Shopify+Philippines Payment Full Process Implementation Methodology

Shopify and Philippines Payment Full Process Implementation Methodology

I. Overview of the Philippine payments market

What to know before offering localised payment solutions to Filipino customers on Shopify:

  • Credit card penetration is about 5%, with debit cards more prevalent
  • Two e-wallets, GCash and PayMaya, dominate the scene
  • Bank transfers and cash payments are still popular
  • OTC (Over the Counter Cash Payment) such as 7-Eleven's CLiQQ is also important

II. Major integration programmes

1. Shopify Payments + Local Gateway

Applicable Scenarios: Merchants with existing international credit card payments want to expand local options

Implementation steps::

  1. Enable Shopify Payments as the underlying processor in the Shopify backend
  2. Add a local payment method through a third-party gateway:
    • PayMongoSupport GCash, GrabPay, bank transfer, etc.
    • Dragonpay: Support for OTC cash payments, e-wallets and internet banking

2. Direct API integration programme

Ideal for merchants with strong technical skills or large transaction volume shops:

  1. GCash Business Account Application

    • Register and get API credentials through the GCash merchant platform
    • Shopify injects GCash QR codes/deep links using custom checkout or apps

  2. PayMaya Merchant Integration

    • PayMaya Checkout API can be embedded in Shopify checkout process
    • Webhook handles payment status notifications

III. Specific implementation steps (using Dragonpay as an example)

  1. Register for a merchant account
    Visit Dragonpay's official website to complete KYC verification and get Merchant ID and key.

  2. Installing middleware applications
    Install the official plugin by searching for "Dragonpay" in the Shopify App Store or use an automated tool such as Zapier to bridge the gap.

  3. Configuring Payment Methods

    Go to Shopify Back Office > Settings > Payments > Alternative payment methods 
    
Select "Dragonpay" and enter.
    
- Merchant ID 
    
- Secret Key

  4. Setting up Webhook Callbacks
    configurehttps://yourstore.com/dragonpay/callbackReceive real-time payment notifications.

5.Test transaction flow
Test various payment methods (SMART Padala, Bayad Center, etc.) using the Dragonpay sandbox environment.

IV. Optimisation recommendations

1.multilingual interface:: Ensure that the checkout page has the Tagalog option
2.Currency Display:: PHP pricing to avoid exchange rate confusion
3.mobile first:: 90% Faye users shopping via mobile phones
4.promotional strategy:: Cashback campaign in partnership with GCash

Frequently Asked Questions.
Q:How do I handle outstanding OTC payments?
A:Set up automatic email reminders + 72 hours order retention period

Q:How can I reduce the risk of fraud?
A: Enable Address Verification System (AVS) + Limit OTC amount for high-value orders

Shopify and the Philippines Payment Full Process Implementation Methodology (cont'd)

V. Details of the deep integration programme

1. GCash Complete Integration Guide

Technology realisation pathways::

  1. Merchant Registration::

    • Apply through the GCash Business Portal (business.gcash.com)
    • Required: DTI/SEC registration documents, BIR tax certificates, bank account information

  2. API Docking Process::

// Shopify Backend Sample Code Snippet

$gcash_params = [

    'amount' => $order_total,

    'description' => "Order #".$order_number,

    'callback_url' => $your_webhook_url,

    'redirect_url' => $thankyou_page_url

];



$response = Http::withHeaders([

    'Authorization' => 'Bearer '.config('gcash.api_key')

])->post('https://api.gcash.com/checkout/v1/payments', $gcash_params);

  1. Shopify checkout makeover::
  • Adding a GCash Payment Button Block with Checkout.liquid
  • Generate dynamic payment QR code by AJAX call

  1. Reconciliation system setup::
    • Webhook listening event: payment_success/failed/refunded
    • Auto-sync to Shopify order notes field

2. PayMaya Enterprise Programme

Advanced Function Configuration Table::

functional module API endpoint Shopify Actions
One-Time Payment /payments/v1/payments Checkout page embeds
Recurring Billing /recurring/v1/subscriptions SaaS subscription
Payment Links /checkout/v1/payment-links Abandoned cart recovery
QRPH Payment /qr-codes/v1/generate POS offline scene integration

VI. Localisation Compliance Points

Financial regulatory requirements
1.BSP Filing Registration

  • PSP licence validation (for annual transactions exceeding 5 million pesos)
  • Anti-Money Laundering Act (AMLA) Compliance Statement

2.Tax Configuration

{% comment %} Shopify theme tax rate template tweak {% endcomment %}

{% if checkout.shipping_address.country_code == 'PH' %}

   {% assign vat_rate = 0.12 %} 

   {{ order.total_price | times: vat_rate }}

{% endif %}

3.Data storage specifications

  • PCI DSS Level 4 Certification Requirements
  • GDPR + Philippine Data Privacy Act Dual Compliance

VII. Performance Optimisation Strategies

Payment Success Rate Enhancement Programme
The A/B test suggests a combination:

Control group A (traditional approach).  

Credit Card → Dragonpay OTC → Bank Transfer  



Experimental group B (optimised flow).  

GCash first screen → GrabPay folded menu → Coins.ph shortcut entry

Direction of improvement of measured data indicators:
✅ Mobile Conversion Rate +22% (Lazada Local Case)
✅ Average checkout time reduced to 68 seconds

VIII. Troubleshooting manual

Common error code handling:

⚠️ GCASH_API_429
Solution: Access to the exponential backoff retry mechanism, recommended using.
shopify-retry@^2.0 npm package

⚠️ DRAGONPAY_ERR_INSUFFICIENT_FUNDS(OTC-specific)
Process.
①Automatically send SMS reminder → ②Generate alternate PayMaya link → ③72 hours order hold

Monitoring Kanban Key Indicator Recommendations.
- Real-time Failed Transactions Geographic Heat Map
- Median Time-to-Paid in the OTC Channel

Need to go further into the details of which part of the process? I can provide more specialised technical documentation or a description of the docking parameters for a specific platform.

Shopify Philippines Payments Full Process Advanced Implementation Guide (continued)

IX. Hybrid payment architecture design

1. Intelligent Routing Payment Engine

Technical Architecture Diagram::

[Shopify Checkout] → [Intelligent Routing Decision Layer] → 

Credit Card/Visa Direct (for international customers)

GCash/PayMaya (e-wallet users)  

└─ OTC network (7-11/MLhuillier cash payment)

Decision Logic Code Example::

// routes/paymentRouter.js

function selectPaymentGateway(userProfile) {

  const { device, location, purchaseHistory } = userProfile;

  

  if (device === 'mobile' && location === 'Metro Manila') {

    return 'GCASH'; // 大马尼拉区移动用户优先GCash

  } else if (purchaseHistory.aov > 5000) {

    return 'BANK_TRANSFER'; //高客单价走银行转账

  }

}

2. Failover mechanism implementation

graph TD

A[preferred GCash] -->|failed| B(PayMaya)

B -->|failed| C[Dragonpay OTC]

C -->|Failed| D [Generate BPI Deposit Slip]

X. Advanced Risk Control Configuration

1. Philippines-specific fraud pattern defence table

Type of risk detection signal Response
"Padala scam." Microtesting of multiple accounts with the same IP Enable Device Fingerprint + Geolocation Authentication
OTC money laundering High-frequency cash transactions from 2-5 a.m. Setting time period limits + manual review thresholds
Rider Payment Fraud Mismatch between shipping address and IP city Forced OTP SMS Verification

2. Example of customised risk control rules (using Shopify Flow)

{% raw %}

{% if customer.tags contains 'PH_high_risk' %}  

   {% assign payment_methods = "dragonpay_otc,bank_transfer" %}  

{% else %}  

   {% assign payment_methods = "gcash,card,dragonpay" %}  

{% endif %}

{% endraw %}

XI. Operational data analysis system

1. Combination of key Kanban indicators

E-wallet health monitoring

# Google Data Studio Calculated Field Example 

CASE 

 WHEN {{payment_type}} = "GCASH" THEN (

   {{success_count}}/({{success_count}}+{{fail_count}}) - LAG({{success_rate}},7) OVER() 

 )*100 

END AS gcash_weekly_change_rate"

OTC Channel Effectiveness Matrix

           │Processing timeliness│Coverage rate│Cost rate   

──────────┼──────────┼──────┼───────    

7-Eleven │4 hours │92% │3.2%     

Palawan │8 hours │65% │1.8%     

Bayad Centre│Real-time │78% │4.5%

XII. Access to emerging payment methods

1.PESONet Instant Bank Transfer Practice

Technology Docking Points:

  • clearing period: T+0 settlement (regular scheme is T+1) requires special application for permission, handling fee up 30%
  • Error Handling Specification::


{

   "error_code": "PE002",

   "suggested_action": [

       { "step": "Verify account_name matches BSP records" }, }

       {"fallback": "Recommend switching to InstaPay channel"}

}]

2.ShopeePay offline integration programme

QR Code Generation Best Practices:



/* Shopify theme CSS optimisation */

.shopee-pay-qr {filter: drop-shadow(0px); transition: all ease;}

@media(max-width:768px){

.shopee-pay-qr {width:120vw; margin-left:-10%;}

}

XIII. Enterprise-level disaster recovery programme

Dual active data centre configuration

Primary site (MNL1) Backup site (SG1) Toggle Trigger Condition
GCash API Terminal Node. api.gcash.com/biz gcash-api.sg.prod [503 response] >3 times
Dragonpay Connection Pools: 50 concurrent threads CPU load >80% for 5 minutes

Need to continue expanding in any of the following directions?
①Accurate rate comparison and scenario selection algorithm for each payment channel; ②How to achieve dynamic payment method sorting through Shopify Script Editor; ③COD linkage solution with local logistics system (Lalamove/J&T)