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⏱️ Reading Time: 10 minutes | 📅 Updated: June 2026
Table of Contents
What is Payhip?
Payhip is a UK-based e-commerce platform founded in 2013, specifically designed for selling digital products online. Unlike general e-commerce platforms, Payhip is laser-focused on helping creators, educators, and entrepreneurs sell digital downloads, online courses, memberships, coaching, and physical products — all from one simple dashboard.
Payhip’s standout feature is its forever-free plan — you can sell unlimited products with no monthly fee, paying only a 5% transaction fee per sale. This makes it ideal for creators just starting out who want to test the market before investing in a paid platform.
Payhip Key Features
1. Digital Product Selling
- Ebooks, PDFs, music, videos, software, templates
- Instant delivery after purchase — automatic download link
- Licence key generation for software
- PDF stamping (adds buyer’s name/email to prevent piracy)
- Drip content for online courses
2. Online Courses
- Built-in course builder — no third-party tool needed
- Video lessons, quizzes, and completion certificates
- Drip scheduling — release content over time
- Student progress tracking
- Course discussion boards & community
3. Memberships & Subscriptions
- Recurring memberships (monthly, annual)
- Member-only content areas
- Tiered membership levels
- Automatic billing & renewal
- Subscriber management dashboard
4. Coaching & Services
- Sell coaching packages (1-on-1 sessions)
- Calendly-style booking integration
- Digital service delivery
- Bundle products with coaching sessions
5. Marketing Tools
- Built-in affiliate programme — let others promote your products
- Discount codes & coupon campaigns
- Email list building (optional pay-what-you-want & social sharing)
- Upsells & cross-sells at checkout
- Mailchimp, ConvertKit & ActiveCampaign integration
Payhip Pricing Plans
| Feature | Free | Plus ($29/mo) | Pro ($99/mo) |
|---|---|---|---|
| Transaction Fee | 5% | 2% | 0% |
| Products | Unlimited | Unlimited | Unlimited |
| Courses | ✅ | ✅ | ✅ |
| Memberships | ✅ | ✅ | ✅ |
| Digital Downloads | ✅ | ✅ | ✅ |
| Custom Domain | ❌ | ✅ | ✅ |
| Remove Payhip Branding | ❌ | ✅ | ✅ |
| Affiliate Programme | ✅ | ✅ | ✅ |
| Priority Support | ❌ | ❌ | ✅ |
Payhip Pros & Cons
✅ Pros of Payhip
- Genuinely Free Forever — Sell unlimited products with no monthly fee
- All-in-One for Creators — Downloads, courses, memberships, coaching from one dashboard
- Built-in Affiliate Programme — Available on all plans including free
- EU VAT Handling — Automatically calculates and remits EU VAT (huge for digital sellers)
- PDF Stamping & Licence Keys — Protects digital products from piracy
- Simple, Clean Interface — Launch a product page in minutes
- No Technical Knowledge Needed — Anyone can start selling immediately
❌ Cons of Payhip
- 5% Transaction Fee on Free Plan — Adds up quickly at higher volumes
- Limited Physical Product Features — Not designed for physical goods at scale
- Basic Store Design — Less visual customisation than Shopify or Squarespace
- No Mobile App — Admin is browser-only
- Limited Analytics — Basic sales reporting vs more advanced platforms
- Payhip Branding on Free Plan — Your store shows “Powered by Payhip”
Payhip vs Competitors
| Feature | Payhip | Gumroad | Teachable | Shopify |
|---|---|---|---|---|
| Free Plan | ✅ (5% fee) | ✅ (10% fee) | ✅ (Limited) | ❌ |
| Transaction Fee (Free) | 5% | 10% | 10% | N/A |
| Courses Built-in | ✅ | Limited | ✅ | ❌ (needs app) |
| Memberships Built-in | ✅ | ✅ | ✅ | ❌ (needs app) |
| Affiliate Programme | ✅ All plans | ✅ | ✅ Paid only | App needed |
| EU VAT Handling | ✅ Automatic | ✅ | ✅ | Manual |
| Physical Products | Basic | ❌ | ❌ | ⭐⭐⭐⭐⭐ |
Payhip FAQ
Is Payhip really free?
Yes — Payhip’s free plan lets you sell unlimited products forever with no monthly fee. You pay a 5% transaction fee on each sale. There’s no trial period or credit card required to start.
What types of products can I sell on Payhip?
Payhip supports: digital downloads (ebooks, music, templates, software), online courses (with video lessons and quizzes), memberships (recurring subscriptions), coaching packages (1-on-1 services), and basic physical products with shipping.
Does Payhip handle VAT for European customers?
Yes — Payhip automatically calculates, collects, and remits EU VAT on your behalf. This is a major advantage for digital product sellers, as EU VAT compliance is complex and Payhip handles it completely for free.
Can I use Payhip with my existing website?
Yes — Payhip provides embeddable buy buttons and widgets that work on any website. You can also use Payhip as a standalone storefront (payhip.com/yourname) or connect a custom domain on paid plans.
Final Verdict: Is Payhip Worth It?
Overall Rating: ⭐⭐⭐⭐ (4/5)
Payhip is the best platform for creators selling digital products. The free forever plan, built-in affiliate programme, and automatic EU VAT handling make it stand out. Upgrade to Pro at $99/month to eliminate transaction fees once you’re generating consistent sales.
| Metric | Rating |
|---|---|
| Overall | ⭐⭐⭐⭐ 4/5 |
| Ease of Use | ⭐⭐⭐⭐⭐ 5/5 |
| Digital Product Features | ⭐⭐⭐⭐⭐ 5/5 |
| Value for Money | ⭐⭐⭐⭐⭐ 5/5 |
| Physical Products | ⭐⭐ 2/5 |
| Best For | Creators, educators, digital sellers |
| Starting Price | Free (5% transaction fee) |