Digital Goods Payment Processor: Ultimate Guide and Knowing How they Operate?
Selling goods or services online is a very popular business model in today’s time. This does not require you to establish a big start-up capital but brings a lot of profit. One of the main reasons why every business, big or small wants to shift online is because you do not require to invest a fortune.
Additionally, selling products online does not require you to rent an office space or buy any sort of inventory. All you would need is a functional website, that can offer quality products to your customers, and has a safe and secure digital payment facility.
Now here is the glitch! Establishing a safe and fully operational digital payment processor is the main concern. Most people are comfortable with online payments today, and if your business is not ready for the same, there are chances, your business might just sink.
Here is how you can withdraw it and opt for the best digital goods payment processor for your business to flourish.
What is a digital goods payment processor?
Online shopping sites offer a wide assortment of products to their customers. Once your customer fills their shopping cart, a payment has to be made for order confirmation. Here is where your website or mobile application should have a good digital goods payment processor through which your customer can make a payment in your merchant account.
Now, to accept payments online, the following are what you need:
- Shopping cart: A software that allows your customers to select products and store them temporarily for purchase.
- Payment gateway: A payments blockchain software that authorizes card or debit card payments online.
- Merchant accounts: An account where the payment money would be transferred and deposited when a customer makes payment.
For this process to take place efficiently, businesses adopt a digital goods payment processor service that works along the same lines and initiate safe payments.
How to select the best digital goods payment processor?
There are many digital goods payment processor service providers in the market that claim to offer the best. However, only some work efficiently and give great results. If you have been struggling with the same, here is a guide that will help you land on the best digital goods payment processor service.
- Pricing: A digital goods payment processor service should be not only reliable but also budget-friendly. Many payment processor providers offer their services starting from no monthly fees to $10 starting fees rising to $199 per month and negotiable depending upon your transaction type.
Choose a service that gives you the best service on an affordable budget. Compare the pricing and fees of the services from others, so that you can be sure of getting the best service at the lowest price. For instance:
Pricing: starting $99/month
Fees: 1.25% revenue + $0.10 per transaction (+gateway fees)
- Features and additional services: Many service providers also work on the template of their clients and build a digital goods payment processor based on their client’s requirements and business needs. Additionally, you can look for a service that includes options and creates a customized package. This way, you only pay for the service that you want and not more.
- Integrations: Most digital goods payment processors have an in-built service of maintaining books for their clients through integrations. These books keep track of payments and evaluate taxes, and more. One thing to note here is that, either they have their services or provide the same through third parties. You need to know about the various integrations, bookkeeping services, and collaborations the service provider holds, before investing in one.
What should you ask your digital goods payment processor service providers?
Before you can make a rock-solid decision of selecting a particular payment processor, enquire about their services for utmost transparency. Evaluate the following yourself before you opt for a service:
- Does your digital goods payment processor support your payment gateway if you already have one?
- Do you need to separately pay for a gateway, or is it already integrated?
- Does your payment processor require you to use your shopping cart?
- Does your payment processor integrate with accounting software?
Go ahead only if you have answers to the same and invest for profitable returns!
Online business gives scope to a lot of possibilities. You can make good earnings online and build a loyal and strong customer base. A successful online business not only needs a website but a reliable payment portal through which the customers can make payments. This guide speaks about the various parameters based on which you can judge a digital goods payment processor to land on the best.