Exact profit margins on $10, $25, $50, and $100 products across Etsy, Gumroad, and Payhip. At $25 per sale: Etsy leaves $22.17, Gumroad $20.97, Payhip with Stripe $22.72.
TL;DR: Gumroad charges 10% + $0.50 per direct sale plus card processing (2.9% + $0.30), which makes it the most expensive of the three per sale. Etsy standard fees cost less, until Offsite Ads apply. Payhip has the lowest fees on its free plan but brings no buyers. At $25 per sale: Etsy leaves $22.17, Gumroad $20.97, Payhip with Stripe $22.72.
When you're building a digital product business, the platform fee conversation usually goes like this: someone says "Etsy takes 6.5%" and you nod, thinking that sounds reasonable. Then your first month of real sales arrives and you realize the fees on a $10 product come to 14% of the price. That gap matters.
I ran the exact numbers across Etsy, Gumroad, and Payhip at four price points, $10, $25, $50, and $100, including every fee layer most comparison guides conveniently skip. Here's what you actually keep.
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Why Profit Margin Matters More Than Revenue for Digital Sellers
Revenue is vanity. Profit is sanity. This is doubly true for digital product creators because the operational costs (hosting, file delivery, support) are nearly zero, which means the platform fee structure is one of the biggest variables in your actual business economics.
Two sellers with the same revenue can keep very different amounts depending on where they sell. On a $25 product, Etsy's standard fees leave $22.17, Gumroad's direct-sale fees leave $20.97, and Payhip's free plan with Stripe leaves $22.72. Multiply that gap by every sale in a year.
The platform decision isn't just about where buyers find you. It's about what percentage of every sale you actually keep.
Etsy Fee Structure for Digital Products in 2026: Full Breakdown
Etsy has three mandatory fee layers plus one that's functionally mandatory for competitive categories. For the full selling workflow, not just fees, see how to sell digital products on Etsy.
Listing fee: $0.20 per item Every time you publish a listing, you pay $0.20. Listings renew every 4 months or when a sale occurs. For digital products with high volume, this is minor. For sellers with 50+ listings doing low sales volume, it adds up faster than expected.
Transaction fee: 6.5% of sale price This applies to the full sale price, including any shipping (digital products have no shipping, so this applies cleanly to your price).
Payment processing: 3% + $0.25 (US) Etsy Payments (mandatory in most countries) charges 3% + $0.25 per transaction in the US. The rate varies by country.
Offsite Ads: 15% on referred sales, 12% above $10,000 over the previous 365 days Etsy charges 15% on any sale it attributes to its external advertising, or 12% once your shop has made $10,000 or more over the previous 365 days (a rolling window recalculated on the first of each month). Below that threshold you can opt out. Above it, Offsite Ads are mandatory, and the 12% rate stays for the life of the shop even if sales fall back under the threshold. The fee is capped at $100 per order. This is the fee that blindsides high-volume sellers.
Etsy effective take at common price points (excluding Offsite Ads):
| Sale Price | Total Fees | You Keep |
|---|---|---|
| $10 | $1.40 | $8.60 (86%) |
| $25 | $2.83 | $22.17 (89%) |
| $50 | $5.20 | $44.80 (90%) |
| $100 | $9.95 | $90.05 (90%) |
Total fees = listing fee + transaction fee + US payment processing. The listing fee and the fixed part of processing are flat amounts, which is why low-priced products on Etsy have disproportionately high effective fee rates.
Also in Etsy's fee policy, and missing from most margin math: the Offsite Ads fee is capped at $100 per order; listing in a currency other than your payment account's currency costs a 2.5% conversion fee; some countries add a regulatory operating fee, a percentage of the item price plus shipping; and Etsy collects and remits VAT on digital items delivered by automatic download, which matters for anyone selling to buyers outside the US.
Gumroad Fee Structure in 2026: What You Actually Keep
See the complete Gumroad selling guide for page setup, version tiers, and traffic.
Direct sales: 10% + $0.50 per sale, plus card processing On sales through your own profile or link, Gumroad charges 10% + $0.50 per transaction. Credit card processing (2.9% + $0.30) is charged on top, and PayPal fees apply to PayPal payments. There is no listing fee, no renewal fee, and no monthly fee.
Discover sales: 30% Sales made through Gumroad's own marketplace are charged a flat 30%, processing included.
Volume discount: once your paid sales in a calendar month reach $20,000, new direct sales that month are charged 5% + $0.50.
Gumroad effective take on direct card sales:
| Sale Price | Total Fees | You Keep |
|---|---|---|
| $10 | $2.09 | $7.91 (79%) |
| $25 | $4.03 | $20.97 (84%) |
| $50 | $7.25 | $42.75 (86%) |
| $100 | $13.70 | $86.30 (86%) |
Total fees = Gumroad's 10% + $0.50 + card processing (2.9% + $0.30). The two fixed amounts weigh heavily on low prices.
Payhip Fee Structure in 2026: The Underdog Option
Payhip has three tiers, and the free plan is genuinely competitive.
Free plan: 5% transaction fee, no monthly cost Plus plan: $29/month + 2% transaction fee Pro plan: $99/month + 0% transaction fee
All plans include file hosting, automatic delivery, EU VAT handling, and a built-in affiliate program.
Payhip doesn't include payment processing in its fee: you also pay Stripe or PayPal. With Stripe's standard US card rate (2.9% + $0.30):
Payhip effective take on the Free plan, Stripe included:
| Sale Price | Total Fees | You Keep |
|---|---|---|
| $10 | $1.09 | $8.91 (89%) |
| $25 | $2.28 | $22.72 (91%) |
| $50 | $4.25 | $45.75 (92%) |
| $100 | $8.20 | $91.80 (92%) |
Side-by-Side Profit Margin Comparison
Here's the three-way comparison, with card processing included everywhere (Etsy Payments, Gumroad card processing, Stripe for Payhip):
| Sale Price | Etsy (standard fees) | Gumroad (direct sale) | Payhip (Free + Stripe) |
|---|---|---|---|
| $10 | $8.60 (86%) | $7.91 (79%) | $8.91 (89%) |
| $25 | $22.17 (89%) | $20.97 (84%) | $22.72 (91%) |
| $50 | $44.80 (90%) | $42.75 (86%) | $45.75 (92%) |
| $100 | $90.05 (90%) | $86.30 (86%) | $91.80 (92%) |
What the table shows: per sale, Payhip's free plan leaves the most, Etsy's standard fees come next, and a Gumroad direct sale leaves the least at every price point in the table. Etsy loses that position on any sale attributed to Offsite Ads (12 to 15% on top). Gumroad's case is not its fee: it is the customer list you own and the absence of ad pressure.
Hidden Costs: What the Comparison Tables Don't Show
Etsy Ads pressure
Etsy's algorithm increasingly rewards sellers who run Etsy Ads. While technically optional, many sellers find their organic reach declines when they stop running ads, and any ad budget comes on top of the fee structure above.
Currency conversion
If you sell internationally (which you will), platforms handle currency conversion differently. On Etsy, listing in a currency other than your payment account's currency costs a 2.5% conversion fee. Check the other platforms' fee policies for their conversion charge before you price for a global audience.
Refund handling
On a Gumroad refund, Gumroad returns its fee except the payment-processing portion, which card processors do not return. Etsy refunds the transaction fee but not the listing fee or the payment processing fee.
Time cost
Etsy requires ongoing SEO optimization, photo updates, and review management that Gumroad doesn't require once you're driving your own traffic. This isn't a dollar cost, but it's real work.
Which Platform Has the Best Profit Margin for Beginners?
The profit margin question can't be fully answered without accounting for traffic.
If you have no existing audience: Etsy wins twice. Its standard fees leave more per sale than a Gumroad direct sale ($22.17 against $20.97 on $25), and it brings buyers. A $25 sale on Etsy is infinitely more valuable than a $25 Gumroad listing that gets zero visits.
If you have an engaged following or an email list: Gumroad costs more per sale, but you own the customer list and nobody pushes you toward ads. That ownership, not the fee, is the reason to choose it.
If you have steady monthly volume: Run the Payhip math. The Plus plan ($29/month + 2%) and the Pro plan ($99/month + 0%) trade a fixed monthly cost for a lower transaction fee; the break-even depends on your volume.
For a broader platform comparison that includes discovery and audience factors, see our full Etsy vs Gumroad vs Payhip comparison.
Frequently Asked Questions
What percentage does Etsy actually take from digital product sales?
Without Offsite Ads, Etsy's fees come to 10% of a $100 sale and 14% of a $10 sale. Breaking it down: 6.5% transaction fee + 3% + $0.25 payment processing (US) + $0.20 listing fee per sale. Once your shop has made $10,000 or more over the previous 365 days, Offsite Ads become mandatory and add 12% on Etsy-referred sales (15% below that threshold if you stay opted in), capped at $100 per order. The "6.5% fee" headline figure dramatically undersells the true take rate.
Does Gumroad have any monthly fees?
No. Gumroad charges only when you make a sale: 10% + $0.50 per direct sale, plus card processing (2.9% + $0.30), or a flat 30% on Discover sales. There is no monthly fee, no listing fee, no renewal fee. You can have 1 product or 100 products listed and pay nothing until a sale happens. This zero-risk model makes Gumroad ideal for new sellers testing products before investing in a paid platform.
Is Payhip actually better than Gumroad for profit margins?
On fees, yes. Payhip's free plan charges 5% plus Stripe (2.9% + $0.30); Gumroad charges 10% + $0.50 plus card processing (2.9% + $0.30). On a $25 sale that leaves $22.72 on Payhip against $20.97 on Gumroad. Choose Gumroad for its storefront and audience tools, not for its fee.
What are the total fees on a $25 digital product on Etsy?
$2.83: the $0.20 listing fee, the 6.5% transaction fee and US payment processing (3% + $0.25). You keep $22.17. If that sale came from Etsy's Offsite Ads, add another 15% of the price, or 12% for a shop above the threshold.
Which platform has zero listing fees for digital products?
Both Gumroad and Payhip charge no listing fees. You can publish as many products as you want on either platform at no charge, fees only apply when you make a sale. Etsy charges $0.20 per listing, renewed every 4 months or at point of sale.
Is it worth moving from Etsy to Gumroad?
Usually not as a full replacement: you'd lose Etsy's organic traffic, which has real acquisition value. The smarter move is additive: keep your Etsy listings active for marketplace discovery, and build a Gumroad storefront that you drive your own traffic to. Your Etsy buyers provide social proof; your Gumroad store costs more per sale, and what you gain in exchange is the customer list: every Gumroad buyer's email address is yours.
What is the cheapest way to sell digital products online in 2026?
Payhip's free plan at 5% (plus payment processing) is the lowest-fee option for sellers with existing traffic. For sellers starting from zero who need marketplace discovery, Etsy's standard fees are lower than Gumroad's and come with organic traffic. Gumroad costs the most per sale (10% + $0.50 plus card processing) and earns its place with its storefront and creator tools.
How do fees compare when selling high-ticket products ($100+)?
On a $100 sale, fees come to $9.95 on Etsy (standard fees), $13.70 on a Gumroad direct sale, and $8.20 on Payhip Free with Stripe. At that price the gap is a few dollars per sale: base the decision on traffic and audience as much as on fees.
Choosing the right platform matters less than choosing the right niche. A product in a gap with 500 buyers searching and 10 sellers will outperform a platform optimization by 10×. Scan your niche free to see demand and competition data before deciding where to list, then use the fee data above to choose the platform that keeps the most margin.
Related Reading
- Etsy vs Gumroad vs Payhip, Full Platform Comparison
- Gumroad vs Etsy: Which Platform Gets More Organic Traffic?
- How to Sell Digital Products on Gumroad for Beginners
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Founder of Kupkaike. Sells digital workbooks on Etsy and builds AI tools for creators. More about Michael
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