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PayPal Aims to Leader in Micropayments

PayPal Aims to Leader in Micropayments


PayPal allows for two-click payments without having to leave the originating site or service.

It has a low transaction fee threshold (5 percent plus 5 cents for purchases under $12), and It offers one-time micropayments, pay-as-you-go, and subscription models. PayPal’s blog claims the fee structure is lower than those typically charged by payment processors in the digital goods industry,payments are automatic and funds are immediately accessible.

PayPal become the leading name in micropayments. and it comes at the right time. the mobile app industry is expected to hit $15 billion this year.

People are willing to pay for virtual goods that cost as low as 25 cents, but one look at iTunes’ economic model should alleviate those concerns.

we’re spending 99 cents on songs and app downloads without blinking an eye, and it’s that same unthinking two-click agreement that will be a boon for the digital goods industry and PayPal, should PayPal become its leader.

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