A digital/download product is a virtual product which you can add to your price list to sell digital copies of your videos and pictures - as opposed to prints, posters, and other products from the labs. A digital product can be created with a specific license and, for photos, a specific resolution restriction.
An album product is a digital product which acts as if your customer bought the digital product for each of the photos within an album. This makes it possible for you make use of the full-album download pricing - to set discounted pricing for whole sets of pictures as opposed to discounts based on coupons or packages.
To create a download product, simply go to "Selling" >> "Dashboard", which enables you to view all the settings related to selling. Clicking the "Selling Wizard" should effectively explain and set up the main options you have. As always, you may navigate directly to "Selling" >> "Downloads", and click the "Create New" link. A panel will open where you can specify, the title, description, license, and resolution of your new digital product. You can also conveniently create a new product right from the price list editing page by clicking the "Create new product" button - this can be done only in the tabs for digital products : "Downloads", and "Full-album downloads".
Product type. The product type check-boxes determine for which content will the price list be used. If you check "for videos", the price list will be used for every video within the assigned albums. Thus a purchase of an album containing e.g. a dozen photos and three videos would cost 12x "for photos" and 3x "for videos" product price. The same album would cost 15x "for photos & for videos" product price. Or, you can use the per-album pricing.
How do I set the price? As with any other product, a digital product needs to be added into an assigned price list and have a price assigned in order to be available for purchase by your customers.
You can create a 800x600 digital product under the "Unlimited electronic use" license.
You can create a digital product for selling full-resolution photos under the "Royalty-free personal use" license.