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There's no money to be made in payments. The two-sided acquisition fees (merchants + users) plus per-transaction fees just burn cash.
by robbiemitchell 6y ago
There's no money to be made in payments. The two-sided acquisition fees (merchants + users) plus per-transaction fees just burn cash.
- ahmedfromtunis 6y agoHow is that different from any other form of marketplace?
- robbiemitchell 6y agoFor payments alone, you can't charge enough to cover the credit card transaction fees because no one will pay it. They all try to make it up in volume via a loyalty program or sell the data to others. Other marketplaces can take a percentage off the top well in excess of the fees, or they'll even add the tx fee on top to fully pass it through.
- deleted 6y ago[deleted]
- cenal 6y agoThere is money to be made if user acquisition costs are non existent. Just a billionaire boys club game these days...