₹1 Lakh Store — 90-Day D2C Playbook for Indian Founders

06 — Store

Payment Gateway Setup

Your payment gateway determines how quickly you get paid and how many customers complete checkout. Choose wisely.

UPI FirstCOD ReadyT+1 Settlement

80%+

UPI Share

Of digital payments in India

60-70%

COD Orders

Indian D2C average

T+1 to T+2

Settlement

Prepaid transaction speed

₹20-40

COD Fee/Order

Cash handling charge

Payment Gateway Comparison

Gateway	Pricing	COD Fee	Settlement	Verdict
Razorpay	2% + 18% GST = 2.36% (all modes)	₹20-40	T+2	Best Overall
PayU	2% + 18% GST = 2.36% (all modes)	₹25-45	T+2	Good Alt
Cashfree	1.75% + 18% GST = ~2.07% (all modes)	₹20-35	T+1	Fastest Pay
PhonePe	UPI only, 1.5-2% + GST	N/A	T+1	UPI Only

Must-Have Payment Methods: Enable UPI (Google Pay, PhonePe, Paytm), Credit/Debit Cards, Net Banking, COD, and EMI. Razorpay offers all of these in a single integration. Missing any method = lost sales.

Payment Gateway — Must Complete

Razorpay (or equivalent) account created and KYC verified

KYC takes 2-3 business days

UPI, cards, net banking, COD, and EMI payment methods enabled

All 5 methods must be active at launch

Test transaction completed end-to-end

Test ₹1 payment, verify settlement

Settlement bank account linked and verified

Check bank details match GST registration

Payment failure notification set up

Alert customers when payment fails with retry option

COD confirmation flow configured

WhatsApp/SMS confirmation for COD orders