My project was doing well, a popular open source image editor that had attracted a loyal community of users and contributors. To help sustain the project, I decided to start selling pre-made Lightroom presets as a way to generate revenue. I chose Gumroad as my payment gateway, thinking it was a simple and straightforward solution. After all, it had worked for countless other creators.
The Problem We Were Actually Solving
We were trying to generate revenue from a user base that was largely based in Eastern Europe. However, our payment setup was limited to Western payment gateways like PayPal, Stripe, and Gumroad. We had no idea that these gateways were not even available in some countries, let alone supported by many online payment methods prevalent in those regions.
What We Tried First (And Why It Failed)
I followed the standard Gumroad setup process, creating a store and listing my presets for sale. However, when I tried to make a purchase using a local bank transfer method, I encountered an error message stating that Gumroad did not support my chosen payment method. I tried to troubleshoot the issue, but eventually, it became clear that Gumroad's limitations were not compatible with the online payment landscape of my target market.
The Architecture Decision
After the initial failure with Gumroad, I started researching alternative payment gateways that could work with our user base. I discovered Payhip, which offered a more flexible payment system that supported various online payment methods. However, Payhip had its own set of limitations, and after testing it, I realized that it was not a suitable solution either. I then turned to a lesser-known payment gateway, Open Banking, which offered a more comprehensive set of features and support for various online payment methods in Eastern Europe.
What The Numbers Said After
The numbers were clear: Open Banking increased our sales revenue by 25 percent within the first month. This was a significant boost to the project's sustainability, and it also helped to reduce the load on our community managers who had been dealing with frustrated users who couldn't make purchases due to payment gateway limitations.
What I Would Do Differently
In hindsight, I would have started with a more comprehensive analysis of the payment landscape in our target market. I would have also explored more alternative payment gateways and options before settling on a single solution. Moreover, I would have considered involving our community in the payment setup process to get their input and feedback. By doing so, we could have avoided the costly mistake of choosing a payment gateway that didn't serve our needs and would have saved us time and resources in the long run.
Top comments (0)