Before the evolution of the payment system, if we require to make a payment, we had to see the individuals in person or wait in a long queue at the bank to make a money order or deposit our check in order to receive the money.
Overall, making a payment or receiving payment was a time-consuming process; however, the payment method has changed dramatically since the introduction of the digital payment system.
Key Takeaways
- Stripe is a payment processing platform for businesses to accept online and in-person payments.
- Google Pay is a digital wallet and payment system allowing consumers to pay with their smartphones.
- Stripe focuses on providing payment solutions for businesses, while Google Pay targets individual users for everyday transactions.
Stripe vs Google Pay
The difference between Stripe and Google Pay is that Stripe is the payment solution for eCommerce businesses big or small, whereas Google Pay is a digital wallet and online payment system for individuals and small businesses. Stripe provides an option for digital payment for internet businesses, and also prevents fraudulent activity; it also involves the feature of invoicing and subscription management. The users of Google Pay links the details of their credit or debit card to their Google Pay account so that they can make the payment or purchase things online.
Stripe is a technological business that creates an internet economic system. Stripe’s software is used by businesses of all sizes, from small startups to large corporations, to process cash payments and manage their operations online.
Formed in 2010 Stripe has a goal of making online payment acceptance more convenient. Stripe began by offering extremely basic domestic credit card processing in the United States.
They have, however, expanded their operations over time to include most major payment methods from around the world.
A digital wallet platform and online payment system, Google Pay lets users make payments using their Android phones, tablets, and watches in-app, online, or in person.
Coupons, boarding passes, university ID cards, auto keys, event tickets, movies, tickets loyalty, etc. cards are all supported by Google Pay. To facilitate funds transfers to retailers, Google Pay uses Near-Field Communication (NFC).
This technology allows the users to upload their credit or debit card information to their Google Pay wallet rather than using credit or debit cards at point-of-sale terminals.
Comparison Table
| Parameters of Comparison | Stripe | Google Pay |
|---|---|---|
| Founded | 2010 | 2015 |
| Competitors | Checkout.com, Pine Labs, Klarna, Razorpay, Fundbox and more. | Paytm, Amazon Pay, TransferWise, Payoneer. Coinbase, WePay and more |
| Services | Payments, Billing, Connect, Sigma, Atlas, Radar (fraud prevention), Issuing and Terminal | Digital payments, Tickets to events, movie tickets, public transportation tickets, store cards, health records, etc. |
| Founder | Patrick and John Collison | Sujith Narayanan and Sumit Gwalani |
| Headquarters | San Francisco, California, US, and Dublin, Ireland | Google, US |
What is Stripe?
Stripe is one of the fastest-growing fintech (Financial Technology) companies in the world, has positioned its growth on being known as the internet’s Middleman.
The co-founders of Stripe Patrick and John Collison are the brother who grew up in a rural area of Ireland, they were exposed to the world of business at an early age.
As the sons of an entrepreneur parent, it is natural to start and run a business for boys, when they first got access to the internet in their teenage both of them started building their websites, experimenting with web development in their time of leisure.
While they were only teenagers of 17, 19 respectively they initiated a business name “Auctomatic”, it was a business that solves some of the problems that people face on eBay.
In 10 months they build, launched, funded, tested, and finally sold that company for 5 Million dollars. They went to Harvard and MIT for their further studies where they discuss the future of online payment methods.
In late 2009 the Collison’s brothers started working on their online payment acceptance project, they drop out of school and moved to Buenos Aires to dedicate their full time to their dream project.
They want to solve their problems as well as of others, they thought that if they could remove the need for startups to worry about the financial side of the business, it will help them to concentrate more on their product and services.
As the Collison’s brothers were running some of the online startups businesses, in their way they were aware of the problems of accepting payments from the customers.
The Collison brothers created Stripe to fix their issue but gradually Stripe became the payment solution of many eCommerce company, who were benefitted from the services provided by Stripe.
Paul Graham funded the concept of Stripe in 2010, launching a beta test that attracted more interest from Los Angel investors, including Peter Thiel the founder of PayPal.
Stripe allowed businesses to receive payments immediately and test their theory that these companies would grow because of Stripe’s financial Middleman platform.
And by September 2011 they were live and available to the public and the growth of Stripe continues to date.
What is Google Pay?
Google Pay is a Google-developed digital wallet and online payment system, it is currently providing its services to 42 countries; Google Pay is the need of every individual for making and accepting payments.
It is a useful app for online transactions and bill payments. Google Pay is an American Digital Wallet and online platform that provides its user with various services related to financial transactions.
It was created to make online payments through android phones and tablets with help of Tap To Pay. It is based on UPI (Unified Payment Interface), In India, it is administered by the National Payment Corporation of India.
Google Pay was initially started as Android Pay on 11 September 2015, later on, 18 September 2017, Google Launched Tez application in India which was based on API and later converted into Google Pay on 28 August 2018.
The most important feature of Google is its security and for every transaction, there is a need for a security code.
Users make contactless payments and purchases online using their Android phones, watches, and tablets thanks to the Google-powered digital payments platform.
Google Pay is also supported by iOS for users in India and the United States, although with significant limitations.
Google Pay is Owned by Google LLC which is an American Multinational Technology company that works in the fields of Search Engines, Cloud Computing, Online advertising Technologies, and so on.
Currently, Larry Page and Sergey Brin is the Owner of Google and Sundar Pichai is the CEO of Google. The Google Pay team has successfully released a few new features and redesigned the payment products globally.
Google Pay focused on partnerships and ecosystem methods, in particular, forging extensive relationships with central banks and governments to jointly develop innovative solutions. As a result, the products were able to work together within the system.
Google Pay is continually working on new and exciting features for its users.
The company has stated that its app would be transformed into a personal finance center for consumers. This would make sending money to friends and relatives even easier.
Main Differences Between Stripe and Google Pay?
1. Stripe is a user-friendly payment processing platform for websites and mobile apps. Whereas you can use Google Pay to make payments or buy things from various eCommerce stores.
2. Stripe falls under the category of payment processor and Software as a service, whereas Google Pay falls under the category of payment processor.
3. The benefit of using Stripe is that it enables users to make payments without having to leave their site. Whereas, Google pay has the Tap To Pay service that makes the transaction much faster and easier, it does not charge any extra fee from its customers.
4. In its initial stage stripe was known as Slash Dev Slash Payments whereas, Google Pay was known as Android Pay.
5. Stripe is a private company whereas Google Pay is a digital wallet platform.
- https://www.ncbi.nlm.nih.gov/pmc/articles/pmc7509068/
- https://ieeexplore.ieee.org/abstract/document/6482441/
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