Source: PayPal
PayPal, the global online payment service, today announced new micropayments processing fees for digital goods. The new pricing will provide merchants with a more affordable way to process payments for low-cost digital content. PayPal’s micropayments pricing is designed to give customers the convenience of a-la-carte purchases, such as 99-cent downloadable ringtones, without having to sign up for annual subscriptions or pre-funded payment accounts.
An extension of PayPal’s existing payment service for digital music providers, PayPal’s new micropayments pricing is designed especially for payments less than $2.
“The consumer response to a-la-carte pricing for music downloads has clearly shown that customers want to be able to pay as they go,” said Peter Ashley, director of PayPal’s micropayments business. “With our new pricing tier for digital goods, merchants can affordably provide customers with what they are demanding – the opportunity to purchase the content they want without the need to sign up for subscriptions or pre-payments.”
PayPal’s new fees enhance the convenience of downloadable digital content. Customers can buy as many or as few items as they choose using any funding method – including credit cards, bank accounts and stored PayPal balances. Digital content merchants can choose to process transactions at their current PayPal rate or the new micropayments rate, based on whichever is more favorable to their businesses.