How to Set Up Delayed Payments in WooCommerce: A Beginner’s Guide
Are you running an online store with WooCommerce and looking for ways to offer more flexible payment options to your customers? Delayed payments, sometimes called “buy now, pay later,” can be a game-changer. Offering delayed payments can increase your sales, boost customer satisfaction, and reduce cart abandonment.
Think about it: offering a “pay in 30 days” option can be the difference between someone buying that expensive gadget or abandoning their cart because they don’t have the funds *right now*. This article will walk you through setting up delayed payments in WooCommerce, step-by-step.
What are Delayed Payments and Why Use Them?
Delayed payments allow customers to purchase products today but pay for them at a later date. This could be a set number of days (e.g., 30 days, 60 days, or even 90 days) or upon delivery.
Here’s why offering delayed payments is a smart move:
- Increased Sales: Customers are more likely to purchase if they don’t have to pay immediately. It removes the immediate financial barrier.
- Reduced Cart Abandonment: High immediate costs are a common reason for abandoning carts. Offering delayed payments reduces this friction.
- Competitive Advantage: Standing out from the competition by offering a flexible payment option can attract more customers.
- Improved Customer Satisfaction: Giving customers more control over their payment schedule enhances their shopping experience.
- Placement of Klarna Logos: Customize where the Klarna logo appears on your product and checkout pages.
- Text Display: Change the text associated with each payment method.
Real-Life Example: Imagine a small furniture business. A customer loves a new sofa but is hesitant because they’re waiting for their next paycheck. Offering a “pay in 30 days” option allows them to secure the sofa without immediate financial strain, leading to a happy customer and a successful sale.
Methods for Implementing Delayed Payments in WooCommerce
There are a few primary ways to implement delayed payments in WooCommerce:
1. Using a dedicated WooCommerce Payment Gateway: This is the most common and recommended approach. Payment gateways specifically designed for delayed payments handle everything securely and efficiently. Examples include Klarna, Afterpay, and Affirm (availability varies by country).
2. Custom Code Solution: For more advanced users, you can develop a custom solution using WooCommerce hooks and filters. This provides maximum flexibility but requires coding knowledge.
3. WooCommerce Extensions/Plugins: These plugins add functionality to WooCommerce, allowing you to offer delayed payments by adding specific payment gateway integration.
Setting Up Delayed Payments with Klarna (Example)
Let’s walk through a popular method using Klarna. Klarna is widely used and offers various payment options, including delayed payment.
Step 1: Create a Klarna Account
First, you’ll need to create a business account with Klarna. Go to the Klarna website and sign up for a merchant account. Follow their instructions and provide the necessary information about your business.
Step 2: Install and Configure the Klarna WooCommerce Plugin
1. Install the Plugin: In your WordPress dashboard, navigate to Plugins > Add New. Search for “Klarna WooCommerce” (usually “WooCommerce Klarna Payments”). Install and activate the plugin.
2. Configure the Plugin: Go to WooCommerce > Check out this post: How To Change What Add To Cart Button Does Woocommerce Settings > Payments. You should see Klarna payment methods listed (e.g., “Klarna Payments,” “Slice it”).
3. Enter API Credentials: Click on each Klarna payment method to configure it. You’ll need to enter your Klarna API credentials (username and password) which you’ll obtain from your Klarna merchant account.
Important: Ensure you’re using the correct API credentials for your environment (test/staging or live). Use test credentials first to avoid real transactions during setup.
Step 3: Activate the Desired Klarna Payment Methods
In the Klarna settings, choose the specific payment methods you want to offer. For delayed payments, look for options like “Pay later” or “Pay in [number] days.” Activate the ones you prefer.
Step 4: Customize the Appearance
Klarna often allows you to customize the look and feel of the payment options displayed on your website. Within the plugin settings, you can usually configure:
Step 5: Test Your Setup
Before going live, thoroughly test the Klarna integration:
1. Place test orders using the Klarna test environment.
2. Ensure the delayed payment option appears correctly at checkout.
3. Verify that the order is created in your WooCommerce admin panel.
4. Confirm that the order is also reflected in your Klarna merchant portal.
Important Considerations: Klarna usually requires you to ship items before marking them as shipped in their portal. Failure to comply with this can lead to problems with payouts.
Custom Code Solution (Advanced)
If you want maximum control, you can create a custom solution using WooCommerce hooks. This involves writing PHP code.
<?php /**
/
* Define the custom payment gateway class.
*/
add_action( ‘plugins_loaded’, ‘init_delayed_payment_gateway’ );
function init_delayed_payment_gateway() {
class WC_Delayed_Payment_Gateway extends WC_Payment_Gateway {
public function __construct() {
$this->id = ‘delayed_payment’; // Payment gateway ID
$this->method_title = ‘Delayed Payment’; // Title shown in admin
$this->method_description = ‘Allow customers to pay later.’; // Description shown in admin
$this->title = ‘Pay Later’; // Payment method title as seen by the user on checkout
$this->description = ‘Pay for your order within 30 days.’; // Payment method description as seen by the user on checkout
$this->supports = array(
‘products’
);
$this->init_form_fields();
$this->init_settings();
$this->enabled = $this->get_option( ‘enabled’ );
add_action( ‘woocommerce_update_options_payment_gateways_’ . $this->id, array( $this, ‘process_admin_options’ ) );
}
public function init_form_fields(){
$this->form_fields = array(
‘enabled’ => array(
‘title’ => ‘Enable/Disable’,
‘type’ => ‘checkbox’,
‘label’ => ‘Enable Delayed Payment’,
‘default’ => ‘yes’
),
);
}
public function process_payment( $order_id ) {
$order = wc_get_order( $order_id );
// Mark the order as “on-hold” (or any other appropriate status)
$order->update_status( ‘on-hold’, __( ‘Payment will be collected later.’, ‘woocommerce’ ) );
// Reduce stock levels
wc_reduce_stock_levels( $order_id );
// Remove cart
WC()->cart->empty_cart();
// Return thankyou redirect
return array(
‘result’ => ‘success’,
‘redirect’ => $this->get_return_url( $order )
);
}
}
}
Explanation:
- This code adds a custom payment gateway called “Delayed Payment.”
- When a customer selects this option, the order is placed “on-hold.”
- You would then need to manually collect payment later (e.g., through invoicing or other methods).
Important Disclaimer: This is a *very basic* example. A production-ready solution requires secure handling of customer data, order status management, and automated payment reminders. You would also need to implement a system to actually *collect* the delayed payment, perhaps through manual invoicing or integrating with a payment service for collecting the delayed payment at a pre-defined future time/date. This approach is recommended only for experienced developers.
Using Check out this post: How To Add Product Options In Woocommerce WooCommerce Extensions/Plugins
Several WooCommerce extensions simplify the delayed payment process. Search the WooCommerce plugin repository for terms like “payment gateway,” “delayed payment,” or “buy now pay later.” Before installing any plugin, check its ratings, reviews, and compatibility with your WooCommerce version.
Important Considerations
- Risk Management: Assess the risk associated with delayed payments. Consider factors like order value, customer location, and fraud prevention measures.
- Clear Terms and Conditions: Clearly outline the terms and conditions of delayed payments, including payment deadlines, late fees (if any), and dispute resolution processes.
- Communication: Keep customers informed about their payment status Discover insights on How To Work With Woocommerce Google Analytics and send reminders before the payment due date.
- Security: Prioritize security and compliance with relevant data Check out this post: How To Get Size To Show Up On Woocommerce Product privacy regulations.
- Fees and Charges: Be transparent about any fees associated with delayed payments, both for you and your customers.
- Legal compliance: Ensure the delayed payment method complies with all local legal requirements.
Conclusion
Offering delayed payments in WooCommerce can significantly benefit your business. Whether you choose a dedicated payment gateway, a custom code solution, or a WooCommerce extension, remember to prioritize security, transparency, and clear communication with your customers. By following these steps, you can create a more flexible and customer-friendly shopping experience, leading to increased sales and customer satisfaction. Remember always to test everything thoroughly before going live. Good luck!
