Using PayPal

[incka]

I'm setting up 2 ecommerce stores, selling online products (software, one of them I bought exclusive rights to). I'm looking at ways to sell at I though about using paypal.

Now what if the customer doesn't have paypal. Will this put them off buying? Can they put in their cc details without creating an account?

[Mike]

I'm sure I read that 1 in 3 people in the US have paypal, so it shouldn't be that bad.

[MarkB]

I believe US customers can buy through PayPal now without having an account.

You could also consider 2Checkout.com

[chromate]

It would certainly put people off buying *if* they needed an account to use PayPal. (I don't know if they do or not). You would lose all those people that are in two minds about making the purchase.

Personally, for a small store selling just a few products, I think 2checkout is your best bet. It's easy to set up for $49, $0.45 per sale & 5.5% of the sale amount.

For a larger store, I would go with WorldPay. They more expensive to get set up (£260). But they have better features and rates (no charge per sale and only 4.5% of the sale amount)

I would imagine that a downloadable software type store will attract a greater level of credit card fraud, as there's no physical delivery address in the equation. So you want to minimize chargebacks by ensuring the merchant handler has some good fraud protection setup. I know WorldPay does, but I'm not sure about 2checkout and I have no idea about PayPal.

[Blue Cat Buxton]

iI have NOT purchased before because a store only offered pay pal .OK this was before i got an account but it was one extra hurdle to buying. i guess there are a lot less web savvy people out there who would be just as put off - people are worried about web fraud any way. if you're asking them to use a technology they're not familiar with you will probably loose sales

[nohaber]

If you're selling software, you'd better use an ecommerce partner that specializes in software. I use share-it.com, and I'm very happy. The other great ones are swreg.org and esellerate.net. They all have a wide range of payment options, can ship CDs, send/generate registration keys etc. They don't have setup fees.

[incka]

The think about 2checkout is the set up cost. I'm not sure if the product will make much money yet, I'm hoping it does, but you never know.

[intelliot]

Yep, PayPal no longer requires buyers to have a PayPal account; they can just use credit card.

[thebillionaire]

"I think 2checkout is your best bet. It's easy to set up for $49, $0.45 per sale & 5.5% of the sale amount."

Im confused about the 5.5% of sale amount, lets say something was one hundered dollars so $0.45 would be taken out?

[incka]

I think it means $100 means you would get $94.05

[LuckyShima]

Yep, PayPal no longer requires buyers to have a PayPal account; they can just use credit card.

I agree with "Blue Cat Buxton" that even if PayPal no longer requires that they store credit card details, users don't know this and might be put off by PayPal thinking they must have an account.

However, I cannot even find anywhere where a customer can do a PayPal transaction without opening an account. MarkB said US customers don't need an account, so maybe we are being fed a different screen and service down here in Australia.

[ozgression]

Yes, I believe most non US countries still have to sign-up to pay/or be paid through Paypal.
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