Since I launched Dungeon Adventure, an RPG for kids, a few weeks ago a lot of people have asked me how exactly I’m selling it. It’s for sale as a digital download and print out board game, or “floor top RPG” as Phil Nelson called it. Here’s how it works:
I have a hosting account with iPower that I have had for about 9 years. It hosts this site, Dungeon Adventure, and almost any other domain I’ve ever had like markgarvey.net. My cost is $99/year, but I don’t count that against Dungeon Adventure because I’d be paying that anyway to host bengarvey.com.
I registered the domain name through iPower: $12.95/year
I looked for a while at different e-commerce / checkout software sites like scribd, PayLoadz, DigitalGoodsDelivery.com, and e-junkie. I decided on e-junkie for the following reasons:
1. Seemed reputable based on reviews and testamonials.
2. Ultra low cost. $5/month flat fee for 50MB storage and no transaction fees.
So far I have been extremely happy with my choice and in hindsight I am so glad I chose a service with no transaction fees. Spread over the cost of all my sales, that $5 is just a few pennies in transaction fees. E-junkie allows people to download the file with a unique link up to 5 times, provides email alerts to me, sends customizable confirmation emails to customers, and allow me to email customers (for a small additional fee). I was setup in about 10 minutes and it has worked flawlessly since day 1.
For payment I use paypal. I’ve used it for a long time and never had any issues with them. I’ve heard the horror stories of account freezes and such, but everything has been great. Paypal’s cut is 3% + $0.30, so on my $5.99 game the cost is $0.48. e-junkie integrated with paypal very easily and it had all the setup info I needed to accept payments through them.
Hosting account: $8.25/month (I was already paying for this, but I’ll include it anyway)
Domain name: $1.08/month (if you’re buying hosting, you’ll get this included with the $8.25)
Checkout software: $5/month
Transaction fees: $0.48 per transaction
Total: $13.25 per month ($6.08 if you already have hosting and just need a domain)
Throughput per transaction is $5.51, so I need to sell 2.4 games per month (or 1.1) to break even.
With a cost structure this low I’ve already covered them for years.
I love the Internet.