Online merchants needing to collect small payments per transaction (also known as micropayments) need look no further. Dragonpay brings micropayment processing to mainstream e-commerce through its online payment services.
Most payment systems have a fixed transaction fee component associated with it. Even credit cards or PayPal, which are mainly percentage-based, also normally have a fixed fee portion varying from PHP6.00 to PHP15.00. Merchants selling low-value items, such as digital or virtual goods, are faced with a challenge of paying these fixed fees which can account to anywhere from 50% to 100% of the total product price.
Dragonpay provides a micropayment solution for merchants selling these types of items. By charging only 5% of the amount, merchants can sell items for as low as PHP5.00 and only pay Dragonpay PHP0.25. This service is ideal for merchants offering social or online gaming items, or digital goods like music ala-carte.
Micropayment transactions are expected to grow exponentially in the coming years with the increasing popularity of social networking sites and massively multiplayer online role playing games (MMORPG’s). The advent of consumer devices such as smart phones, netbooks and tablets, like the Apple iPad, will further bring in demand for purchasing digital content such as music, games or applications. Even payment giant, PayPal, has already announced support for micropayments.