests. You must answer their emails and all their concerns properly. 

It's also a good idea to stay in touch with customers after they've made a purchase to keep them updated on the progress of their package. All this sends a positive signal to Stripe and shows how serious you are about your business.

Do not use Stripe without fulfilling all conditions 

There is no point in using Stripe without meeting all the conditions they have required. For example, some people try to bypass the country limitation by using VPNs. I don't recommend this, as Stripe will eventually figure this out and you will be permanently banned from the platform .

Also, make sure you have all the documents to prove that your business is legal in a country authorized by Stripe. 

Collaborating with the right suppliers

You will also be exposed to account freezes if you do not have a good supplier who meets their commitments . You need to deliver to your customers on time and make sure that the supplier delivers products that are in good condition. 

When Stripe starts receiving complaints about the quality of your products, the gateway considers your business as a risky activity and your account is automatically blocked. By following these 3 principles, you will not experience any blocking with Stripe. 

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Conclusion

In this article, we have covered the main aspects of Stripe payment gateway. You have learned step by step how you can create your Stripe account until you get to install it on your Shopify or WooCommerce e-commerce dropshipping store. 

We've also covered the basics of how to avoid getting banned on Stripe . By putting all of this into practice, you can have Stripe on your dropshipping store without difficulty. 

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