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Title: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: n8rwJeTt8TrrLKPa55eU on January 05, 2014, 08:37:32 PM Nice deeper analysis of the Zynga news, by Trace Mayer.
Zynga Accepts Bitcoin, And Savings May Be Material To Earnings Quote Sure, Zynga will get some great publicity out of the decision but inquisitive investors may wonder what effect, if any, could Zynga's decision to spend a few programmer hours integrating Bitcoin have on earnings. The ROI may surprise you and have you demanding your other companies jump on the Bitcoin express train. Quote In 2012, Zynga had $1.2B of gross revenue. We do not know what percentage of revenue will have the Bitcoin payment method as an option so we will just assume all of it. The credit card or PayPal fee for a $5 sale would be about $0.445 or 8.9%. Assuming Zynga has the same payment method breakdown as Reddit then we can expect this effect. Approximately $30m of annual revenue being processed by credit cards or PayPal would cost about $2.7m. Bitpay will process this amount for a flat fee of $300/month or $3,600 per year which is a cost savings of approximately 99.87%. Not bad for a few hours of a developer who is likely already on salary! http://seekingalpha.com/article/1928121-Zynga-Accepts-Bitcoin-And-Savings-May-Be-Material-To-Earnings Title: Re: 2014-01-04: SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: black_swan on January 05, 2014, 08:40:25 PM If this is true is beyond anything almost 9% on fees
If bitcoin can attract a decent slice of their customer they are def. saving tons on money! Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: LiteCoinGuy on January 05, 2014, 08:51:32 PM cost savings of approximately 99.87%.
unbelivable but true ;D ! Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: marcus_of_augustus on January 05, 2014, 09:48:00 PM yeah but ... how long until 100% of Zynga users (payees) are bitcon enabled?
not this profit cycle at least... Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: BitChick on January 05, 2014, 11:40:37 PM yeah but ... how long until 100% of Zynga users (payees) are bitcon enabled? not this profit cycle at least... Hopefully they can offer some savings incentives for those that use BTC. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: nastybit on January 05, 2014, 11:42:33 PM Very good news. Has this been already confirmed from Zynga?
Is it live already? I would use it, too bad their games are so lame Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: laris2 on January 06, 2014, 12:05:01 AM cost savings of approximately 99.87%. Sounds really unbelievable, but considering this is Zynga. It could be true?:)unbelivable but true ;D ! Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: empoweoqwj on January 06, 2014, 02:22:29 AM Very good news. Has this been already confirmed from Zynga? Is it live already? I would use it, too bad their games are so lame Yes absolutely. But agreed, the games are sooooo bad ;) Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: bryant.coleman on January 06, 2014, 08:45:28 AM cost savings of approximately 99.87%. unbelivable but true ;D ! We should spread this news as far as we can. With such insane margins, it is only a matter of time before other online giants such as Amazon starts to accept BTC! Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: LiteCoinGuy on January 06, 2014, 10:14:58 AM cost savings of approximately 99.87%. unbelivable but true ;D ! We should spread this news as far as we can. With such insane margins, it is only a matter of time before other online giants such as Amazon starts to accept BTC! yep, pretty nice savings. i guess we are at a stage where the hole cryptostuff spreads "itself", not like 2012. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: empoweoqwj on January 06, 2014, 10:19:00 AM cost savings of approximately 99.87%. unbelivable but true ;D ! We should spread this news as far as we can. With such insane margins, it is only a matter of time before other online giants such as Amazon starts to accept BTC! yep, pretty nice savings. i guess we are at a stage where the hole cryptostuff spreads "itself", not like 2012. Yeah - its gone way past viral now ..... what's the word for that? ;) Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: oooo on January 06, 2014, 11:10:35 AM cost savings of approximately 99.87%. End-users still have to somehow obtain bitcoins. In a way, Zygna passed on those costs to the end-users. Granted, exchange fees aren't too bad (e.g. Mt.Gox is currently 0.3975% per transaction), and is still much better than PayPal's 8.9%, but if we're going to do the math, let's take the end-user fees into account as well. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: Tirapon on January 06, 2014, 11:52:41 AM cost savings of approximately 99.87%. End-users still have to somehow obtain bitcoins. In a way, Zygna passed on those costs to the end-users. Granted, exchange fees aren't too bad (e.g. Mt.Gox is currently 0.3975% per transaction), and is still much better than PayPal's 8.9%, but if we're going to do the math, let's take the end-user fees into account as well. Some of us already have Bitcoins, we just need more ways to spend them. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: GnB on January 06, 2014, 12:12:52 PM Isn't Bitpays fee 5% (?)
I've signed up for it just to see what it's like for a potential retailer in Australia and it charged $105 in BTC for a $100 QR code, are Zynga getting a special deal or sum shit? Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: empoweoqwj on January 06, 2014, 01:15:45 PM Isn't Bitpays fee 5% (?) I've signed up for it just to see what it's like for a potential retailer in Australia and it charged $105 in BTC for a $100 QR code, are Zynga getting a special deal or sum shit? 5% is a crime if that is true. Negates the benefits of bitcoin Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: nastybit on January 06, 2014, 02:12:36 PM Here you have the Bitpay pricing, I can't see 5% anywhere
https://bitpay.com/pricing Maybe they take a bit from the exchange rate? Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: bryant.coleman on January 06, 2014, 02:20:09 PM Isn't Bitpays fee 5% (?) I've signed up for it just to see what it's like for a potential retailer in Australia and it charged $105 in BTC for a $100 QR code, are Zynga getting a special deal or sum shit? Bitpay does not charge that much of a premium. Probably the merchant or retailer added 4.8% extra charges for processing BTC transactions. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: TraderTimm on January 06, 2014, 03:27:50 PM I love how everyone overlooks the fact that Zynga's target audience are people who are barely computer literate. "I turn on my pc/laptop, and NSAbook is my homepage". The first sign of trouble is a major disaster. "I have to update FLASH for my games, how do I do that? OMG!"
And yet, somehow, via magic or telepathy, we expect people to just jump on the Bitcoin train - after probably never having heard of it ever before. Right. I'm skeptical that their mindless clicking drones have the slightest interest in Bitcoin, or the skills to even acquire any. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: n8rwJeTt8TrrLKPa55eU on January 06, 2014, 03:35:43 PM I love how everyone overlooks the fact that Zynga's target audience are people who are barely computer literate. "I turn on my pc/laptop, and NSAbook is my homepage". The first sign of trouble is a major disaster. "I have to update FLASH for my games, how do I do that? OMG!" And yet, somehow, via magic or telepathy, we expect people to just jump on the Bitcoin train - after probably never having heard of it ever before. Right. I'm skeptical that their mindless clicking drones have the slightest interest in Bitcoin, or the skills to even acquire any. I agree with you TT that, as with the WordPress and Baidu announcements, this might not turn out to be material in terms of transaction volume or consumer Bitcoin adoption. But it's a very important milestone in order to keep the PR momentum going, and lessen the fear of Bitcoin adoption in other future retailers & service providers. It's one more talking point for our arsenal, one more bullet point in our slide deck, with a fairly big name that's likely to be recognized by most people in the tech sphere. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: Rygon on January 06, 2014, 05:46:08 PM I love how everyone overlooks the fact that Zynga's target audience are people who are barely computer literate. "I turn on my pc/laptop, and NSAbook is my homepage". The first sign of trouble is a major disaster. "I have to update FLASH for my games, how do I do that? OMG!" And yet, somehow, via magic or telepathy, we expect people to just jump on the Bitcoin train - after probably never having heard of it ever before. Right. I'm skeptical that their mindless clicking drones have the slightest interest in Bitcoin, or the skills to even acquire any. Agree, the Venn Diagram of Bitcoin users and Zynga players has very little overlap. But Bitcoin is perfect for companies like Zynga for decreasing payment processing fees and eliminating charge backs on relatively small payments. Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: bryant.coleman on January 06, 2014, 05:55:21 PM I love how everyone overlooks the fact that Zynga's target audience are people who are barely computer literate. 90% may not be computer literate. But the remaining 10% will be our target audience. ;D Title: Re: 2014-01-04 SeekingAlpha: Zynga Savings May Be Material To Earnings Post by: empoweoqwj on January 07, 2014, 05:36:59 AM I love how everyone overlooks the fact that Zynga's target audience are people who are barely computer literate. "I turn on my pc/laptop, and NSAbook is my homepage". The first sign of trouble is a major disaster. "I have to update FLASH for my games, how do I do that? OMG!" And yet, somehow, via magic or telepathy, we expect people to just jump on the Bitcoin train - after probably never having heard of it ever before. Right. I'm skeptical that their mindless clicking drones have the slightest interest in Bitcoin, or the skills to even acquire any. Agreed. You have to be braindead to play Zynga games. But hey, its better than Zynga not taking bitcoins right ;) |