Tips for web hosting business : Forget Paypal and 2Checkout!

  • Northtrex
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Post 3+ Months Ago

Over the past 2 years I had experiences with Paypal, 2Checkout and Worldpay. Everytime I changed our payment system it had a big impact on our business. I want to share with you my personal experience.

Paypal

1 - They will accept anyone to have an account with them. They do not check your background. Your visitors know it :roll:.

2 - Most hosts will start with Paypal but I don't think there is any serious hosts on earth using Paypal as their primary payment system.

3 - You cannot adjust your recurring payment when you use Paypal. You have to cancel your old subscription and start a new one when you wish to upgrade an account. If a client need a fast upgrade you can forget it. He needs to send you a request to upgrade his account then you need to send him a link to start a new subscription. Finally your client start a new subscription and he needs to wait for you to upgrade his account.

4 - Don't try to contact Paypal if you have a problem, their support is terrible.


2Checkout

1 - They do not offer a good support. Sometime you need to wait 3 days before they answer your emails which is not acceptable. As for Paypal you cannot upgrade an account, you need to cancel your old subscription and start a new one.

My favorite payment system: :D Worldpay :D

They answer all your emails within a few hours.

You can adjust your client's subscriptions at anytime!


Business tips :

If you are starting a new web hosting business start with a professional merchant account system like Worldpay. Yes it is expensive and you will have a lot of paper work to do before you start but it worth the investment. The day we changed our payment system to a merchant account we boost our sales by 200%.

I hope this article will help you to improve your sales!

Good luck!!
  • Anonymous
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Post 3+ Months Ago

  • Uncensored-Hosting
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Post 3+ Months Ago

We have our own merchant account. However we do accept payments from Paypal and Ikobo. In the 2-3 years we have been using PayPal I have found their tech support to be decent and certainly better than terrible. They have always responded to our emails and are always available via telephone when we need a faster response. Perhaps you should give them a call ... 888.221.1161
  • ATNO/TW
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Post 3+ Months Ago

Northtrex,

Why is it that I get the distinct feeling that you are a Worldpay partner (http://www.northtrex.com/order.html) and that you get a $100 Canadian for every referal that becomes a Worldpay partner (http://www.worldpay.com/usa_en/partners ... =ps_bronze)

Nice try -- but we see right through you here.

//edit -- also could you , please reduce your signature to three lines to comply with our posting rules...I've been meaning to ask you.

http://www.ozzu.com/announcements-rules/ozzu-rules-and-regulations-t697.html (section2)
  • musik
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Post 3+ Months Ago

I've had no problems with PayPal. WorldPay is good, that is granted, my boyfriend has used them a number of times for various projects.
  • harryhood
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Post 3+ Months Ago

Northtrex wrote:

3 - You cannot adjust your recurring payment when you use Paypal. You have to cancel your old subscription and start a new one when you wish to upgrade an account. If a client need a fast upgrade you can forget it. He needs to send you a request to upgrade his account then you need to send him a link to start a new subscription. Finally your client start a new subscription and he needs to wait for you to upgrade his account.



Actually you can change a paypal subscription. The following is paypals instuctions for changing a subscription entries details.


Quote:

To modify the terms of an existing subscription, you will need to
create a special subscription button with the new terms AND the
'modify' variable set to "1" or "2". You will need to manually add the 'modify' variable to the subscription button code, e.g.:

<input type="hidden" name="modify" value="1">


If the value is set to "1":

· An already existing subscriber will see a special 'Modify
Subscription' page. Customers who do not have an existing subscription will just go through the regular subscription flow.

If the value is set to "2":

· An already existing subscriber will see a special 'Modify
Subscription' page. This button will not process new subscribers.

(If the value is set to "0", it acts as if the variable is not present)

If you have more than one active subscription, the subscriber will
first be prompted to select which subscription they want to modify.

These are the variables that can be changed (at least one of these has to be different from an existing subscription to be recognized as a modified subscription):

· Recurring Rate (a3, p3, t3)
· item_name
· item_number

This is what cannot be changed:

· Trial periods (a1, a2, p1, p2, t1, t2)
· sra (reattempt on failure)

Note: If you plan to use Subscriptions Password management, Auto Return must be turned off in order to display the PayPal-generated username and password to the buyer.

For further assistance, please refer to the Subscriptions and Recurring Payments Manual.
  • OSGEN
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Post 3+ Months Ago

ATNO/TW wrote:
Northtrex,

Why is it that I get the distinct feeling that you are a Worldpay partner (http://www.northtrex.com/order.html) and that you get a $100 Canadian for every referal that becomes a Worldpay partner (http://www.worldpay.com/usa_en/partners ... =ps_bronze)

Nice try -- but we see right through you here.

//edit -- also could you , please reduce your signature to three lines to comply with our posting rules...I've been meaning to ask you.

http://www.ozzu.com/announcements-rules/ozzu-rules-and-regulations-t697.html (section2)


I think Northrex might be just a WorldPay customer (just like me). I doubt Northrex actually earns any referral commission based on the fact that i don't find any affiliate links or sign up pages for worldpay on their site.
  • top5hosting.com
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Post 3+ Months Ago

Just for the record: I am not getting commission for saying this! We have been using WorldPay for the past few years and we are more than happy. We started off in 2000 with another company (I would rather not mention their name). One day they simply phoned us to say they were no longer accepting recurring charges.

That very nearly ruined us. Getting more than a thousand clients to sign up for new accounts through WorldPay was a nightmare. Especially since many of them did not update their email addresses...


Lesson: Start with a professional company right from the start. I am not saying Paypal or 2CheckOut are not, I simply don`t know them.
John.
  • EzHostPlan.com
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Post 3+ Months Ago

SAY No, NO, NO to Paypal......They have the worst service I have ever seen. I have used them for 5 years now and have had enough of them. Now that eBay took them over it has all gone down hill. I think eBay just wants to accept payments for eBay auctions and nothing else. They want really gone down hill. I have used 2Checkout for about 2 years and they have been great. And I just started using ikobo because it is like Paypal but way better. They have live help operators everyday, not like Paypals 30 day email reply service and you can withdraw your funds on a ikard visa equivalent to Paypals mastercard.

Just my opinion. Those are the owns I have dealt with in the past and present.

Check these decals out http://www.decalboyz.com/calvinpaypal.htm This is on Paypalsucks

:)
  • CartikaHosting
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Post 3+ Months Ago

The problem that paypal (and other 3rd party processors) represent have absolutely nothing to do with their service, support, etc...

In my opinion, Paypal is the great evil of the hosting industry (along with CPanel - but, thats a discussion for another day). When Paypal is used properly, it is a very effective tool for webhosts. There are many many great hosting companies that accept paypal. However, Paypal also offers hosts an opportunity to take advantage of their clients - Since they are a 3rd party processor, they do not allow disputes for services purchased. This means hosting companies can advertise the heck out of these yearly specials, then simply disappear 3 months in with everyones money. This cannot and will not happen when purchasing a service utilizing a credit card directly (and not through a 3rd party like paypal), as Visa, MC and Amex would refund this money immediately via a chargeback. For this reason alone, I always recommend reputable hosting companies pick up a legitimate merchant account vs using paypal - if nothing else, it adds 1 level of separation between you and the "suspicious" hosts.

Northtrex wrote:
3 - You cannot adjust your recurring payment when you use Paypal. You have to cancel your old subscription and start a new one when you wish to upgrade an account. If a client need a fast upgrade you can forget it. He needs to send you a request to upgrade his account then you need to send him a link to start a new subscription. Finally your client start a new subscription and he needs to wait for you to upgrade his account.


H-Sphere & Plesk (maybe others as well) automate this if a host wishes to use Paypal.
  • ATNO/TW
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Post 3+ Months Ago

Heads up to the noobs who might be fooled. The following has been going around emails of late. On the surface it looks legit from paypal, even the paypal privacy policy link is a good one. However, the link to login is bogus and leads elsewhere. Just your standard paypal scam to steal your login info. If you see something like this in your email it did not come from Paypal. (Not to mention I've been getting these at an address that Paypal doesn't even have on record for me)

Quote:


Dear valued PayPal® member:



It has come to our attention that your PayPal® account information needs to be
updated as part of our continuing commitment to protect your account and to
reduce the instance of fraud on our website. If you could please take 5-10 minutes
out of your online experience and update your personal records you will not run into
any future problems with the online service.


However, failure to update your records will result in account suspension.
Please update your records on or before November 15, 2004.

Once you have updated your account records, your PayPal® session will not be
interrupted and will continue as normal.

To update your PayPal® records click on the following link:
http://www.paypal.com/cgi-bin/webscr?cmd=_login-run



Thank You.
PayPal® UPDATE TEAM

Accounts Management As outlined in our User Agreement, PayPal® will
periodically send you information about site changes and enhancements.

Visit our Privacy Policy and User Agreement if you have any questions.
http://www.paypal.com/cgi-bin/webscr?cm ... cy-outside




Although in the copy and paste above that paypal link looks OK, in the email when you mouseover you'll see the link leads here:
http://65.75.140.150/~secure/
  • longcall911
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Post 3+ Months Ago

Over the years, I've used an integrated merchant account on one site, and PayPal on another. My experience with both has led me to the following.

If you are selling a small number of low priced items, PayPal is convenient, easy, and widely accepted by consumers as a standard form of payment. I wouldn't jump up and down about it, but it's fine for that basic purpose.

If instead you are selling high priced items, or a lot of items, or to other businesses, a real merchant account will normally fit you better. I would start by checking into which ones your hosting service makes available. Often, your store can be managed right from your control panel, which for me was a substantial benefit (time saver).

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