Payment gateway, CCAvenue.com has launched a new pricing model making the service totally free and friendly for early stage ventures.
The new pricing model, though charges 5.5% on transactions waives off the annual software upgradation fee for the first year. The pricing model, of course is heavily a function of transactions and totally takes off the setup cost for companies - which definitely works for wannapreneurs who are still testing the ground.
Will this force other payment gateways to revisit pricing? Given the state of ecommerce industry, while one would like to believe that there aren't new ecommerce companies popping out, from what we are seeing there is still a lot of interest among entrepreneurs to startup ecommerce ventures. For early stage startups, this definitely gives a smooth trial phase (assuming paper work is as smooth as the pricing model).