Payhip vs Lemon Squeezy: Which Platform Is Better for Selling Digital Products in 2025?

Templates, courses, software, maybe even subscriptions and now you’re trying to pick the right platform. You’ve probably narrowed it down to Payhip vs Lemon Squeezy, and let me tell you… this one isn’t as straightforward as it looks.

I’ve used both to sell digital downloads, and while they both get the job done, the way they do it feels completely different. Lemon Squeezy is sleek, modern, and built for developers and SaaS folks. Payhip, on the other hand, feels like it was actually made for creators — authors, coaches, course sellers, designers, etc.

If you’re stuck between them, here’s what I’ve learned using both and what you should consider before choosing either one.

My First Experience With Lemon Squeezy: Pretty… But Not For Everyone

Lemon Squeezy is cool. Like, design-agency cool. When I first signed up, I was immediately impressed by the interface. It’s fast, minimalist, and built like a modern SaaS product.

It handles:

• Digital downloads

• Subscriptions

• Software licensing

• Taxes and VAT compliance (automatically!)

And if you’re selling to international customers or building a paid SaaS tool? That tax automation alone might be reason enough to use it.

But… as a non-developer trying to sell digital PDFs and Notion templates, I hit some friction.

• No course builder

• No storefront (unless you count product landing pages)

• Limited customization for pages

• Not much for creators focused on branding or SEO

• No built-in email marketing or affiliate system

If you’re selling downloadable software or a license-based tool, Lemon Squeezy is brilliant. But if you’re a digital creator or coach, it feels sterile — like it wasn’t designed for you.

Payhip: All-in-One for Creators (Without the Tech Overload)

After struggling to make Lemon Squeezy work for a non-techie product line, I went back to Payhip and I’ve been there ever since.

What makes Payhip stand out for me is how creator-focused it is:

• Sell digital downloads, courses, memberships, coaching, and even physical products

• Built-in email marketing

• Create discount codes, product bundles, and upsells

• Run your own affiliate program

• Set up a full storefront with custom pages and blogging features

• Integrate with PayPal and Stripe for instant payouts

And you don’t have to bolt on tools or figure out tax compliance on your own — Payhip lets you set VAT MOSS collection rules, and you can handle tax settings per product or region.

The best part? It’s free to start. You only pay a small transaction fee (5%) or you can upgrade to reduce it to 2% or 0%.

Side-by-Side Breakdown (What Actually Matters)

When Lemon Squeezy Wins

Let’s be fair, Lemon Squeezy is awesome if you:

• Sell software, SaaS tools, or apps

• Need license key management

• Sell internationally and want hands-off tax/VAT compliance

• Want simple product pages with a developer-friendly backend

• Are focused on dev tools, design kits, or plug-ins

If that’s your niche? It’s a solid choice. Especially for indie hackers and tech founders who want clean billing and no fuss.

Why Payhip Is My Go-To for Digital Products?

If you’re selling ebooks, templates, online courses, printables, or coaching — Payhip just makes sense. It’s built for creators like us. The kind who are building out a product ecosystem, growing an audience, and want tools that support long-term growth without draining the budget.

I’ve launched:

• A full mini-course with drip content

• Downloadable guides with PDF stamping

• A subscription-based email club

• Upsells, affiliate promotions, and lead magnets

…all using just Payhip. No plugins, no custom code, no extra apps.

Final Thoughts: Which Should You Use?

Here’s how I’d sum it up:

• Choose Lemon Squeezy if…

  • You’re a developer or SaaS founder

  • You sell license-based tools or design assets

  • You need help with international tax handling

  • You want minimal setup and clean, simple billing

• Choose Payhip if…

  • You sell digital products, online courses, coaching, or memberships

  • You want more control over branding and customization

  • You need built-in marketing tools (email, affiliates, coupons)

  • You want instant payouts and low or no monthly fees

I still respect what Lemon Squeezy is doing ,it’s just not made for every creator. And if you’re in the creator economy selling knowledge, content, or art… Payhip gives you everything you need without the friction.