Amazon Pay is Amazon's own payment processing service.
Amazon Pay works in a similar way to PayPal in that, during checkout, customers login to their Amazon account to select from one of their saved addresses and credit/debit cards.
When using Amazon Pay, your customers will be able to click a 'checkout with Amazon' button on your website's shopping basket page which will then take the customer through the Amazon checkout process.
Account setup and costs
Amazon card processing fees are dependent on the monthly payment volume processed through your account. For a detailed fee schedule see here.
The rates are similar to PayPal (i.e. 3.4% + 20p per transaction if processing less than £1,500 per month).
You can sign up for an Amazon Pay account here.
Should you use Amazon Pay?
In our experience, the more payment choices customers have at checkout the more likely they are to convert. Amazon Pay offers a convenient way for customers to complete their transaction because they can simply login to their Amazon account (without having to find the card they want to pay with).
Having said that, Amazon Pay processing fees are higher than other payment gateways like Stripe (which offer a starting rate of 1.4% + 20p per transaction).
You will need to consider whether there is a 'business case' for offering Amazon Pay on your online store.