E-commerce11 min read

Payment link vs hosted checkout: real cost for your Lagos store 2026

Mohamed Bah·Fondateur, Kolonell
August 10, 2026
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Payment link vs hosted checkout: real cost for your Lagos store 2026

Payment link vs hosted checkout: real cost for your Lagos store 2026

E-commerce

The verdict in three sentences

To start, the payment link costs nothing to set up and collects at 1.5-2 %, but it has no cart or catalog and shows 55 % abandonment. The hosted checkout needs 150,000 to 500,000 FCFA of setup, but with cart, catalog and an optimized flow it converts 15 to 25 % better and drops abandonment to 40 %. The rule: the link to test, the checkout once you pass 30 orders/month.

Two tools, two moments

The payment link is perfect for selling a single item over a message: generate a link, the customer pays, done. But every sale is manual, with no product history or cart recovery. The hosted checkout industrializes: catalog, variants, upsell, and above all a funnel built for mobile conversion.

SolutionSetupTransaction feeConversionWhen to switch
Payment link0 FCFA1.5 to 2 %Low (55 % abandon)Volume < 30 orders/mo
Hosted checkout150,000-500,000 FCFA1.5 to 2 %+15 to 25 % (40 % abandon)Volume > 30 orders/mo
Paystack Lagosincluded1.5 % + 100 NGN cap 2,000 NGNflow-dependentfrom structuring
Flutterwavelow~1.5-2 %good on mobilelocal store
Full store1 M FCFA+1.5 to 2 %maximumlarge catalog

Abandonment, the real cost line

Transaction fees are nearly identical across solutions. The difference is abandonment. Going from 55 % to 40 % abandonment converts 60 customers instead of 45 per 100 intents: a third more sales at constant traffic.

MetricPayment linkHosted checkout
Purchase intents100100
Abandonment rate55 %40 %
Completed orders4560
Catalog managementNoneFull
Cart recoveryImpossibleAutomatic

Mini case study

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Tunde sells sneakers in Lagos with a 25,000 FCFA average basket and gets 120 purchase intents a month via WhatsApp. On the payment link (55 % abandon) he closes 54 sales, i.e. 1,350,000 FCFA. With a hosted checkout at 40 % abandon he closes 72 sales, i.e. 1,800,000 FCFA: +450,000 FCFA/month. A 350,000 FCFA checkout pays back in under a month.

FAQ

Is the payment link really free? To set up, yes. But its 55 % abandonment costs sales: above 30 orders/month, that lost revenue exceeds the price of a checkout.

Are Paystack fees capped? Yes in Lagos: 1.5 % + 100 NGN, capped at 2,000 NGN per transaction. On large baskets the cap makes the cost very competitive.

When should I switch to a hosted checkout? As soon as you pass 30 orders/month or manual link handling takes more than an hour a day.

How much does a hosted checkout cost? Between 150,000 and 500,000 FCFA depending on catalog, variants and integration of local providers.

Can I keep both? Yes: payment link for one-off off-catalog sales, checkout for the core business. Many stores combine the two.

Let's talk about your project. We compare link and checkout on your real volumes, then integrate Paystack or Flutterwave into your store. WhatsApp +221 77 596 93 33.

Tags:#payment link#mobile checkout#paystack lagos#e-commerce nigeria#payment conversion#flutterwave#online store#cart abandonment
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Mohamed Bah

Fondateur, Kolonell

Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.