dodo-best-practices

What this skill does

# Dodo Payments Integration Guide

**Always consult [docs.dodopayments.com](https://docs.dodopayments.com) for the latest API reference and code examples.**

Dodo Payments is the all-in-one engine to launch, scale, and monetize worldwide. Designed for SaaS and AI products, it handles payments, billing, subscriptions, and distribution without extra engineering.

---

## Quick Reference

### Environment Variables
- `DODO_PAYMENTS_API_KEY` - Your API key from the dashboard
- `DODO_PAYMENTS_WEBHOOK_SECRET` - Webhook signing secret for verification

### API Environments
- **Live Mode**: `https://api.dodopayments.com` (default)
- **Test Mode**: `https://api.dodopayments.com` with `environment: 'test_mode'`

### Dashboard URLs
- **Main Dashboard**: [app.dodopayments.com](https://app.dodopayments.com)
- **API Keys**: Dashboard → Developer → API
- **Webhooks**: Dashboard → Developer → Webhooks
- **Products**: Dashboard → Products

---

## SDK Installation

### TypeScript/JavaScript
```bash
npm install dodopayments
# or
yarn add dodopayments
# or
pnpm add dodopayments
```

```typescript
import DodoPayments from 'dodopayments';

const client = new DodoPayments({
  bearerToken: process.env.DODO_PAYMENTS_API_KEY,
  environment: 'live_mode', // or 'test_mode'
});
```

### Python
```bash
pip install dodopayments
```

```python
from dodopayments import DodoPayments

client = DodoPayments(bearer_token=os.environ["DODO_PAYMENTS_API_KEY"])
```

### Go
```bash
go get github.com/dodopayments/dodopayments-go
```

```go
import "github.com/dodopayments/dodopayments-go"

client := dodopayments.NewClient(
    option.WithBearerToken(os.Getenv("DODO_PAYMENTS_API_KEY")),
)
```

### PHP
```bash
composer require dodopayments/client
```

```php
use Dodopayments\Client;

$client = new Client(bearerToken: getenv('DODO_PAYMENTS_API_KEY'));
```

---

## Core Concepts

### Products
Products are the items you sell. Create them in the dashboard or via API:
- **One-time**: Single purchase products
- **Subscription**: Recurring billing products
- **Usage-based**: Metered billing per consumption

### Credit Entitlements
Credits are virtual balances (API calls, tokens, compute hours) attached to products. Create them in Dashboard → Products → Credits:
- **Custom Unit**: Your own metric with configurable precision
- **Fiat Credits**: Real currency value (USD, EUR, etc.)
- Attach up to 3 credits per product
- Configure rollover, overage, and expiration per entitlement
### Checkout Sessions
The primary way to collect payments. Create a checkout session and redirect customers:

```typescript
const session = await client.checkoutSessions.create({
  product_cart: [
    { product_id: 'prod_xxxxx', quantity: 1 }
  ],
  customer: {
    email: '[email protected]',
    name: 'John Doe',
  },
  return_url: 'https://yoursite.com/success',
});

// Redirect customer to: session.checkout_url
```

### Webhooks
Listen to events for real-time updates:
- `payment.succeeded` - Payment completed
- `payment.failed` - Payment failed
- `subscription.active` - Subscription activated
- `subscription.cancelled` - Subscription cancelled
- `refund.succeeded` - Refund processed
- `dispute.opened` - Dispute received
- `license_key.created` - License key generated
- `credit.added` - Credits granted to customer
- `credit.deducted` - Credits consumed
- `credit.balance_low` - Credit balance below threshold
---

## Common Integration Patterns

### One-Time Payment Flow

1. Create product in dashboard
2. Create checkout session with product ID
3. Redirect customer to checkout URL
4. Handle `payment.succeeded` webhook
5. Fulfill order / grant access

```typescript
// Create checkout for one-time payment
const session = await client.checkoutSessions.create({
  product_cart: [{ product_id: 'prod_one_time_product', quantity: 1 }],
  customer: { email: '[email protected]' },
  return_url: 'https://yoursite.com/success',
});
```

### Subscription Flow

1. Create subscription product in dashboard
2. Create checkout session
3. Handle `subscription.active` webhook to grant access
4. Handle `subscription.cancelled` to revoke access

```typescript
// Create checkout for subscription
const session = await client.checkoutSessions.create({
  product_cart: [{ product_id: 'prod_monthly_subscription', quantity: 1 }],
  subscription_data: { trial_period_days: 14 }, // Optional trial
  customer: { email: '[email protected]' },
  return_url: 'https://yoursite.com/success',
});
```

### Webhook Verification

Always verify webhook signatures:

```typescript
import crypto from 'crypto';

function verifyWebhook(payload: string, signature: string, secret: string): boolean {
  const expectedSignature = crypto
    .createHmac('sha256', secret)
    .update(payload)
    .digest('hex');
  
  return crypto.timingSafeEqual(
    Buffer.from(signature),
    Buffer.from(expectedSignature)
  );
}
```

---

## API Key Management

### Generation
1. Navigate to Dashboard → Developer → API
2. Click "Create API Key"
3. Copy and securely store the key

### Security Best Practices
- Never expose API keys in client-side code
- Use environment variables
- Rotate keys periodically
- Use test mode keys for development

---

## Customer Portal

Allow customers to manage their subscriptions:

```typescript
const portal = await client.customers.createPortalSession({
  customer_id: 'cust_xxxxx',
  return_url: 'https://yoursite.com/account',
});

// Redirect to: portal.url
```

---

## Error Handling

Handle API errors gracefully:

```typescript
try {
  const session = await client.checkoutSessions.create({...});
} catch (error) {
  if (error.status === 400) {
    // Invalid request - check parameters
  } else if (error.status === 401) {
    // Invalid API key
  } else if (error.status === 429) {
    // Rate limited - implement backoff
  }
}
```

---

## Testing

### Test Mode
- Use test API keys (start with `sk_test_`)
- Test webhooks with dashboard tools
- Use test card numbers:
  - `4242 4242 4242 4242` - Success
  - `4000 0000 0000 0002` - Decline

### Local Development
Use ngrok or similar for webhook testing:
```bash
ngrok http 3000
```
Then configure the ngrok URL as your webhook endpoint in the dashboard.

---

## Framework Integration

### Next.js
Use API routes for server-side operations:

```typescript
// app/api/checkout/route.ts
import { NextResponse } from 'next/server';
import DodoPayments from 'dodopayments';

const client = new DodoPayments({
  bearerToken: process.env.DODO_PAYMENTS_API_KEY!,
});

export async function POST(req: Request) {
  const { productId, email } = await req.json();
  
  const session = await client.checkoutSessions.create({
    product_cart: [{ product_id: productId, quantity: 1 }],
    customer: { email },
    return_url: `${process.env.NEXT_PUBLIC_URL}/success`,
  });

  return NextResponse.json({ url: session.checkout_url });
}
```

### Express.js
```typescript
import express from 'express';
import DodoPayments from 'dodopayments';

const app = express();
const client = new DodoPayments({ bearerToken: process.env.DODO_PAYMENTS_API_KEY! });

app.post('/create-checkout', async (req, res) => {
  const session = await client.checkoutSessions.create({
    product_cart: [{ product_id: req.body.productId, quantity: 1 }],
    customer: { email: req.body.email },
    return_url: 'https://yoursite.com/success',
  });
  res.json({ url: session.checkout_url });
});
```

---

## Resources

- [Documentation](https://docs.dodopayments.com)
- [API Reference](https://docs.dodopayments.com/api-reference/introduction)
- [SDK Repositories](https://github.com/dodopayments)
- [Discord Community](https://discord.gg/bYqAp4ayYh)
- [Support](mailto:[email protected])
- [Credit-Based Billing](https://docs.dodopayments.com/features/credit-based-billing)