Comparing e-commerce providers Paypal + Gumroad
|Based in||US/San Francisco||US|
|Fees||3.5% + 30¢ per sale, Free or $10 per month||2.9% + 0.30 USD (US based sales), 4.4% + currency fee + 2.5% conversion (international sales), Lower fees for high volumes, charities, ‘micropayments’|
|Has affiliate network||Yes||No|
|Fund withdraw||Bank transfer, PayPal||Credit/debit card, Bank transfer|
Super-simple e-commerce for creators. You can run all sorts of recurring subscriptions through Gumroad.
Includes a homepage and web posts that you can write about your software.
It has a marketplace, "Discover". Sales that come through Discover are subject to an additional 10% fee.
Accepts all major credit cards, including Visa, MasterCard, American Express, Discover, Diners Club, and JCB, as well as PayPal.
From Gumroad's tagline, you can see that the developers are missing from the categories of digital goods creators: "We have sent over $251M to artists, designers, educators, writers, podcasters and more."
PayPal is the most known online payment processors and online "wallet" where you can store funds in multiple currencies.
PayPal is owned by eBay.
PayPal offers 3 Account Types which all allow you to send and receive payments.
Seller name: In PayPal's buy page the customer sees the name of the seller and the name of the product or service they are buying.
Issued debit card: PayPal Cash Plus account is required to get the Mastercard debit card. With the debit card you can use your account's balance like a normal bank account and make purchases from where ever the MasterCard is accepted. For example, you can use your account's funds to pay for your google adwords advertising. Google Adwords does not accept PayPal as a payment method and the debit card removes this barrier.
Additional fees: In addition to PayPal's per-transaction fee, you will also incur the following fees: