Losing Sales from Non-Paypal Customers

19 replies
How huge is the market of customers who do NOT use Paypal?

The reason I ask is that for my recurring membership plan, I use Paypal. I tried to use Clickbank but after a lot of back and forth, they did NOT approve my product and seemed to have so many funny objections (like "you have to introduce a new video every month if you want to create a recurring product" and other silly stuff).

This is a non-IM niche of business students trying to graduate, and they just want access to my video lessons/tutorials during the whole semester, but it's impossible to predict exactly what stage of the semester a student is in, and which videos he needs to watch at a particular time; so I can't "drip" the content as Clickbank suggests.

They also earlier disapproved my product because they no longer accept products for "finance" (perhaps lumping me together with get-rich-quick stocks/options vendors for which they got lots of chargebacks/refunds) but let it through later on when I changed product name from "finance and business tutorials" to just "business school" tutorials... DUH! but then later took issue with my membership content not being "dripped."

I've for YEARS been using Paypal and have had no issue with members' sustainability by giving access to all video content at once. To make a long story short, I've given up on Clickbank and their ridiculous approval process for my first product (I've been using them as an affiliate for years, with good standing and very tiny refunds, if any. Can't even remember the last time).

But the problem with Paypal is that buyers MUST open a Paypal account for recurring billing (cannot be just a credit card payment).

So, how much sales am I losing from customers who don't have (or refuse to open) a bonafide Paypal account?
#2checkout #clickbank #membership site #paypal #recurring
  • Profile picture of the author Phil Steptoe
    As a product creator, I feel your pain. Hopefully, the WSO platforms add the option to pay with another system. Some countries can't access PayPal. The best thing you can do is contact them individually regarding the product or service and set up an individual payment through another processor.
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    • Profile picture of the author RosaMissList
      Originally Posted by Phil Steptoe View Post

      As a product creator, I feel your pain. Hopefully, the WSO platforms add the option to pay with another system. Some countries can't access PayPal. The best thing you can do is contact them individually regarding the product or service and set up an individual payment through another processor.
      Hey Phil,
      It would appear that Warrior Plus now accept Stripe payments as well for recurring payments?

      I am looking into platforms now and this is really an appealing selling point for me.
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  • Profile picture of the author OnlineStoreHelp
    Originally Posted by junkofdavid2 View Post

    How huge is the market of customers who do NOT use Paypal?

    The reason I ask is that for my recurring membership plan, I use Paypal. I tried to use Clickbank but after a lot of back and forth, they did NOT approve my product and seemed to have so many funny objections (like "you have to introduce a new video every month if you want to create a recurring product" and other silly stuff).

    This is a non-IM niche of business students trying to graduate, and they just want access to my video lessons/tutorials during the whole semester, but it's impossible to predict exactly what stage of the semester a student is in, and which videos he needs to watch at a particular time; so I can't "drip" the content as Clickbank suggests.

    They also earlier disapproved my product because they no longer accept products for "finance" (perhaps lumping me together with get-rich-quick stocks/options vendors for which they got lots of chargebacks/refunds) but let it through later on when I changed product name from "finance and business tutorials" to just "business school" tutorials... DUH! but then later took issue with my membership content not being "dripped."

    I've for YEARS been using Paypal and have had no issue with members' sustainability by giving access to all video content at once. To make a long story short, I've given up on Clickbank and their ridiculous approval process for my first product (I've been using them as an affiliate for years, with good standing and very tiny refunds, if any. Can't even remember the last time).

    But the problem with Paypal is that buyers MUST open a Paypal account for recurring billing (cannot be just a credit card payment).

    So, how much sales am I losing from customers who don't have (or refuse to open) a bonafide Paypal account?
    While I am not sure what platform you are using there are other options available. For example, Stripe does recurring billing. If you use Digital Access Pass they now have a cart and you can set up Stripe or Authorize.net which also allows for recurring payments. Finally, by using PayPal Pro and checking out onsite (someone correct me if I am wrong) you can set up recurring payments where customers don't have to set up a PayPal account.
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    • Profile picture of the author junkofdavid2
      Originally Posted by OnlineStoreHelp View Post

      While I am not sure what platform you are using there are other options available. For example, Stripe does recurring billing. If you use Digital Access Pass they now have a cart and you can set up Stripe or Authorize.net which also allows for recurring payments. Finally, by using PayPal Pro and checking out onsite (someone correct me if I am wrong) you can set up recurring payments where customers don't have to set up a PayPal account.
      I'm using Wishlist Member...

      I can't use Authorize.net and PaypalPro because I'm domiciled in Asia.

      Will check out Stripe...
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  • Profile picture of the author thefulltimer
    I'd really be looking into Stripe. We use to use Paypal for everything, now we've switched over at least 50% of our income to Stripe and it's been great.
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  • Profile picture of the author Ron Killian
    I was going to say the same, that people can pay though PP with a credit/debt card when they don't have a PP account. But if that holds true for recurring payments, I am not totally sure. Maybe some one can chime in about that.
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  • Profile picture of the author Ron Killian
    Wishlist integrates with pay pal for a membership site without the need to a cart plug in or anything else. Use it on a couple of my sites.
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  • Profile picture of the author spearce000
    I've used 2checkout.com for recurring payments in the past.

    I would advise against using PayPal for membership sites - the reason being that you can only have one PayPal account at a time, so if you decide to sell the site, all your members will have to re-subscribe via the new owner, and a lot of them won't. That can really diminish the value of your site to a potential buyer. People can make PayPal payments via 2co.
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    • Profile picture of the author junkofdavid2
      Originally Posted by spearce000 View Post

      I would advise against using PayPal for membership sites - the reason being that you can only have one PayPal account at a time, so if you decide to sell the site, all your members will have to re-subscribe via the new owner, and a lot of them won't. That can really diminish the value of your site to a potential buyer.
      Great advice!

      Looking at 2checkout now! Just a bit steep at 5.5% + 45cent fee >.<
      That's more than a full 1% more than Paypal

      *Stripe doesn't allow sellers who are located in Asia, as I am




      .
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      • Profile picture of the author valdorion
        Originally Posted by junkofdavid2 View Post

        Great advice!

        Looking at 2checkout now! Just a bit steep at 5.5% + 45cent fee >.<
        That's more than a full 1% more than Paypal

        *Stripe doesn't allow sellers who are located in Asia, as I am




        .
        I'm in Asia too and use 2Checkout and so far they have been great, much better than Paypal. It's more expensive but you get to accept credit cards directly on your site, you get an account manager with their direct phone number so if there is any problem you can call them and get the problem solved right away and you can withdraw money from your account via wire transfer so none of the stupid Paypal restrictions on some countries.
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  • Profile picture of the author The Warlock
    why not accept credit card payments ? try https://stripe.com/
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  • Profile picture of the author proseocontent
    Whats about amazon payments?. I dont know if this works for digital products, but take a look on this payment possibility
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    • Profile picture of the author helpandinfo
      Been using PayPal for years for my membership site. Never had any problems at all apart from the fact that they seem to cave in to any chargeback requests, some of which are blatantly the client trying to get around the refund policy.

      However spearce000 made a very good point (and I have been considering selling my service) about members having to re-subscribe if there's a change of ownership.

      I'll be looking into other options as a matter of urgency - Stripe.com looks REALLY interesting. Has anyboody else used them before?
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    • Profile picture of the author Kay King
      But the problem with Paypal is that buyers MUST open a Paypal account for recurring billing (cannot be just a credit card payment).
      Of course they require an account - which is FREE to open. They cannot have recurring billing without an agreement and customer information.

      As for how many people you lose - probably not many at all. I don't think there is any payment system that will NOT require an account for recurring payment.
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  • Profile picture of the author PaymentMaven
    Just checking. Did you find a payment solution yet?
    I work with companies around the world, including Asia, so I could check with them if you want.

    Cheers,
    Paul Nisenbaum in Los Angeles
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  • Profile picture of the author bestprofit
    do you lose customers by only offering paypal payment option?

    So, the next logical question is for those who use only paypal as a means of accepting payment.

    Do you feel you lose any business by offering only product/service to only those who have, or are willing to start, a paypal account?
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  • DealGuardian allows both Credit Card and PayPal payments.
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