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Sunday, December 11, 2016

Paypal Buttons vs. eCommerce website


Totally up to your business needs. Don't get me wrong, an eCommerce website is the way to go if the majority of your sales happen online and you sell thousands of dollars worth of inventory in a given month.  So let's start with some basics - eCommerce takes time and money, incorporating PayPal buttons to your site is fast and easy.  

The main thing to focus on is how much money you are generating. PayPal charges an overall percentage on all sales and they add up quickly.  Another disadvantage is your money not being available when you need it, although the PayPal debit card transfers money instantly - the majority of people prefer the money being deposited into their business checking accounts.  In addition, PayPal disputes generally land in the buyers favor regardless of the evidence you collect.

Buy Now Button Pros:

  • PayPal doesn’t have any ongoing fees or long term contracts which makes it convenient.
  • “Buy Now” buttons can be encoded to allow your customers to purchase an item with a fixed amount.
  • Buyers may purchase multiples of the same items.
  • PayPal will track inventory of these items if that is required.
  • PayPal has a simple refund process should you need to do that.
  • PayPal provides for the ability to have thank you pages and cancellation pages to which site visitors are routed after the successful purchase or at the cancellation of a purchase.
  • PayPal provides functionality to customize your purchase screen with your logo and colors.

Buy Now Button Cons:


  • “Buy Now” or a PayPal button doesn’t have shopping cart functionality, meaning customers cannot put an item in a virtual shopping basket and continue shopping.
  • Every time a new item must be added, you will either need to code a new PayPal button or call your web developer add a button. While not highly complex, it involves a few steps and it may be confusing to those who don’t use it regularly.
  • Consumers unfamiliar with the use of a PayPal button, may not understand that they may pay with credit cards, and are not required to have a PayPal account. You may need to explain the process or have a separate set of FAQs to help them. However, many companies now use these buttons so more are familiar with them.
How do you decide what you really need?

Easy. How much money are you generating per month on average? Current PayPal fees are at:

So take into consider they will add up quick. If you are generating just as much fees as income then it's time to consider eCommerce as a long-term solution. Also, put it into perspective that these fees are in lieu of the initial eCommerce website development cost, which can go upward of $10K~ along with any monthly subscriptions and maintenance fees. 

In all, if you are making lots of money thru online shoppers  whatever financial solution you decide the sales will pay for any overhead cost.

So what's the verdict? PayPal for quick and easy set-up and monthly sales under $5K~ but if you have the budget and time generating over $5K~ per month, then eCommerce is the way to go.

Need help assessing your business needs and deciphering all the mumbo jumbo of web development?  Give us a call or text: 415.855.0001 or email: info@thetalently.com.

Want more articles about eCommerce websites tips and tricks? Drop me a line: mt@thetalently.com.


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