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	<title>GigaOM &#187; digital goods</title>
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		<title>GigaOM &#187; digital goods</title>
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		<title>Gumroad raises $7M to make selling online dead simple</title>
		<link>http://gigaom.com/2012/05/07/gumroad-raises-7m-to-make-selling-online-dead-simple/</link>
		<comments>http://gigaom.com/2012/05/07/gumroad-raises-7m-to-make-selling-online-dead-simple/#comments</comments>
		<pubDate>Mon, 07 May 2012 17:00:41 +0000</pubDate>
		<dc:creator>Ryan Kim</dc:creator>
				<category><![CDATA[Chirpify]]></category>
		<category><![CDATA[digital goods]]></category>
		<category><![CDATA[Gumroad]]></category>
		<category><![CDATA[Online Commerce]]></category>

		<guid isPermaLink="false">http://gigaom.com/?p=518327</guid>
		<description><![CDATA[Sahil Lavingia, a 19-year-old app designer behind Pinterest and Turntable.fm, has built a simple service called Gumroad that lets anyone monetize a link without having to set up their own store. The company announced it has raised $7 million three months after launching.<img alt="" border="0" src="http://stats.wordpress.com/b.gif?host=gigaom.com&#038;blog=14960843&#038;post=518327&#038;subd=gigaom2&#038;ref=&#038;feed=1" width="1" height="1" />]]></description>
				<content:encoded><![CDATA[<p><a href="http://gigaom2.files.wordpress.com/2012/05/screen-shot-2012-05-07-at-5-12-42-am.png"><img  title="Screen Shot 2012-05-07 at 5.12.42 AM" src="http://gigaom2.files.wordpress.com/2012/05/screen-shot-2012-05-07-at-5-12-42-am-e1336392827634.png?w=300&#038;h=200" alt="" width="300" height="200" class="alignleft size-medium wp-image-518368" /></a>Sahil Lavingia, a 19-year-old app designer behind Pinterest and Turntable.fm, wondered why selling digital goods online couldn&#8217;t be as easy as sharing on Twitter. So he built a simple service called <a href="http://www.gumroad.com">Gumroad</a> that lets anyone monetize a link &#8212; a PDF, blog post, song or playlist &#8212; without having to set up their own store or use an existing commerce marketplace.</p>
<p>The service, which launched in February, attracted a number of investors, including SV Angel, Accel Partners, Chris Sacca, Josh Kopelman, Max Levchin and others, who <a href="http://techcrunch.com/2012/02/08/gumroad-gets-1-1-million-from-chris-sacca-max-levchin-and-others-to-turn-any-link-into-a-payment-system/">put $1.1 million into Gumroad&#8217;s seed round</a>. But just three months later, Gumroad is announcing a $7 million Series A investment that is being led by Kleiner Perkins with participation from Crunchfund and existing investors. Kleiner Perkins partner Michael Abbott is joining Gumroad&#8217;s board.</p>
<p>Gumroad works by letting sellers post a URL to Gumroad, which creates a unique shortened link that leads back to Gumroad. Or they can upload a file of up to 1 GB in size. Sellers can set their price or leave it open to buyers as to how much over a certain amount they want to pay. Buyers who clicked on the link are presented with a simple product page with a description of the item and a button to buy. To purchase, they just need to enter in their email address and a credit card number. Buyers then get a link as well as an email receipt giving them access to the content.</p>
<p>Sellers are paid monthly via a PayPal account, minus Gumroad&#8217;s take, which is 5 percent of the purchase price plus 25 cents. Gumroad can be an attractive way for people to sell directly to users because it allows them to tap the channels they already use to interact with fans and followers such as Facebook and Twitter. Instead of having to set up their own commerce site or submitting their stuff to an existing market that takes a heavy cut, Gumroad offers a pretty streamlined way to sell.</p>
<p><a href="http://gigaom2.files.wordpress.com/2012/05/screen-shot-2012-05-07-at-5-16-59-am.png"><img  title="Screen Shot 2012-05-07 at 5.16.59 AM" src="http://gigaom2.files.wordpress.com/2012/05/screen-shot-2012-05-07-at-5-16-59-am-e1336393077221.png?w=220&#038;h=200" alt="" width="220" height="200" class="alignright  wp-image-518373" /></a>In some ways, it reminds me of <a href="http://gigaom.com/2012/04/24/chirpify-raises-1-3-million-expands-twitter-payment-platform/">Chirpify, a service that lets people transact directly through Twitter.</a> But that service also requires payment through PayPal, which not everyone has and it takes some getting used to buying directly through @replies on Twitter. Gumroad handles its own payments so it doesn&#8217;t have to depend on anyone else to complete the transaction.</p>
<p>There are still some questions about Gumroad. For instance, if I sell a link to my YouTube video, there&#8217;s still a chance that someone could just go there directly without paying. With a new payment service, you also have to trust that Gumroad is completely secure. And I&#8217;m not sure how Gumroad prevents me from monetizing someone else&#8217;s link. Lavingia told me that Gumroad monitors downloads to make sure people are not sharing links and it responds quickly to take down requests if someone tries to sell another person&#8217;s goods. And he said that the service is fully PCI compliant.</p>
<p>I think Gumroad is another great tool that is helping creators make money by going directly to fans. We&#8217;ve seen comedians like <a href="http://gigaom.com/2011/12/14/what-louis-ck-knows-that-most-media-companies-dont/">Louis CK sell their work online,</a> bypassing some of the existing sales channels. Now, with more options like Gumroad, Chirpify and <a href="http://www.kout.me/">Kout</a>, they can hold on to a greater portion of the revenue and also serve more savvy online fans who are ready to buy in more non-traditional ways. It doesn&#8217;t mean the old selling ways are gone, but these new tools are changing the game for how much freedom artists have to sell their wares.</p>
<br />  <img alt="" border="0" src="http://stats.wordpress.com/b.gif?host=gigaom.com&#038;blog=14960843&#038;post=518327&#038;subd=gigaom2&#038;ref=&#038;feed=1" width="1" height="1" /><p><a href="http://pubads.g.doubleclick.net/gampad/jump?iu=/1008864/GigaOM_RSS_300x250&#038;sz=300x250&#038;c=444538"><img src="http://pubads.g.doubleclick.net/gampad/ad?iu=/1008864/GigaOM_RSS_300x250&#038;sz=300x250&#038;c=444538" /></a></p><p><strong>Related research and analysis from GigaOM Pro:</strong><br />Subscriber content. <a href="http://pro.gigaom.com/?utm_source=tech&utm_medium=editorial&utm_campaign=auto3&utm_term=518327+gumroad-raises-7m-to-make-selling-online-dead-simple&utm_content=oryankim">Sign up for a free trial</a>.</p><ul><li><a href="http://pro.gigaom.com/2013/01/ces-2013-flash-analysis-disruptions-and-disappointments-from-consumer-techs-biggest-show/?utm_source=tech&utm_medium=editorial&utm_campaign=auto3&utm_term=518327+gumroad-raises-7m-to-make-selling-online-dead-simple&utm_content=oryankim">GigaOM Research highs and lows from CES 2013</a></li><li><a href="http://pro.gigaom.com/2013/01/how-hr-can-make-the-case-for-workforce-analytics/?utm_source=tech&utm_medium=editorial&utm_campaign=auto3&utm_term=518327+gumroad-raises-7m-to-make-selling-online-dead-simple&utm_content=oryankim">How HR can make the case for workforce analytics</a></li><li><a href="http://pro.gigaom.com/2013/01/the-2013-task-management-tools-market/?utm_source=tech&utm_medium=editorial&utm_campaign=auto3&utm_term=518327+gumroad-raises-7m-to-make-selling-online-dead-simple&utm_content=oryankim">The 2013 task management tools market</a></li></ul>]]></content:encoded>
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		<slash:comments>2</slash:comments>
	
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			<media:title type="html">Screen Shot 2012-05-07 at 5.12.42 AM</media:title>
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			<media:title type="html">oryankim</media:title>
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		<title>Amazon launches new touch-friendly Kindle Store for iPad</title>
		<link>http://gigaom.com/2012/01/10/amazon-launches-new-touch-friendly-kindle-store-for-ipad/</link>
		<comments>http://gigaom.com/2012/01/10/amazon-launches-new-touch-friendly-kindle-store-for-ipad/#comments</comments>
		<pubDate>Tue, 10 Jan 2012 17:40:25 +0000</pubDate>
		<dc:creator>Darrell Etherington</dc:creator>
				<category><![CDATA[@NYT]]></category>
		<category><![CDATA[Amazon Kindle]]></category>
		<category><![CDATA[amazon-inc]]></category>
		<category><![CDATA[Amazon.com]]></category>
		<category><![CDATA[digital goods]]></category>
		<category><![CDATA[digital publishing]]></category>
		<category><![CDATA[e-book]]></category>
		<category><![CDATA[e-books]]></category>
		<category><![CDATA[iPad]]></category>
		<category><![CDATA[Kindle]]></category>
		<category><![CDATA[mobile devices]]></category>
		<category><![CDATA[online store]]></category>
		<category><![CDATA[optimized store site]]></category>
		<category><![CDATA[standalone web app]]></category>
		<category><![CDATA[technologyinternet]]></category>
		<category><![CDATA[web app]]></category>

		<guid isPermaLink="false">http://gigaom.com/?p=468237</guid>
		<description><![CDATA[Amazon has now broken out its touch-friendly shopping experience for the iPad from its Kindle Cloud Reader product, in an effort to make it easier for everyone to buy books from the Kindle Store, and quickly read those purchases in Amazon's native iPad Kindle app.<img alt="" border="0" src="http://stats.wordpress.com/b.gif?host=gigaom.com&#038;blog=14960843&#038;post=468237&#038;subd=gigaom2&#038;ref=&#038;feed=1" width="1" height="1" />]]></description>
				<content:encoded><![CDATA[<p><a href="http://gigaom2.files.wordpress.com/2012/01/kindle-ipad-store.jpg"><img  title="kindle-ipad-store" src="http://gigaom2.files.wordpress.com/2012/01/kindle-ipad-store.jpg?w=300&#038;h=225" alt="" width="300" height="225" class="alignright size-medium wp-image-468259" /></a>Amazon on Tuesday announced a new touch-optimized version of its Kindle online store aimed at the iPad. The touch-friendly shopping experience used to be available only through Amazon&#8217;s Cloud Reader web-based Kindle reading client, but now it exists as a <a href="www.amazon.com/iPadKindleStore">standalone web app</a>, likely in an effort to accommodate native app users who don&#8217;t want to migrate to the HTML5 client.</p>
<p>If you <a title="Hands on with Kindle Cloud Reader for iPad" href="http://gigaom.com/apple/hands-on-with-kindle-cloud-reader-for-ipad/">checked out my hands-on of the Kindle Cloud Reader</a> back in August, you&#8217;ll already have a good idea of how the touch-optimized store works: You can browse recommendations and categories via a smooth scrolling highlights section with full cover pics, or check out best-seller lists. Big, finger-friendly buttons abound, making it much easier to browse and buy. In general, it&#8217;s far superior to using Amazon&#8217;s standard site.</p>
<p>Now that the store is broken out on its own, you can add it to your home screen for easy access, and also all books now offer the option to read samples and full purchased versions directly from your native Kindle app instantly. You can also still opt to read in the Kindle Cloud Reader web app, if you prefer.</p>
<p>I liked my initial experience with the Cloud Reader, but it wasn&#8217;t compelling enough to get me to abandon the native Kindle app. Now, the new optimized store site means it&#8217;ll be even easier for me to check out new content on my iPad, all while using my reading method of choice. This is a smart move for Amazon, which is clearly still seeing the value in keeping an up-to-date native offering available for iOS device owners, as it proved with its <a href="http://gigaom.com/apple/kindle-for-ipad-iphone-update-outshines-ibooks/">substantial update to the iPad app</a> in December. Considering apps seem to be <a title="Mobile app use soars while mobile browsing wanes" href="http://gigaom.com/2012/01/09/mobile-app-use-soars-while-mobile-browsing-wanes/">gaining momentum on mobile devices as compared to the web</a>, that&#8217;s not surprising.</p>
<br />  <img alt="" border="0" src="http://stats.wordpress.com/b.gif?host=gigaom.com&#038;blog=14960843&#038;post=468237&#038;subd=gigaom2&#038;ref=&#038;feed=1" width="1" height="1" /><p><a href="http://pubads.g.doubleclick.net/gampad/jump?iu=/1008864/GigaOM_RSS_300x250&#038;sz=300x250&#038;c=239060"><img src="http://pubads.g.doubleclick.net/gampad/ad?iu=/1008864/GigaOM_RSS_300x250&#038;sz=300x250&#038;c=239060" /></a></p><p><strong>Related research and analysis from GigaOM Pro:</strong><br />Subscriber content. <a href="http://pro.gigaom.com/?utm_source=apple&utm_medium=editorial&utm_campaign=auto3&utm_term=468237+amazon-launches-new-touch-friendly-kindle-store-for-ipad&utm_content=etherin">Sign up for a free trial</a>.</p><ul><li><a href="http://pro.gigaom.com/2011/11/connected-world-the-consumer-technology-revolution/?utm_source=apple&utm_medium=editorial&utm_campaign=auto3&utm_term=468237+amazon-launches-new-touch-friendly-kindle-store-for-ipad&utm_content=etherin">Connected world: the consumer technology revolution</a></li><li><a href="http://pro.gigaom.com/2011/12/whats-driving-the-next-phase-of-the-e-commerce-evolution/?utm_source=apple&utm_medium=editorial&utm_campaign=auto3&utm_term=468237+amazon-launches-new-touch-friendly-kindle-store-for-ipad&utm_content=etherin">What&#8217;s driving the next phase of the e-commerce evolution</a></li><li><a href="http://pro.gigaom.com/2011/12/forecast-the-evolution-of-the-e-book-market/?utm_source=apple&utm_medium=editorial&utm_campaign=auto3&utm_term=468237+amazon-launches-new-touch-friendly-kindle-store-for-ipad&utm_content=etherin">Forecast: the evolution of the e-book market</a></li></ul>]]></content:encoded>
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