ELECTRONIC PAYMENT SOLUTION
An electronic payment solution allows you to take payment over the Internet in two situations:
granting subscription to your pay-to-view pages
selling your book (electronic or traditional)
Simple Merchant Accounts
You must have a merchant account to process credit cards, and these may be either a retail merchant account or an ecommerce merchant account. If you operate on low volumes (e.g. selling a book or two a day), or face little competition (subscription to a specialist ezine), you can simply take the customer's credit card details by phone or encrypted email, authenticate as convenient, and then email details of delivery.
Electronic Payment Solution
Very different is the ecommerce merchant account serving e-merchants who process credit cards online in realtime. Such electronic payment solutions provide customers with sale acceptances within a minute, and show the tax and shipment details. Sophisticated software is needed to handle the transactions, and the perceived risks are greater — which means higher charges all round.
Nonetheless, taking credit cards online is essential for many e-businesses, and the greater costs are more than outweighed by the advantages:
decisive edge on the competition.
enhanced sales.
greater protection from fraud.
more flexibility in processing orders and invoicing the customer.
lower costs once sales exceed $1,000/month or so.
Studies suggest you'll lose 60-80% of sales if you can't credit cards online.
We strongly suggest that you don't get your own ecommerce merchant account, however, at least until sales warrant the added expense and hassle (you're responsible for keeping customer details secure), but use an Internet Payment Provider.
Setup is then easy (the IPP will generally do it for you at no additional cost), and transaction charges are very reasonable. For subscriptions consider:
CCBill. Setup $0. Transaction fees 13.5% to 14.5%.
Digital River. Subscription service for all levels of business: prices on application.
Membership Plus. No setup or monthly fees but transaction fees 18% to 23%. Chargeback and transfer fees on site.
NorthStar Solutions. Setup $0. Transaction fees $2.5 + 4.0%.
PSWBilling Setup and monthly charges were free, and transaction charges were 13.5% to $14.50%: now inquire.
SecureNet. No monthly charges or setup fee. Transaction fees from 10%.
SetSystems. No setup or monthly fees: transaction charges 15%.
Verotel. Good range of services, including telephone billing. No setup or monthly fees but transaction charges 14.5% to 16%.
For your electronic book consider:
CCBill. Setup $0. Transaction fees 13.5% to 14.5%.
DigiBuy. Setup $30-$199. Transaction fees 13.9% ($3 minimum). Will also handle unlock codes for software.
eMetrix. Order pages can be customized. Free setup and no monthly charges. ATM withdrawals. Fees 13.9
15.0%.
Kagi. No setup or monthly fees. Transaction fees from $1.25 + 0.75% to $5 + 5.75%
NorthStar Solutions. Setup $0. Transaction fees $2.5 + 4.0%.
PayLoadz. For electronic goods and works with PayPal. Sales less than $250/month are free; otherwise from $15/month.
PSWBilling * Setup and monthly charges were free, and transaction charges were 13.5% to $14.50%: now inquire.
RegSoft. Setup $0. Transaction fees: greater of $3 or 10%.
ProPay. Setup $35. Transaction charges $0.35 plus 3.5%.
SecureNet. No monthly charges or setup fee. Transaction fees from 10%.
SetSystems. No setup or monthly fees: transaction charges 15%.
ShareIt!. No setup or monthly fees: transaction charges $2.95 + 5% or 14.9%. Now acquired by Digital River.
Uniclear. Good alternative to PayPal. Instant transfers $1, credit card commissions 2.9%, buyer/seller protection 1.5%.
Verotel. Good range of services, including telephone billing. No setup or monthly fees but transaction charges 14.5% to 16%.
For your traditional book consider: