TMCnet News
PayPal Introduces New Payment Solution for Digital GoodsOct 29, 2010 (Close-Up Media via COMTEX) -- PayPal announced the upcoming availability of PayPal for digital goods, a new in-context, frictionless payment solution that lets consumers pay for digital goods and content in as little as two clicks, without ever having to leave a publisher's game, news, music, video or media site. According to a release, the online equivalent of dropping a quarter in the slot to buy a newspaper or play a video game, PayPal's new solution solves a key problem for the digital goods industry by offering a safer way to send and receive micropayments globally. The company said the new solution offers PayPal's competitive fee structure for micropayments, with pricing at 5 percent plus 5 cents for purchases under $12 -- lower than the fees typically charged by payment processors in the digital goods industry. Every time a customer purchases content, publishers and merchants get paid quickly, giving them access to their funds. PayPal for digital goods will be available late fall this year. At PayPal's second annual Innovate developer conference, Facebook Chief Operating Officer Sheryl Sandberg announced that Facebook will integrate PayPal's new digital goods payment flow to make PayPal the way to make purchases on Facebook. Several additional companies, including Autosport.com, FT.com, GigaOM, Justin.tv, Ooyala, Plimus, Tagged, Tyler Projects and Ustream announced that they are also using PayPal to monetize the growing opportunity in digital goods. "Our readers want their news on demand, whether they're on a laptop, a mobile phone or a tablet," said Mary Beth Christie, head of product management at FT.com "PayPal helps us provide the experience our customers expect, along with flexibility to experiment with payment mechanisms for subscriptions. This gives our customers the flexibility to pay for what they want, when they want." "The decision to purchase digital goods and content usually happens on impulse, so the act of paying needs to be as quick as that impulse," said Sam Shrauger, PayPal's VP of global product strategy. "PayPal for digital goods is an ideal solution for game developers, newspapers, bloggers, media companies, and anyone who is looking to monetize premium digital content around the globe." The company noted that because PayPal for digital goods is built on its fraud prevention engine, developers don't have to worry about building the systems required to protect customers' sensitive financial information. More Information: PayPal.com ((Comments on this story may be sent to [email protected])) |