Downloads, Licences and Delivery Without a Parcel
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The economics are different
Marginal cost is close to zero, which means margin is high and the business is really about acquisition rather than fulfilment. That changes what you can afford to spend attracting customers.
It also means discounting is tempting and can devalue the product quickly. High margin is not a reason to price low.
Tax is location-based and mandatory
Digital products are frequently taxed based on where the customer is, not where you are. That obligation applies from the first sale in many jurisdictions, with no threshold.
Get this right before launching rather than discovering it later. It affects your checkout, your invoicing and your registrations.
Delivery still fails
- Download links that expire before the customer opens the email
- Emails landing in spam, so the customer thinks nothing arrived
- Large files timing out on poor connections
- No route to redownload after a device change
- Licence keys sent but not recorded anywhere retrievable
Most digital product support contacts are about delivery, and nearly all are preventable.
Refunds need a considered policy
The customer keeps the file whatever you decide, so refunds are pure loss. A restrictive policy generates disputes; a generous one can be abused.
A common workable position is a clear refund window with an honest description of the product beforehand, so expectations are set and refunds are rare.
Piracy is a pricing question
Aggressive protection annoys legitimate customers and rarely stops determined copying. Most successful digital sellers focus on making buying easy and adding value that a copied file does not carry.
Updates, support and community are what a pirated copy lacks, and they are what keeps paying customers paying.
Frequently asked questions
How do we handle tax on digital goods?
Should download links expire?
What about refunds?
How do we prevent sharing?
Selling digital products without checking the tax position?
That obligation often applies from the first sale. Worth resolving before it accumulates.