Digital Goods vs Physical Products

Different sets of constraints

So, physical products compared to digital goods or services have different sets of constraints. Physical products need functions to quote the delivery price. They call for a logistics chain to deliver. Digital goods and services on the contrary demand the customer to download, or the seller to deliver by email or on-line. If the digital goods need a media or iles, storage might be necessary. Digital goods, services and subscriptions might involve periodic invoicing and payment.

Digital goods and services require an online environment distinct from physical products delivered them by post or carrier. Digital goods, services or subscriptions call as well for suitable methods and payment solutions.

Example Cases

  • Software
  • E-Books
  • Music
  • Video (if not delivered on a physical media)
  • Information PDFs
  • Training (if not delivered online)
  • Tutorials
  • Services rendered on-line
  • Services rendered off-line
  • Contract subscriptions
  • Publication subscriptions
  • Event subscriptions

Online payments' risks

All payments made by card can be contested by the buyer. This is a risk attached to all sales paid by card. But the sale of online or off-line services, training or subscription carries specific risks.

Music vs Guitar or Shoes

Choice criteria

To decide for the best online environment, experience and trials form the basis of our choice criteria. We take into account: the features available, quality, speed and easiness of each solution for the customer and the website's owner. We review each of them for cost and cost structure, and marketing aspects. This allows us to retain a hand of interesting offers, presented in our Resources area under Selling intangibles. We also consider the possible risks attached to such type of sales.

Resources

In our Resources area, we comment as well classical e-commerce solutions, shopping carts and more, dedicated mainly to physical products. See Ready-made e-commerce. On the custom development side, for a fully integrated solution, see Business as a whole. Pricing

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