Bitcoin Forum

It seems that Visa is going to make a few changes to their fee structures. They seem to be small, but they may be significant. They will be reducing charges for bricks and mortar businesses, and this seems to be the result of competition in this area. However, they are increasing prices for on-line retailers, and perhaps they feel this is because they have a monopoly in this area. I think this could be bullish for Bitcoin and some other alts, as retailers will no doubt start to experiment with alternatives to Visa.

I agree that increasing the fees for online CC payments is bullish for Bitcoin, but it is not clear how much of an effect it will have.

I wasn't aware of the increase, but after a quick look (https://www.businessinsider.com/visa-changing-merchant-fee-structure-rate-structure-2020-2?r=US&IR=T) I'm not sure it is enough of an increase to have that sort of effect.

The increase seems to be from 1.9% to 1.99% ... but by comparison PayPal already charges  (https://www.paypal.com/uk/webapps/mpp/paypal-fees)2.9% plus a small (30c / 30p) fixed amount.

Perhaps they've just seen the amount that PayPal is taking, and that PayPal is still going strong, and so they are testing the waters with their own small increase.

They're the leaders in online payment methods, I believe. Increasing the fees by 0.09% looks insignificant ($900 in fees every $1M), so most businesses will not really feel it in their pockets.

There might be a very little and insignificant change negatively (regarding number of businesses partnering with them) in their merchant numbers but the income they're going to make will compensate with it.

Greedy move from them. I don't think it'd do to much to BTC though.

The number of online retailers has increased in the past 2 years, mainly because of idiots thinking they can make money
from a side business doing dropshipping & 4 weeks delivery 😂

Seems normal they increased the fee a little bit

(For those who don't know, dropshipping = selling items from a supplier, usually based in China, directly to the customer so you never have to
manage or see the actual products)

So basically drop shipping is akin to being an agent for a property developer? You help the business to promote and earn a cut from there? Feels like affiliate marketing.

Yep, drop-shipping is about buying and selling traffic mostly. Get visitors and sales paying cheap adds so that the cost of bringing the client is lower than you commission.

There are obvious caveats on this business model (e.g. most likely you will burn any reputation, as producers do not have any attachment or deal with you on the quality of the products, etc...)

Don't mind the late reply, just noticed yours recently.

I agree, you still have to cough up your own expenses for exposure. I always see bloggers or those finance gurus advocating affiliate marketing/ drop shipping like there's no tomorrow but there's so many things to factor in, such as what things you're trying to market, where to promote and why people should buy from you instead of the competitor or the suppliers themselves.

And for the quality, that's the issue. Unless there's a solid relationship, you can't test out and write some honest review. Kinda blows.

Fight them with Revolut, or Mastercard.