Back to Blog
Platform Comparison
12 min read

Best Digital Platforms to Sell Your Products in 2026

The digital product market generated over $2.5 trillion in 2025, and choosing the right platform can make or break your success. After researching and comparing 10+ platforms, here's everything you need to know to make the right choice.

Quick Comparison: Annual Costs

PlatformAnnual CostTransaction FeesBest For
PengDrop$89/year0%Maximum profits
Gumroad$120/year10% + $0.50Quick setup
PayhipFree or $1,188/year5% (free) or 0%Courses
Sellfy$348-$1,908/year0%Print-on-demand
SendOwl$1,068/year$0.28/orderAdvanced security
Shopify$468-$4,788/year0%Mixed catalogs

Why Platform Choice Matters

Your platform choice directly impacts your profit margins. At $5,000/month in sales, the difference between platforms can cost you $1,000+ per year in fees alone. Beyond pricing, factors like customization, features, and ease of use determine whether you'll succeed or struggle.

The 3 Types of Digital Product Platforms

1. Marketplaces (Etsy, Amazon, Creative Market)

Best for: Beginners without an audience
Pros: Built-in traffic, no marketing needed initially
Cons: High competition, no customer data, no brand control

2. All-in-One Platforms (PengDrop, Gumroad, Payhip)

Best for: Most creators (95% of use cases)
Pros: Own your brand, customer data, custom storefront, better margins
Cons: Need to drive your own traffic

3. E-commerce Platforms (Shopify, WooCommerce)

Best for: Businesses selling physical + digital products
Pros: Maximum customization and control
Cons: Overkill for digital-only, more expensive, steeper learning curve

Detailed Platform Reviews

PengDrop

Pricing: Free (5% + $0.30) or $89/year (0% fees)

Best for: Cost-conscious creators wanting maximum profits

Pros

  • Lowest cost option - 0% fees on Annual plan
  • Beautiful custom storefronts
  • No revenue caps or product limits
  • Simple, predictable pricing
  • Free plan to test

Cons

  • No subscriptions or memberships yet
  • Newer platform (less established)
  • Fewer advanced automation features

Verdict: Best overall value for creators who want to keep more revenue

Gumroad

Pricing: $10/month (10% fee) or $10/month + 0% with Gumroad Pro

Best for: Creators who want quick setup and workflow integration

Pros

  • Very easy to get started
  • Strong creator community
  • Discover page for exposure
  • Email marketing built-in
  • Memberships and subscriptions

Cons

  • 10% + $0.50 fee on standard plan is expensive
  • Limited customization options
  • No custom storefront
  • Basic analytics

Verdict: Good for beginners but fees add up quickly

Payhip

Pricing: Free (5% fee) or $99/month (0% + advanced features)

Best for: Course creators and membership sites

Pros

  • Free plan available
  • Built-in course builder
  • Memberships and coaching
  • Automatic VAT/sales tax handling
  • Affiliate program

Cons

  • Pro plan is expensive at $99/month
  • Limited storefront customization
  • Transaction fees on free plan

Verdict: Great for courses but PengDrop is much cheaper for digital downloads

Sellfy

Pricing: $29-$159/month (no transaction fees)

Best for: Creators wanting print-on-demand integration

Pros

  • No transaction fees
  • Print-on-demand built-in
  • Email marketing included
  • Upsells and cart abandonment
  • Product subscriptions

Cons

  • No free plan
  • Starter plan caps at $10k/year revenue
  • Expensive for beginners ($29/month minimum)
  • Limited analytics

Verdict: Good features but monthly costs add up - $348-1,908/year vs PengDrop $89/year

LemonSqueezy

Pricing: 5% + $0.50 + payment processing (effectively 6.5-8%)

Best for: Software sellers wanting global tax compliance

Pros

  • Merchant of record (handles all taxes)
  • Supports 135+ currencies
  • Advanced subscription management
  • Webhooks and API access
  • Fraud prevention

Cons

  • Multiple hidden fees (5% + $0.50 + 1.5% international + more)
  • Expensive at scale
  • Complex pricing structure
  • Overkill for simple digital products

Verdict: Best for SaaS/software, too expensive for ebooks or templates

SendOwl

Pricing: $18-$89/month + per-order fees

Best for: Established sellers needing advanced security

Pros

  • PDF stamping for security
  • Cart abandonment recovery
  • Affiliate program built-in
  • Subscriptions and memberships
  • 15 years established

Cons

  • Very expensive ($18-$89/month + fees)
  • Complex pricing tiers
  • No custom storefront
  • Overkill for beginners

Verdict: Feature-rich but 12x more expensive than PengDrop ($1,068/year vs $89/year)

Shopify (with Digital Downloads app)

Pricing: $39-$399/month

Best for: Businesses selling both physical and digital products

Pros

  • Extremely powerful and scalable
  • Thousands of apps and themes
  • Great for mixed product catalogs
  • Advanced analytics and reporting
  • Strong SEO features

Cons

  • Expensive ($468-$4,788/year)
  • Overkill for digital-only products
  • Requires Digital Downloads app
  • Steeper learning curve

Verdict: Best for full e-commerce stores, not ideal for digital-only creators

Etsy

Pricing: $0.20 listing fee + 6.5% transaction fee

Best for: Creators wanting built-in marketplace traffic

Pros

  • Built-in audience of millions
  • No upfront costs
  • Great for templates, planners, art prints
  • Trusted brand recognition

Cons

  • High competition
  • No control over branding
  • Limited customer data access
  • 6.5% + listing fees add up

Verdict: Good for beginners without traffic, but you don't own the customer relationship

Thinkific

Pricing: Free (10% fee) or $49-$499/month (0% fees)

Best for: Professional course creators and online educators

Pros

  • 0% transaction fees on paid plans
  • Advanced course builder
  • Quizzes, certificates, assignments
  • Community features
  • White-label options

Cons

  • Focused only on courses
  • Not great for other digital products
  • Expensive for simple courses
  • Free plan has 10% fee

Verdict: Best dedicated course platform, but PengDrop is better for mixed digital products

Whop

Pricing: 4% + $0.40 per transaction (30% marketplace fee)

Best for: Community-driven products and memberships

Pros

  • No monthly fees
  • Built-in community features
  • Livestreaming capabilities
  • Subscription management
  • Affiliate system

Cons

  • 30% marketplace commission is very high
  • Focused on communities/memberships
  • Not ideal for one-time digital products
  • 4% + marketplace fee = ~34% total

Verdict: Great for communities but expensive total fees

How to Choose: Decision Framework

Choose PengDrop if:

  • ✅ You want to maximize profit margins (0% fees on Annual plan)
  • ✅ You're selling ebooks, templates, graphics, courses, or any digital downloads
  • ✅ You want a beautiful custom storefront
  • ✅ You need simple, predictable pricing
  • ✅ You're starting out and want a free plan to test

Choose Gumroad if:

  • • You prioritize speed and simplicity over costs
  • • You don't mind paying 10% + $0.50 per sale
  • • You want workflow automation and memberships
  • • You value the Gumroad creator community

Choose Payhip if:

  • • You're primarily selling courses or memberships
  • • You need built-in course hosting and tools
  • • You want VAT/tax automation (selling in EU)
  • • You can justify $99/month for pro features

Choose Shopify if:

  • • You're selling both physical and digital products
  • • You need maximum customization and scalability
  • • You have budget for $39-$399/month
  • • You're building a full e-commerce brand

Real Cost Example: Selling $5,000/Month

PlatformMonthly FeeTransaction FeesTotal Annual Cost
PengDrop Annual$7.42$0$89
Gumroad$10~$525 (10%)$6,420
Payhip Pro$99$0$1,188
Sellfy Growth$89$0$1,068
LemonSqueezy$0~$390 (6.5%)$4,680

At $5k/month sales, PengDrop saves you $979-$6,331 per year vs competitors.

5 Common Platform Selection Mistakes

1. Choosing based on brand name alone

Just because a platform is well-known doesn't mean it's the best fit. Gumroad is popular but charges 10% fees.

2. Ignoring transaction fees

A "free" plan with 10% fees costs more than an $89/year plan with 0% fees at any meaningful scale.

3. Picking a course platform for ebooks

Course platforms like Thinkific are overkill for simple digital downloads. You'll pay more for features you don't need.

4. Using Shopify for digital-only products

Shopify makes sense for physical goods, but it's expensive and complex for digital-only creators.

5. Not calculating total annual costs

Always calculate: (Monthly fee × 12) + (Transaction fees at your expected volume). The real cost surprises most people.

Our Final Recommendation

After analyzing 10+ platforms, PengDrop offers the best value for 90% of digital product creators. Here's why:

  • Lowest total cost: $89/year with 0% transaction fees saves you $979-$6,331/year vs competitors
  • Beautiful storefronts: Unlike Gumroad, you get a fully customizable branded store
  • No limits: Unlimited products, no revenue caps, grow without worrying about tier changes
  • Free to test: Start on the free plan, upgrade only when you're making sales

The only scenarios where you should consider alternatives:

  • • You need subscriptions/memberships → Choose Payhip or Gumroad
  • • You sell SaaS with complex tax needs → Choose LemonSqueezy
  • • You need PDF stamping security → Choose SendOwl
  • • You sell physical + digital → Choose Shopify

Ready to Keep More of Your Revenue?

Join creators who switched to PengDrop and are saving thousands per year in platform fees.

Start Free Today →

No credit card required • 0% fees on Annual plan • Cancel anytime