For the first time in App Store history, US merchants accepting in-app payments for digital goods and services have a genuine opportunity to break free from Apple's restrictive payment ecosystem. Recent legal developments following the landmark Epic v. Apple case have forced Apple to allow external payment links for US users, fundamentally transforming what was once a closed-system market into an open gateway for revenue optimization.
This shift opens up new app monetization opportunities for US-based businesses, offering significant savings and new revenue opportunities. Companies that previously had no choice but to surrender Apple's standard 30% commission, or 15% under the Small Business Program, can now partner with third-party Payment Service Providers to entirely circumvent Apple's processing fees and recurring commissions while offering their customers better value and more payment options.
Similar solutions are available in the EU under the Digital Markets Act, though implementation differs. This article focuses on the US App Store opportunity.
The mechanics of this new opportunity are elegantly simple yet powerfully effective. Instead of being locked into Apple's singular payment infrastructure, merchants can now present customers with a choice of how they would like to pay - and that choice can be incentivized for the first time with the new option of offering users discounted rates, something that would historically violate Apple's App guidelines.
Consider this scenario: A player enjoys a mobile gaming session but needs to top up their account balance. Previously, they had only one option - pay the full price through Apple's system. Now, merchants can offer a compelling alternative: pay the standard rate through Apple's existing infrastructure, adjusted in price to accommodate the 30% Apple cut, or receive a discounted price by completing the purchase through the merchant's external payment link.
When customers choose the discounted option, they're seamlessly redirected to a browser-based checkout page where they can complete their payment using their preferred method - whether that's a credit card, digital wallet, or any of the hundreds of alternative payment methods available globally. Once the transaction is complete, they're automatically returned to the app with their account balance updated and ready to continue their experience.
This approach transforms what was once a mandatory 30% cost into an advantage that benefits both merchants and customers by reducing processing fees for businesses while offering greater value for digital goods to users.
Implementing external payment links effectively requires sophisticated payment infrastructure that can handle the complexities of tokenizing card transactions, offering users relevant globally popular and locally relevant payment methods, and delivering seamless user experiences that prioritize speed. This is where our Payment Orchestration Platform supports merchants to achieve their payment optimization goals.
Merchants connected to Praxis Tech gain access to hundreds of pre-integrated PSPs, eliminating months-long integration processes. Our platform is designed for businesses that need to optimize conversion rates, manage and add support for industry-relevant payment preferences such as Skrill in iGaming, and deliver frictionless customer experiences with built-in resilience through our cascading functionalities.
The key advantages of partnering with Praxis Tech for your external iOS payment strategy include:
Praxis Tech offers three distinct integration approaches: Cashier for merchants seeking a full-featured, UX-optimized checkout payment page with our complete suite of conversion and retention tools; Direct for businesses wanting to offer users more payment method options while maintaining their existing interface; or Hosted Payment Fields (HPF) for enhanced and more secure card acceptance integrated into existing payment forms. Each solution connects merchants to our global network while allowing them to choose the level of integration that best fits their current infrastructure and business objectives. Merchants can also choose Praxis Safe to run advanced fraud checks before each card payment is sent for processing.
The opportunity presented by external payment links in the US App Store represents a fundamental shift in the mobile app economy. For the first time, US merchants have the ability to offer their users greater value for the same digital goods rather than being constrained by platform limitations.
In many ways, this goes beyond commission savings. It's about building direct relationships with customers without Apple serving as an intermediary while offering competitive pricing and developing a strengthened online webstore to offer users additional digital goods that enhance their gaming experience.
To learn more about how Praxis Tech can help you implement external payment solutions and capitalize on this opportunity, contact us for a personalized demo.