Updated 31st October, 2025

Are you leaving money on the table with your current payment setup? The difference between keeping 93% of a sale versus 70% can mean thousands in lost revenue each month for online coaches. Understanding how Passion processes payments and the exact fees for each pathway is essential for building a profitable monetization strategy for your branded app.

How Passion Handles Payments for Your Branded App

Passion gives you three distinct payment pathways, each optimized for different scenarios. Your revenue strategy should match your audience's buying habits and your margin requirements.

PassionPayments: Your Web Checkout Solution

PassionPayments serves as your integrated payment gateway for web-based transactions, powered by Stripe. When customers purchase through your web app or checkout page, they complete the transaction directly within your branded environment without redirects. This streamlined experience supports major credit and debit cards plus digital wallets like Google Pay.

The system connects to your individual Stripe account, meaning funds flow directly to you. Payouts typically arrive within 2 to 7 business days after a transaction. PassionPayments also includes automated billing with retry mechanisms for failed payments, which you can adjust in your Stripe settings.

For creators selling subscriptions, courses, or high-ticket coaching packages, this web checkout path often delivers the best margins. You avoid the higher commissions charged by app stores while maintaining full control over the customer experience.

In-App Purchases (IAP): Mobile Convenience

When customers purchase directly within your iOS or Android app, the transaction flows through Apple App Store or Google Play Store's native payment systems. This creates a frictionless experience where users can buy using Face ID, Touch ID, or stored payment methods already linked to their device.

The trade-off for this convenience is commission. Apple and Google retain 15-30% of each transaction. The 15% rate typically applies to small businesses earning under $1 million annually through their respective app stores, or for subscriptions after the first year. The 30% rate applies above that threshold or during the first year of a subscription.

Passion charges no additional platform fee on top of these app store commissions. For impulse purchases, mobile-native upsells, or audiences who prefer never leaving the app, IAP can still drive net revenue growth despite the higher fees.

External Checkout Options

Creators on the Scale, Expand, or Plus plans can integrate external checkout pages through Zapier, connecting platforms like ThriveCart, SamCart, Shopify, or PayPal. When you route transactions through an external processor, Passion charges 0% platform fees.

This pathway works well if you already have a sales funnel built on another platform or need payment features Passion doesn't natively support. You only pay the fees charged by your chosen external processor. The customer experience involves a redirect from your app to complete the purchase before gaining access to your content.

Understanding Passion's Payment Processing Fees

Revenue optimization starts with understanding the total cost of each payment pathway. Here's the complete breakdown.

PassionPayments Platform Fee Breakdown

When you use PassionPayments for web checkout, you pay a 3.9% platform fee to Passion on each transaction. This fee sits on top of Stripe's standard processing charges, which are approximately 2.9% plus $0.30 per transaction for domestic cards.

Total estimated web checkout cost: 6.8% + $0.30 per transaction.

Example: $100 monthly subscription via web checkout

• Stripe fee: $3.20
• Passion platform fee: $3.90
• Net to you: $92.90

Example: $497 course via web checkout

• Stripe fee: $14.71
• Passion platform fee: $19.38
• Net to you: $462.91

Apple and Google In-App Purchase Fees

Apple and Google charge 15-30% of the transaction value for in-app purchases. The exact rate depends on your annual revenue and subscription lifecycle:

15% commission applies when:

• Your app generates less than $1 million per year in total in-app purchase revenue
• A subscriber has maintained their subscription for more than one year

30% commission applies when:

• Your app generates more than $1 million annually through in-app purchases
• A subscription is in its first year

Example: $29 monthly subscription via IAP

• At 15%: Apple/Google retains $4.35, you receive $24.65
• At 30%: Apple/Google retains $8.70, you receive $20.30

Passion adds no platform fee on top of these app store commissions. Payouts from Apple and Google typically occur 15 to 45 days after the end of the month, paid directly to your bank account.

Developer Program Fees (Apple & Google)

To publish apps on Apple App Store and Google Play Store, you must enroll in their developer programs. These costs are non-negotiable platform requirements:

• Apple Developer Program: $99 per year
• Google Play Developer: $25 one-time fee

Budget for the Apple fee as an annual recurring expense.

Other Potential Costs (Stripe, External Processors)

Beyond Passion's fees, understand your processor's complete rate card:

Stripe standard fees (used by PassionPayments):

• Domestic cards: 2.9% + $0.30
• International cards: +1.5% additional
• Currency conversion: +1% additional

PayPal fees (if used as external checkout):

• Standard online transactions: 2.99% + $0.49
• International transactions: 4.49% + fixed fee

External platforms (ThriveCart, SamCart, etc.):

• Fees vary by platform
• Passion charges 0% when using external checkout
• Check each processor's terms for transaction costs

Passion vs. Uscreen: A Payment Options and Fee Comparison

Creators evaluating Passion often compare it with Uscreen, another platform focused on video monetization and branded apps. Understanding how their payment models differ helps you choose the right fit for your business.

Uscreen's Payment Processing Model

Uscreen positions itself as a video-on-demand platform with strong OTT and TV app capabilities. Like Passion, Uscreen provides branded mobile apps and handles payment processing for creators. However, their fee structure and feature focus differ in meaningful ways.

Uscreen's transaction fees are not published on their pricing page and vary by plan tier, making direct comparison difficult without contacting sales. This contrasts with Passion's transparent 3.9% web checkout fee. Uscreen integrates with multiple payment gateways and processes subscriptions, pay-per-view, and rentals.

Reviews describe pricing on the higher end, though creators praise the platform's reliability and video-focused features. Understanding total cost of ownership remains important when comparing platforms, particularly as pricing changes over time.

Key Differences in Platform Fees

Passion's approach:

• 3.9% web checkout fee via PassionPayments
• 0% fee on in-app purchases (Apple/Google take 15-30%)
• 0% fee on external checkouts
• Clear separation between web and mobile payment paths

Uscreen's approach:

• Fee structure varies by plan tier
• Generally integrates with Stripe or other processors
• Video-first monetization with emphasis on subscription content
• Higher base plan costs but comprehensive video infrastructure

The primary distinction is Passion's transparent 3.9% web fee versus Uscreen's plan-bundled costs. Passion optimizes for creators who want control over payment routing, while Uscreen packages everything into tiered pricing focused on video streaming infrastructure.

Payment Fee Comparison at a Glance

Impact on Your Net Revenue

For a fitness coach selling a $49/month subscription:

Passion web checkout:

• Gross: $49
• Stripe fee: ($49 × 0.029) + $0.30 = $1.72
• Passion fee: $49 × 0.039 = $1.91
• Net: ~$45.37
• Margin: 92.6%

Passion IAP (15% rate):

• Gross: $49
• Fees: $7.35
• Net: $41.65
• Margin: 85%

Passion IAP (30% rate):

• Gross: $49
• Fees: $14.70
• Net: $34.30
• Margin: 70%

How to Optimize Your Monetization Strategy on Passion

Strategic payment routing can add thousands to your bottom line. Here's how to structure your offers for maximum profitability.

Choosing Between Web Checkout and IAP for Different Offers

Use web checkout (PassionPayments) for:

• High-ticket courses: Anything $200+ where margin matters
• Annual subscriptions: Better margin on large upfront payments
• Bundles: Multiple components justify web checkout routing
• Core membership tiers: Foundation of your monetization
• Margin-critical offers: When keeping 93% vs 70% impacts profitability

Use in-app purchases for:

• Impulse add-ons: Quick purchases under $30
• Monthly subscriptions: Under $50 where convenience matters
• Free-to-paid upgrades: Reduce friction for mobile users
• Mobile-first audiences: Users who rarely access desktop
• Retention-focused offers: Where checkout friction kills conversions

Use external checkout for:

• Existing sales funnels: Built on other platforms
• Custom payment plans: Terms Passion doesn't offer natively
• Affiliate integrations: Platforms requiring specific processors
• Advanced features: Checkout capabilities not available in PassionPayments

A hybrid approach works best. Passion's monetization features let you offer the same content through multiple purchase paths. Point high-intent buyers to web checkout in your marketing emails while enabling IAP for spontaneous mobile purchases.

Structuring Subscriptions and One-Time Purchases

Successful creators on Passion implement tiered pricing that matches customer commitment levels:

Freemium tier:

• Limited free content to demonstrate value
• Push notifications to drive upgrades
• Community access to build engagement

Monthly subscription ($29-$99):

• Full course access
• Weekly challenges
• Community participation
• Best for testing price sensitivity

Annual subscription ($249-$997):

• Everything in monthly
• Exclusive bonus content
• Priority support or coaching calls
• Route to web checkout for better margins

One-time purchase ($197-$997):

• Flagship course or program
• Lifetime access
• Always route to web checkout
• Ideal for launch campaigns

Offering both subscription and one-time options increases total revenue by capturing different buyer preferences.

Leveraging Bundles and Upsells for Higher Margins

Bundles increase average order value while justifying web checkout routing. The absolute dollar savings from web checkout versus 30% IAP becomes substantial on higher-price offers:

The Foundation Bundle ($497):

• Core course
• 30-day challenge
• Private community access
• Sell via web checkout for $462.91 net

The VIP Bundle ($997):

• Everything in Foundation
• Six group coaching calls
• Advanced modules
• Sell via web checkout for $929.30 net

On a $497 offer, web checkout nets you $314 more per sale than 30% IAP.

"What I love about Passion is that it's not just a platform to create your own app – it also provides invaluable training on how to build and sell your course." - Mathilde N. on G2

Pricing Strategies for Different Plans (Launch, Scale, Expand)

Your Passion plan affects feature access but not payment processing fees. Plan pricing varies but fee structures remain constant:

Launch ($99/month annual):

• PassionPayments available: 3.9% fee applies
• IAP available: 15-30% Apple/Google fee
• External checkout: Not included
• Best for: Testing your offer under $5K MRR

Scale ($239/month annual):

• PassionPayments: Same 3.9% fee
• IAP: Same 15-30% rates
• External checkout: Enabled via Zapier (0% Passion fee)
• Best for: $5K-$15K MRR, need external funnel integration

Expand ($599/month annual):

• All payment options available
• Same fee structure
• "Unlimited" users and content
• App Store listing support included
• Best for: $15K+ MRR, scaling to six figures

The payment processing fees stay consistent across plans. Higher tiers unlock features like removing Passion branding, external checkout integration, and submission support, but don't change your per-transaction costs.

Monitoring and Adjusting Your Payment Strategy

Track these metrics monthly:

Revenue by payment method:

• Web checkout revenue total
• IAP revenue total
• External checkout revenue total

Margin by payment method:

• Net revenue after all fees
• Average transaction value per path
• Conversion rate by method

Key performance indicators:

• Monthly recurring revenue (MRR)
• Average revenue per user (ARPU)
• Customer acquisition cost (CAC)
• Lifetime value (LTV)

Set a 90-day review cycle. If IAP subscriptions convert 40% better but yield 20% lower margins, calculate which path delivers higher net revenue at scale.

"Passion makes building your own e-learning app fast, simple, and stress-free... But what truly sets Passion apart is their client support." - Rob M. on G2

Real-World Examples: Creators Optimizing Revenue with Passion

Theory matters less than execution. Here's how real creators structure their payment strategies.

Case Study 1: Fitness Coach Boosts MRR with Web Bundles

A fitness coach moved her 30-day transformation program to Passion and implemented a hybrid payment strategy. She offered three tiers:

• $29/month via IAP for casual users
• $249/year via web checkout for committed clients
• $497 VIP bundle via web checkout with coaching calls

Results over 90 days:

• 60% of new subscriptions came via IAP at $29/month
• 25% chose annual at $249 via web checkout
• 15% purchased VIP bundle at $497 via web checkout

By routing high-ticket offers to web checkout, she kept an additional $3,200 monthly compared to routing everything through 30% IAP. Her completion rates increased 22% using push notifications for workout reminders.

Case Study 2: Educator Increases Completion via IAP Convenience

A language learning educator tested IAP versus web-only checkout for his monthly subscription. Despite the higher IAP fees, he found that mobile-first convenience increased conversion rates enough to offset the margin loss.

Test results:

Web checkout only:

• 100 visitors → 8% conversion → 8 subscribers
• Net per subscriber: $36.35 (web fees)
• Monthly net: $290.80

Web + IAP hybrid:

• 100 visitors → 12% conversion → 12 subscribers
• 7 via IAP (net $33.15 each) = $232.05
• 5 via web (net $36.35 each) = $181.75
• Monthly net: $413.80

The 42% revenue increase from higher conversion outweighed the margin hit from IAP fees. He continues to promote web checkout in email campaigns while enabling IAP for spontaneous mobile signups.

Risks and Mitigations in Payment Processing

Payment processing isn't just about fees. Understand these operational risks and how to address them.

App Store Review Delays and Payment Setup

Apple and Google review all apps and payment implementations before approval. While 50% of apps are reviewed within 24 hours and over 90% within 48 hours, rejections can add another 1-2 weeks for fixes and resubmission.

Common rejection reasons:

• Unclear app descriptions or screenshots
• IAP pricing that doesn't match app promises
• Missing privacy policy or terms of service

Mitigation steps:

• Start your Apple ($99/yr) and Google ($25) developer accounts in Week 1
• Follow Passion's app submission checklist from the Expand plan resources
• Have your web checkout live first so you can generate revenue during app store approval

Plan buffer time for troubleshooting submission issues and allow 2-3 weeks for initial app approval.

Managing Churn and Failed Payments

Failed payment recovery directly impacts MRR. PassionPayments includes automated retry mechanisms you can configure in Stripe:

Default retry schedule:

• First retry: 3 days after failure
• Second retry: 5 days after first retry
• Third retry: 7 days after second retry

Best practices for payment recovery:

• Send push notification when payment fails
• Offer payment update link in-app
• Provide grace period (3-7 days) before access removal
• Track recovery rate monthly

For a $29 subscription with 100 active subscribers and 5% monthly failed payment rate, recovering just 2 of those 5 failures saves $58 monthly or $696 annually per 100 subscribers.

Tax and Compliance Considerations

Stripe manages taxes for PassionPayments transactions, and Apple and Google handle taxes for IAP. However, you remain responsible for understanding your tax obligations in your jurisdiction. Budget for professional tax advice as you scale, particularly for international sales.

Take Control of Your Revenue with Passion

Payment processing fees are not just line items on a spreadsheet. They represent the difference between a sustainable creator business and one that struggles with cash flow. By understanding the true cost of PassionPayments, in-app purchases, and external checkout options, you can build a monetization strategy that keeps more money in your pocket.

The best creators on Passion think strategically about payment routing. They use web checkout for high-ticket offers and bundles where margin matters, enable IAP for mobile convenience and impulse purchases, and integrate external checkout when their existing funnels require it.

"I like that there's an easy to follow system to not only build your App but also your Business. It makes you think about the fundamentals of your business so that you can create an app that's suited for your clients' needs." - Emmely C. on G2

Start by calculating your current effective fee rate across all sales channels. Calculate your payment routing opportunity. If you route $100K annually through 30% IAP when 70% of those sales could use 6.8% web checkout instead, the difference is significant: $70K at 6.8% ($4,760) versus $70K at 30% ($21,000). That's a $16,240 annual difference that could cover your Passion subscription and fuel growth.

Ready to Optimize Your App's Revenue? Try Passion Risk-Free.

Sign up for Passion with a 30-day money-back guarantee. Build your branded app, test different payment pathways, and calculate your true net revenue before committing.

Creators also benefit from comprehensive training and community support through Passion Academy, which provides step-by-step guidance on optimizing your revenue strategy beyond just understanding fees.

FAQs

What is the total fee for a $100 course sold via PassionPayments?

You pay approximately $6.80 plus $0.30, netting $92.90. This includes the 3.9% Passion platform fee and Stripe's 2.9% + $0.30 processing fee.

Can I avoid the 3.9% PassionPayments fee?

Yes, by using external checkout through Zapier on Scale plans and above, which incurs 0% Passion fees. You only pay your external processor's fees.

Do Apple and Google fees apply to all mobile sales?

Only to purchases made directly within the native iOS or Android app using in-app purchase functionality. Web checkout sales avoid these fees entirely.

How long until I receive payments?

PassionPayments deposits arrive in 2-7 business days via Stripe. Apple and Google pay out 15-45 days after month-end. External processors follow their own schedules.

Can I offer the same product at different prices on web versus mobile?

App store policies prohibit directing users to lower-priced web options from within the app. However, you can structure different bundles or bonuses across channels, or promote web-exclusive deals through email and social media.

What happens if Stripe rejects my PassionPayments application?

Contact Passion support for troubleshooting. You can still sell via IAP or external checkout while resolving Stripe account issues.

Key Terms Glossary

PassionPayments: Passion's native web checkout system powered by Stripe, which includes a 3.9% platform fee plus Stripe's standard processing fees.

In-App Purchase (IAP): Purchases completed directly within a native mobile app using Apple App Store or Google Play Store payment systems, subject to 15-30% commission.

Platform fee: The percentage Passion charges on top of payment processor fees, currently 3.9% for web checkout via PassionPayments and 0% for IAP or external checkout.

Monthly Recurring Revenue (MRR): The predictable revenue generated from subscriptions each month, calculated by multiplying active subscribers by their average subscription price.

External checkout: Payment processing handled by third-party platforms like ThriveCart or PayPal, integrated with Passion via Zapier, which incurs 0% Passion platform fees.

Net revenue: The amount you keep after all payment processing fees, commissions, and platform charges are deducted from gross sales.