PayPal and WooCommerce have increased their payment processing fees. What does that mean for you?

We were all doing so well last year. We’d gotten our business websites online, and set up our stores. And orders were coming in.

Now, online small businesses are getting slammed by increased payment processing fees. We already knew PayPal was shifty asf, but this is getting ridiculous.

And whether you’re consistently hitting your monthly sales goals, or you’re struggling to move inventory, having to pay more of your profits to the e-commerce overlords isn’t fun.

So what do you do as a small business owner? How do you adapt to increased fees and still keep your business going?

Well, one idea is to ditch PayPal. There are alternatives.

Another idea is to reevaluate your pricing strategy.

Where can you recoup the payment fees? Can you increase prices on individual products, while offering discounts for bulk purchases?

Say you have a $19 item. With a 4% PayPal fee, you’d receive $18.24 on each sale of that item. You can raise the price of that item to $20 for single orders to make up for the 4% fee, and offer a .50 cent discount for bulk purchase of 3 or more items.

So at $19.50 x 3 (with a 4% PayPal fee) you’d make $56.16, as opposed to previously making $54.72 on 3 regularly priced $19 items.

Could a price cut actually boost your sales? Would scheduled promotions / discounts help increase your revenue?

If you’re not interested in raising your prices or offering bulk discounts, it might be time to revisit your marketing strategy.

Are you focusing your promotions on your best-sellers? Are you using video as part of your content strategy, to create stronger emotional and visual connections with your audience?

What can you do to increase return buyers? How can you adjust your marketing strategy to showcase the absolute value in your pricing?

Being a business owner means being able to adapt to change, and being willing to take short-term risks to achieve your long-term goals.

Don’t let these new payment fees stress you out. Book your call with Nineke Creative and we can figure out your new payment & pricing strategy together.


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