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If you’re selling digital products like printables, ebooks, templates, or art downloads, you’ve probably heard of Etsy. While Etsy is a popular platform for handmade and digital goods, it’s not the only option out there. One alternative that’s gaining popularity is Gumroad.

In this post, I’ll explain why Gumroad could be a better fit for some sellers, especially those who want more control, fewer distractions, and a simpler setup. I’ll also go over all the pros of using Gumroad, including the fact that they handle VAT and taxes for you, just like Etsy.

What Is Gumroad?

Gumroad is a platform that lets creators sell digital and physical products directly to their audience. It’s particularly good for selling digital downloads such as:

  • Ebooks
  • Notion templates
  • Printables
  • Courses
  • Audio files and music
  • Software or design files
  • Memberships or subscriptions

You can set up a simple sales page, add your files, and start selling in minutes.

Key Benefits of Using Gumroad

1. They Handle All the VAT and Taxes for You

One of the best things about Gumroad is that, just like Etsy, they take care of VAT and sales taxes.

If you sell digital goods to customers in the UK or EU, VAT rules can get complicated. Gumroad registers, collects, and pays VAT on your behalf. You don’t need to worry about registering for VAT MOSS or working out tax rates for different countries.

This is a big time-saver and reduces the stress of selling internationally.

2. No Need for a Shopfront with Loads of Listings

With Gumroad, you don’t need to build a full shop like you would on Etsy. You can sell with just a simple product page or a link from your website, blog, or social media.

Each product has its own landing page, and you can customise it with images, video, product descriptions, and your branding. It’s quick and easy.

3. Simple Pricing Structure

Gumroad’s pricing is straightforward. They charge a 10% + $0.50 per transaction for sales made through your profile or direct links to your customers, and 30% per transaction when new customers find and buy from you through their Discover Marketplace.

There are no monthly fees or listing charges, which means you only pay when you make a sale – ideal when you’re just getting started.

4. No Listing Fees

Unlike Etsy, which charges a fee each time you list an item (and again every time it renews), Gumroad doesn’t charge for listings. You can upload as many digital products as you like and only pay when someone buys.

If you want to offer bundles, variants, or license options, Gumroad lets you do this without charging extra.

5. Direct-to-Customer Focus

With Etsy, you’re part of a large marketplace, which has its pros and cons. You might get traffic from people browsing, but you’re also competing with hundreds of similar products. Etsy can also change its algorithm or policies at any time.

Gumroad works more like a direct selling platform. You build your own audience through email lists, social media, or your website, and send them straight to your product page. There’s no competition on the same page, and you’re in full control of your pricing and promotions.

6. Easy to Use and Beginner-Friendly

Even if you’re not very technical, Gumroad is easy to use. You just upload your file, set the price, and write a short description. You can also choose to offer pay-what-you-want pricing, discount codes, or free downloads.

The platform takes care of delivering the files automatically after purchase. You don’t need to do anything manually.

7. Flexible Pricing Options

Gumroad allows you to set flexible pricing for your products. You can:

  • Set a fixed price
  • Offer products for free
  • Enable “pay what you want” pricing, where customers can choose how much to pay, starting from a minimum amount you set

This flexibility can help attract more customers and encourage generosity from those who value your work.

8. Extra Features

Gumroad also provides:

  • Customer email collection – useful if you want to start an email list
  • Analytics – see where your customers are coming from
  • Marketing tools, such as email updates and discount codes
  • Membership options – sell subscriptions or ongoing digital content

It may not be right if you rely heavily on marketplace traffic like Etsy brings. But if you’re already sharing links with your audience, Gumroad is an excellent low-hassle option.

Final Thoughts

Gumroad is a brilliant alternative to Etsy if you’re selling digital items. It’s simple to set up, beginner-friendly, and handles all the tricky VAT stuff for you. If you’re looking for a clean, easy way to sell digital downloads without the fuss of maintaining a full shopfront, give it a go.

You can sign up for free at gumroad.com and start uploading your products today.

Have you tried Gumroad? Let me know how you found it!

Sell digital products without the hassle. Discover the benefits of using Gumroad as a simple, tax-friendly alternative to Etsy.

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