Want a quick and easy way to sell digital content online? Look no further then Gumroad. Gumroad is a web service that allows its users to sell digital content such as music, blog posts, graphics, website designs, source code, and even t-shirts with the click of the mouse. Simply signup with your Twitter or Facebook account (or using Gumroad’s own system) and you will be on your way to selling and making some money.

So how does Gumroad work? Users are required to have their own distribution system for the items they are selling on the service, while Gumroad functions as the payment platform. The fact that people must have their own distribution system in place helps prevent people from selling things that they do not own the rights to. Granted, it is not a perfect solution, however, it seems to be working thus far and will be interesting to how this potential issue plays out longterm.

When it comes to item pricing, Gumroad has imposed a minimum and maximum price requirement. All items can be sold for as little as $1 to a maximum price of $1,000. Gumroad takes 5% + $0.30 of each transaction that takes place on the site. For example: If you sell a digital video for $10, Gumroad will get $0.80 and the remaining $9.20 is what you will keep. At the end of every month, your earnings will be transferred to your Paypal account.

I reached out to the founder of Gumroad, Sahil Lavingia, to ask how many transactions the site was handling per month and while he did not provide a specific number he did say that he was happy with the number and that the site is growing. Which is good news. I really like the core idea behind the site and plan to use it in the future.

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One thing I would like to see on Gumroad is some kind of marketplace with a list of current items for sale on the site. I think this would help users generate more revenue and also make finding great digital content easier. Nonetheless, Gumroad is a great way to sell your creations that you may not have otherwise thought or had the opportunity to make money from.

  • Jeff, it’s been two years since you originally posted this article. Did you have a chance to try Gumroad yourself? How would you say it competes with alternatives, such as Ribbon and Sellfy? I’m trying to pick one provider, but it turns out it’s trickier than I thought, given that Gumroad is not playing well with Paypal.


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