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Although I agree with all the issues you raise, I think the confusing nature of the pricing is by design. Stripe's fee model probably makes serious bank, becau
by m11a 2y ago
Although I agree with all the issues you raise, I think the confusing nature of the pricing is by design.
Stripe's fee model probably makes serious bank, because it's quite non-transparent and basically nothing is provided for free. Want even the slightest extra feature? +1% of your revenue (and repeat)
- b112 2y agoAh, the "we're out of ideas and have nothing, time to squeeze until the company dies, to chase stock price" phase of a business. Like your cable company!
- vidanay 2y agoIt's worked for 45+ years for cable companies.
- dghlsakjg 2y agoNegotiating for medium and high volume sales isn’t exactly unheard of… It’s kind of the rule rather than the exception in B2B. Hell, a lot of businesses will give you better terms just for opening a business account.
- doctorpangloss 2y agoYeah well, this article is called “I hate Stripe.” People hate Comcast too.
- lotsofpulp 2y ago> Stripe's fee model probably makes serious bank, because it's quite non-transparent and basically nothing is provided for free. Whatever it is making, it is apparently not enough to IPO. I would temper my expectations.
- brezelgoring 2y agoI’d say it’s not enough to satisfy early investors, who probably want a 10~50x return before IPO. They could definitely go public if they wanted to, and do ‘well’.
- Crespyl 2y agoDoes Stripe need to IPO? Are they just privately held, or do they have VCs or others that need to be paid back?
- oldprogrammer2 2y agoThey have raised at least $6.5 Billion.
- 0cf8612b2e1e 2y agoYou can make plenty of money and still be private. Look at Steam.
- OJFord 2y agoStripe ['s leadership] doesn't want to IPO, and its balance sheet doesn't need to. There's ridiculous demand for a Stripe IPO, whether it could is not at all in question.
- bigstrat2003 2y agoAn IPO is, if anything, a bad thing for a company. I wouldn't consider it a black mark that they aren't selling stock publicly and subjecting themselves to the "must grow every quarter at all costs" insanity.
- deleted 2y ago[deleted]
- danpalmer 2y agoIt's worth noting that most customers with any volume will be on custom contracts that will either be cheaper, include more features, or both. At my previous workplace we had this with relatively modest revenue and would renegotiate every year or two.
- hypeatei 2y agoIs there a process for getting an account manager with Stripe? I think it would be useful for other reasons but cheaper fees is certainly good too.
- danpalmer 2y agoThere's a "Contact Sales" link right next to the sign-in button on stripe.com.
- nine_k 2y agoI'd do like that: - Have a large enough transaction volume, say, above $100k / mo. - Use the contact form. Note that if your transaction volume is $100k/mo, and Stripe takes 3% of it, it's $3k/mo for them. Maybe a customer that's worth paying extra attention to, but of course by spending a minimal amount of time. I suspect that if your transaction volume were, say, $1M/mo, they would have contacted you already.
- doctorpangloss 2y ago“Everyone gets cheaper pricing except anyone you know.”
- XorNot 2y agoStripe is also one of the most expensive payment services - enough so that I worked at a company where we had an in-house payments frontend for Asia which was basically a common integration over about 6 different major regional banks. The reason was pretty obvious: Stripe was something like a 2.5% surcharge, our system 0.2-0.5%. That was a huge difference in revenue.
- gaadd33 2y agoHow did you get the visa and mastercard interchange fees down so low? Just the interchange fees for non debit cards can be as high as 2.5% (premium travel cards for example), not even mentioning Stripe's fee then.
- XorNot 2y agoAFAIK it was basically just minimising Stripes cut so overall the cost may have been higher then that.