PayPal Adaptive Payments For Magento Marketplace

How to Split Order with PayPal for Magento 2 Marketplace

PayPal, an American company, is a smart business payment solution for vendors. PayPal Adaptive Payments facilitates payments between the sender of the payment and the receiver/s and PayPal. When there are many sellers in the fray, it becomes imperative to organize and manage orders efficiently, Magento 2 Marketplace split order with PayPal helps create different order IDs for different sellers and keep things organized.

So how to split order with PayPal for Magento multi vendor marketplace? PayPal Adaptive splits customer payments into two parts automatically- one to the primary receiver (admin) and the other to the secondary receiver (seller).

Features of PayPal Adaptive Marketplace Add-On

• Supports multiple sellers.
• Admin can opt for either Parallel or Chained Type payment.
• Hassle-free payments to multiple vendors.
• Easy integration of add-on into e-commerce websites.
• Sending payments separately via payment gateways is avoided.
• Payment is split between the sellers and the admin.
• Customers are redirected to PayPal website to make secure payments.
• PayPal Classic API is supported by PayPal Adaptive Payment supports.
• Admin is empowered to enable or disable Marketplace PayPal Adaptive Payment.
• Admin’s commission will depend on the sellers.
• Return, replacement of products and refunds are easy to manage.

Workflow of PayPal Adaptive Marketplace Add-On

The first thing that has to be done by the primary receiver (admin) is to install the payment module. After installation, the admin needs to enter the PayPal account details and the sellers need to enter their PayPal username or ID in the account section. A customer who buys products from different sellers adds them to the cart and goes to check out. The customer is redirected to the PayPal page when the PayPal payment method is selected and continues to make payment.

The admin can opt either for Chained type or Parallel type of payment. In the former case, the primary receiver gets the entire payment. The admin has to release the amount due to the seller from the PayPal account section and gets a period of 90 days to execute the transaction. Once this period is over, payment process to sellers cannot be processed.

When the admin opts for Parallel Adaptive Payments, then payment is sent to many receivers simultaneously. Although the buyer purchases items from many merchants, there is only a single payment. The shopping cart ensures that payment is made to the several merchants involved. The admin doesn’t come into the payment picture at all. PayPal debits the sender’s account and credits the accounts of the receiver/s. Payment is thus split between the seller and the admin.

Vendors have to register for PayPal Adaptive accounts and sellers need to indicate their PayPal ID at the time of payment.

Benefits of PayPal Adaptive Marketplace Add-On

• Both the seller and the admin are benefited.
• In case the admin resorts to Chained type payment, the admin can make payments to the seller/s after the order is completed.
• If the Parallel type payment is used, seller/s will get the amount specified in the order and the admin will get their commission.
• Payment through PayPal is made separately for sellers and the admin.
• Payment to a maximum of 6 receivers can be made by PayPal at any time.

Magetop is a marketplace extensions for Magento 2. Our magento extensions are quality and 100% open source.