HACKER Q&A
📣 wellthisisgreat

Best way to sell $1 digital product?


Hello HN,

What would be the best platform / approach to sell a digital product (download) for $1?

It seems Stripe would be overkill, considering the CC fees, is there anything else?

The less dev friction (custom deployment), the better


  👤 dangus Accepted Answer ✓
Don't sell things for a dollar, unless it's on the app store.

If you're selling something for a dollar rather than providing it for free you've already convinced someone to get out their wallet and buy it. That's not an insignificant achievement. That person is very likely willing to pay something like $5 instead for the exact same product. Even if they aren't, you can make more money selling one $5 item than 5 $1 items, so you can get by with 5x fewer customers.

This idea reminds me of Netflix password sharing crackdown. If they pissed off the majority of their password-sharing customers and they canceled, they still end out on top because the remaining customers convert. E.g., you've got 5 customers all sharing one account. Three out of five of them are annoyed and stop watching Netflix entirely. The two remaining have to buy themselves individual accounts. In this made-up scenario, Netflix doubled their revenue while shedding more than half of their customers.

I think it's possible that you don't want the customer that is barely willing to spend a dollar on you, someone who might not even be happy with your product because they can barely justify it in the first place, You want the customer who loves your product enough to give you $5 or $10.

There's also a price signaling argument: when you price your product at $1, you're telling people that it's barely worth anything. If Starbucks sold you a coffee for $1, that would tell you that it can't possibly be very good coffee.


👤 brudgers
As the mantra goes, double your prices.

To me, selling for $2 or $3 or $5 might be a better business model. You’ll make more money from fewer customers (less costumer support) and reduce the overhead of fees.

At the very least, the price should reflect costs. At best, you charge for value.

Price segments markets. Segmenting for people who will spend money is a better strategy than trying to sell to people who won’t.

Good luck.


👤 illnewsthat
I think Paypal's micropayment option[1] doesn't have a ton of competition, but at 4.99% + 9 cents you will do a lot better than typical stripe rate.

[1] https://www.paypal.com/us/webapps/mpp/merchant-fees


👤 eva_cananim
You have asked for minimum development work so ...

"Write your email address legibly on a piece of paper and mail it with a US $1 bill to $ADDRESS."

Obviously 1) it will cost people 68¢ for a stamp, 2) won't really work for people outside the USA and 3) if you only sell fifty copies it's not a wildly silly suggestion.


👤 pronouncedjerry

👤 Hammerhead12321
Is there any reason there is not a popular micropayments solution i.e. <= $1?

It seems like there’s plenty of use cases but I’m not aware of any popular platforms that make it feasible with their fees. I assume there are a bunch of costs associated with processing those cc payments but surely they aren’t large enough to make in infeasible to process small payments.


👤 thedangler
How many do you plan on selling? Only way to avoid high processing fees is to get a merchant account and use product links from a virtual terminal that supports it.

I can help with that but might not be worth it if you are not making more than $500/m


👤 kulor
Not used it myself but https://gumroad.com springs to mind

👤 65
https://shoppy.gg/

I have used it to sell various random products, mostly in the $5-$50 range.


👤 kccqzy
The Apple App Store or Google Play store. Fixed 30¢ fees.

👤 babalulu
Gumroad might work for you. They take a flat 10% fee.

👤 cpach
Why only $1? That’s like one-fifth of a flat white.

If you can sell your thing for $1 you can probably sell it for $2 or $3 or more.

Or bundle it with something?


👤 peter-m80
Ko-fi