PayPal Introduces New Micropayments

PayPal Introduces New Micropayments Pricing to Increase the Convenience of Purchasing Digital Goods

SAN JOSE, Calif., - PayPal, the global online payment service, 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 such as video games, online greeting cards, news articles, mobile phone content and digital music. 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 new fees will enable merchants to process payments at a rate of 5 percent plus 5 cents per transaction. Because of the reduced fixed fee, merchants can save 40 to 60 percent when processing low-cost payments, compared to the industry's current payment processing rates of approximately 2 percent plus 20 to 30 cents per transaction.
"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.
PayPal's new micropayments pricing will complement PayPal's standard, volume-based transaction fees, which range from 1.9 to 2.9 percent, plus 30 cents per transaction. 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.
Merchants can learn more about PayPal's new micropayments pricing by contacting micropayments@paypal.com.
About PayPal
Founded in 1998, PayPal, an eBay company, enables any individual or business with an email address to send and receive payments online securely, easily and quickly. PayPal's service builds on the existing financial infrastructure of bank accounts and credit cards and uses one of the world's most advanced proprietary fraud prevention systems to create a safe, global, real-time payment solution. PayPal has nearly 79 million accounts and is available to users in 56 markets around the world. More information about the company can be found at https://www.paypal.com.




http://www.shareholder.com/paypal/re...leaseID=171765

[warlock]

This article obfuscates a few points.
What is the benefit for the buyer?
What fees are they currently paying now?
If you are a vendor does this mean if you have an existing business account your subfees will diminish? Maybe this will reduce the number of pesky nonpaypal merchant interfaces that populate ebay vendors now ?
I see these on sellers accounts who don't want to pay paypal's fees and substitute another billing program instead.

very nice mate , nice to get hands on that kinda info . now ill look for info on this topic. Also nice on paypal's part for introducing this kinda service.dont know if its available now ??

ya, i ,am very happy my this new paypal method, i like paypal very mush because it is easy to use and secure.and by this spet may pal will make more members and expand more.present memebrs will b vey happy too like me.

yes yes ,i very happy may this new paypal

[Knox]

The new pricing will provide merchants with a more affordable way to process payments for low-cost digital content such as video games, online greeting cards, news articles, mobile phone content and digital music. 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.

i like that part..yeah..
something to look forward to

[nioton]

Paypal is going to gain more customers!!!
I don't like paypal.

[SIZE=2]I like paypal their a secure, easy to use service. And many ebayers just use paypal so it makes things easier. Then having e-gold, stormpay, and more just to buy certain things. Than finding out what your bidding on only takes paypal. But thanks for the info, this is good news![/SIZE]

[Pepsiman]

paypal gave me some problems, i'm waiting googlecheckout have this feature

good one there man paypal is good for me