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Why should someone who is making $100 revenue off a transaction pay the same fee as me who's making $1 revenue?
by rahoulb 5y ago
Why should someone who is making $100 revenue off a transaction pay the same fee as me who's making $1 revenue?
- endisneigh 5y agoBecause the costs do not scale with the revenue
- rahoulb 5y agoHow do you know their costs don't scale? Maybe there's insurance or compliance requirements that also apply? And it begs the question - is "cost-plus" the only valid pricing model?
- endisneigh 5y agoWhy would their costs scale with revenue? Cost+ certainly isn't the only valid model. Many people are fine with a 30% cut.
- mafriese 5y agothey do - the first 1m$ only cost 15% - It's btw the same with the Google Play Store
- endisneigh 5y agoThe fees scale with revenue - what I'm saying is that Apple's own costs do not scale with the revenue they take from companies on the app store. e.g. A single transaction of $10,000 does not Apple more than $100 other than the beforementioned financial transaction fee.