Question about fees.

I'd just like to get things straight while I'm shopping around for the lowest overhead I can.

Using paypal, I am charged 2.9% + USD$.30 PER TRANSACTION. This is correct.
Using tradebit as a publisher I am charged 15% PER TRANSACTION. Is this correct?
Or is it 15% commission on purchases that happen only here on tradebit?

I understand that I COULD use tradebit as a file repository, and just foot the monthly bill, but I chose the publisher route to get my added exposure on tradebit.

Now, If I have a website that offers 1,000 digital downloads that are all USD$.99 each......<sighs>

This means that I am paying USD$.47 for each UNIQUE transaction that is .99. Is this correct?

The probability that customer "X" will fill up the shopping cart with additional items is very high for what I'm selling. This of course lowers my overhead.

So customer "X" comes along and sees a product I'm selling he cannot live without. He decides that .99 is cheap and buys it. He pays tradebit? He pays my paypal account? My ultimate price for my product is 52% of what I listed it for (dirt cheap to begin with). This seems a little high for overhead, especially once you start to factor in the OTHER fees, like domain names, hosting subscriptions, etc.

I'm sure that some of you old-timers who are familiar with the workings of the system have had to deal with this question, so is this standard? Or are there ways to cut this overhead?

Or am I just confused with how this works?

Paul

Did some digging and found this cool link.

[www.paypal.com]

So, now my overhead is cut to USD$.25? Am I correct. (15% tradebit + 5% + $.05)

I assume to do this you will need to do variable pricing structure over two tradebit accounts, or can you enter two paypal addresses like payloadz.com does?

I think this solution would be helpful:

Setup two paypal BUSINESS or PREMIERE accounts. (Be aware that you cannot use the same bank acct OR CC for both. You will need two accounts and CC. USA users, just get two debit cards, and have two bank accounts.)

Go to tradebit and open two accounts. One will be for items that will be under $12, and the other for your collections, or biggie items, etc which are above that. Make sure you get the right paypal account for each tradebit account.

When dealing with collections of cheap items that together you are offering for over $12, simply upload the individual files to the BIG account (Big meaning all your stuff over $12 is in one tradebit account and SMALL meaning everything under $12 is in THAT account) and make your collection.

Make sure to configure your IPN for both accounts in paypal.

THE CATCH: If you are using a shopping cart code with your items, and customer "X" decides he wants to buy 25 of your $1.00 files, then you will be charged a premium I assume over the normal 2.9% + $.30 that a regular account will be charged.

Oh well. The cost of making money....

Am I right?
And are there OTHER options??

Paul

paul,

you can have the micropayment rates from paypal as well, with the

5% + 5 cents...

but you calculated wrong:

if you go publisher, you pay 15% to us - means we pay you 85% twice a month. you have live statistics. But you can not have prices smaller than 90 cents.

we are currently on new ideas, soon you will have different options!

ralf