Monetization For Startups
Startup Highway
Tim Messerschmidt
Developer Evangelist (EMEA)
@SeraAndroid
Who Am I?
Tim Messerschmidt,
Developer Evangelist
working for PayPal.
Android Developer
living in Berlin.
I ♥ Java, Ruby, CSS3,
HTML5 & JavaScript!
This talk will be about
-  What is PayPal?
-  Monetization
-  How can we help?
-  Questions
Innovation
... by solving problems
Enable
merchants to
sell online
Enable
customers to
buy online
Sender Receiver
Transaction
Sender Receiver
Transaction
Item /
Service
Secure
Easy
Fast
128m
active users
193
countries & regions
25
supported currencies
80
localized websites
Local Merchants
Big Mac Menu:
-  Fries
-  Ketchup
-  Water
... keeping it healthy
23
Digital Goods
Physical Goods
Physical Goods
•  Subscriptions
•  Freemium
•  Affiliate NetworkS / Advertisement
•  Revenues Sharing
•  Ecommerce (Digital & Physical)
•  Transaction-based fees
•  Paid Apps
Monetization Models
Subscriptions
•  Best strategy around if your business model
supports it
•  No reliance on the customer having to remember
to pay
Examples:
•  Charge fixed amounts based on a predefined
schedule
•  Charge different amounts over time
Subscriptions
Billing
Agreements
Reference
Transaction
•  Unlimited number of transactions and
amount that can be charged
– Like a Direct Debit agreement
•  Much higher risk
– Higher access barriers for developers /
merchants
•  Allows for one-click experience
– Each transaction triggers the API
Billing Agreements
Pre-Approvals
•  Similar to subscription but more flexible
•  Permission to charge the customer up to a
certain amount or maximum number of
transactions
•  Good for risk since buyer sets his own limit
Pre-Approvals
Freemium
Cart Systems
Crowdfunding
The right tools
... for your problem
PayPal’s APIs
New and simple
transaction
focused API
REST API
US only
Europe can be tested already
Important
Payments in
< 10 seconds
PayPal Buttons
Adaptive
Payments
PayPal’s API
Sender Receiver
10 $
Simple Payments
Sender
Receiver
Receiver
Receiver
10 $
20 $
5 $
Parallel Payments
2nd
Receiver
2nd
Receiver
2nd
Receiver
1st
Receiver
Sender
100 $
20 $
20 $
20 $
Chained Payments
2nd
Receiver
2nd
Receiver
2nd
Receiver
1st
Receiver
Sender
100 $
20 $
20 $
20 $
Chained Payments
2 ways
Backend or via SDK
Using PayPal On Mobile
Android SDK
Sample App:
•  Sell a football jersey
•  Fast Checkout
•  Nice Interface
Present the
product & allow
to purchase it
Android SDK
Allow to pay via
PayPal or Card
Android SDK
The user enters
his credentials:
•  Email
•  Password
Android SDK
The user needs
to confirm his
payment...
Android SDK
... and will be
presented a
confirmation of
his purchase
afterwards.
Android SDK
What if the user
doesn’t want to use
PayPal or doesn’t
have an account?
Accept credit
cards in your
application
manually or...
Android SDK
... via image
recognition
technology in
your app!
Android SDK
iOS SDK
Implementation
In 10 minutes
Your app needs to
communicate with
a server to verify
payments
Criteria to use to
verify payments:
bit.ly/19FIis6
{
"proof_of_payment": {
"rest_api": {
"state": "approved",
"payment_id": "API-PAYMENT-ID-1843"
}
},
"payment": {
"short_description": "Paris SG Jersey",
"amount": ”59.99",
"currency_code": "USD"
},
"client": {
"platform": "Android",
"paypal_sdk_version": "1.0.2",
"environment": "live",
"product_name": "PayPal Android SDK"
}
}
REST-API proof of payment: Adaptive Payments proof of payment:
{
"proof_of_payment": {
"adaptive_payment": {
"pay_key": "AP-70M68096ML426802W",
"payment_exec_status": "COMPLETED",
"timestamp": "2013-02-20T00:26:25Z",
"app_id": "APP-91B933855X481767M"
}
},
"payment": {
"short_description": "Paris SG Shirt",
"amount": "59.99",
"currency_code": "USD"
},
"client": {
"platform": "Android",
"paypal_sdk_version": "1.0.2",
"environment": "live",
"product_name": "PayPal Android SDK"
}
}
Somebody did that
work for you:
bit.ly/19FHQde
Painless Payments for Droids
Tim Messerschmidt
Identity
Login with...
Google Facebook Twitter
... or PayPal.
Login with...
Painless Payments for Droids
Tim Messerschmidt
Summarizing Authentication
Log In with PayPal
OpenID Connect
Log In via
PayPal in the
browser or a
WebView.
Name
Email
Date of Birth
Locale
Time Zone
Address
Gender
Language
Phone Number
Verified Account
Creation Date
Your Identity
Verified Data
Trusted Identity Provider
No need to (re-)enter
your password after
logging in
Seamless Checkout
Summarizing Identity
Documentation
developer.paypal.com
Information
Open Source
GitHub.com/paypal
Information
Questions?
Thanks!
Tim Messerschmidt
@SeraAndroid
tmesserschmidt@paypal.com
SlideShare.com/paypal

Startup Highway Workshop