Answer
I made a digital product. Should I sell it on a platform like Gumroad, Payhip or Whop, or on my own website?
Start on a selling platform to prove people will buy, then add your own website once you have repeat buyers, several products or traffic you bring yourself.
I made a digital product. Should I sell it on a platform like Gumroad, Payhip or Whop, or on my own website?
For a first product, a selling platform is usually the faster and cheaper start. You upload the file, set a price and share one link.
Your own website starts to pay off later. That is when you have buyers coming back, more than one product, or a steady flow of visitors you send yourself.
The five things that actually decide it
Most of the choice comes down to five questions:
- What does each sale cost? Platform fees range from a flat monthly fee to a share of every sale.
- Who handles sales tax and VAT? Some platforms act as the merchant of record, so they collect and pay the tax for you.
- How does the buyer get the file? Platforms deliver downloads for you. On your own site, you need a tool that does it.
- Who brings the buyers? A few platforms have a marketplace. Your own site only gets the visitors you send.
- Who owns the customer list and the brand? Your own site gives you the most control over both.
What the main platforms charge
These are the standard fees each vendor lists on its own pricing page today. Card and PayPal processing fees may apply on top, so check each page before you choose.
- Gumroad: 10% plus $0.50 per sale through your profile or direct links. Sales from new buyers who find you through Gumroad's Discover marketplace cost 30%. Gumroad is the merchant of record and handles sales tax.
- Payhip: the free plan takes 5% per sale. Plus costs $29 a month with a 2% fee, and Pro costs $99 a month with no transaction fee. Stripe or PayPal fees still apply on every plan.
- Lemon Squeezy: 5% plus 50 cents per transaction, with no monthly fee. It acts as the merchant of record for sales tax and VAT.
- Whop: 2.7% plus $0.30 per domestic card sale, with 1.5% more for international cards. Its tax and remittance option adds 2% when you turn it on.
- Stan Store: no transaction fee from Stan, with plans at $29 or $99 a month. Stripe and PayPal fees still apply.
What your own website costs per sale
With your own site and a Stripe checkout, Stripe lists 2.9% plus 30 cents per successful US domestic card payment. International cards add 1.5% when currency conversion is needed.
That is the lowest cut per sale. The trade is that you now run the parts a platform did for you: the site, file delivery, refunds and tax setup.
Stripe lists tax tools and a merchant of record service called Managed Payments on its pricing page, so you do not have to handle tax by hand. Check what they cost for your country before you switch.
Sales tax and VAT
Digital products can owe sales tax or VAT where the buyer lives, not just where you live. This is the part most first sellers miss.
A merchant of record platform, such as Gumroad or Lemon Squeezy, collects and pays that tax for you. Payhip says it collects and remits EU and UK VAT and US and Canadian sales tax for its sellers.
This page is general information, not tax or legal advice. Tax rules depend on where you and your buyers live, so check with a qualified accountant before you rely on any tool to cover them.
Who brings the buyers
Plan as if no platform will bring your first buyers. Even where a marketplace exists, a new product starts with no reviews and no sales history.
Gumroad lists a separate 30% fee for sales from its Discover marketplace, so those sales cost more than direct ones. Etsy also has shoppers searching for printables and templates, with its own fees and rules.
So the real question is where your buyers come from. If it is your social posts, newsletter or community, a platform and your own site start from the same place.
When to stay on a platform
- You are still waiting on your first steady sales.
- You sell one product and do not plan more soon.
- You do not want to think about tax, file delivery or refunds.
- You want to test a price or an idea this week, not next month.
When to add your own website
- Buyers come back for a second product.
- You have several products and want one place that shows them all.
- You send steady traffic from social media, email or search.
- You want your own domain, your own brand and your own buyer list.
The middle path most sellers use
You do not have to pick one. Many sellers build a simple site for their brand and send the Buy button to a Gumroad, Payhip or Lemon Squeezy checkout.
The site gives you a home you control for your story and your products. The platform still handles the payment, the file and the tax.
When sales grow, you can move checkout onto your own site later. Keep a copy of every buyer email you are allowed to keep, so moving is easier.
For related guides, see own website or stay on Etsy and first steps to sell your art online.
Comparison
| Option | Fee per sale (standard) | Monthly fee | Sales tax handled | Best for |
|---|---|---|---|---|
| Gumroad | 10% plus $0.50, or 30% via Discover | None | Yes, merchant of record | A simple first launch |
| Payhip | 5%, 2% or 0% by plan, plus Stripe or PayPal fees | $0, $29 or $99 | Collects EU and UK VAT, US and Canada sales tax | Sellers who want lower fees as sales grow |
| Lemon Squeezy | 5% plus 50 cents | None | Yes, merchant of record | Downloads and software with license keys |
| Whop | 2.7% plus $0.30 domestic card | None | Optional, 2% when on | Lower card fees if you sort tax yourself |
| Stan Store | 0% from Stan, plus Stripe or PayPal fees | $29 or $99 | Not listed on its fee page | Selling from a link in bio |
| Own site with Stripe | 2.9% plus 30 cents US domestic card | Your site costs | With Stripe tax tools or your own setup | Several products and traffic you bring |
| webmoz | Your Stripe fees on your own site | No subscription, points based | Depends on your Stripe setup | Owners who want the site built and a weekly posting plan |
Frequently asked questions
Is Gumroad or Payhip cheaper?
It depends on your sales. Payhip's free plan takes 5% per sale plus Stripe or PayPal fees, and Gumroad takes 10% plus $0.50 per direct sale.
At higher sales, Payhip's paid plans lower or remove the platform fee for a monthly price.
What is a merchant of record?
It is the company that legally sells to the buyer. It collects the payment, charges the right sales tax or VAT and pays it to each country.
Gumroad and Lemon Squeezy say they act as the merchant of record. On your own site, you usually are.
Can I use a platform and my own website at the same time?
Yes. A common setup is a simple site for your brand with a Buy button that opens a platform checkout.
You keep your own domain and story, and the platform still handles the payment, the file and the tax.
Will my own website get me more sales?
Not on its own. A new site has no visitors until you send them, through posts, email, search or ads.
It lowers the fee per sale and gives you more control. It does not create demand.
When should I move off a platform?
When the fees each month cost more than running your own setup would, or when you need control the platform cannot give.
Prove the product sells first. Moving early adds work before you know it pays.
Sources
- gumroad.comGumroad: Pricing10% plus $0.50 per direct sale, 30% via Discover, merchant of record since January 1, 2025
- payhip.comPayhip: PricingFree 5%, Plus $29 a month 2%, Pro $99 a month 0%, Stripe and PayPal fees apply, EU and UK VAT and US and Canadian sales tax collected
- lemonsqueezy.comLemon Squeezy: Pricing5% plus 50 cents per transaction, merchant of record, some payments may carry extra fees
- docs.whop.comWhop Docs: Pricing and fees2.7% plus $0.30 domestic cards, 1.5% more for international cards, 2% tax and remittance when enabled
- help.stan.storeStan Store Help Center: Transaction fees0% transaction fee, $29 or $99 a month, Stripe and PayPal fees apply
- stripe.comStripe: Pricing2.9% plus 30 cents per US domestic card, 1.5% more for international cards with conversion, tax tools and Managed Payments merchant of record service
- webmoz.aiwebmoz: Pricingpoints based, no subscription, 500 free points on every new account
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