Why do payment gateways like Paystack charge so much?

@unemployed Hiya! I can connect you to someone at Flutterwave who can talk to you about a solution we have that might serve your needs. You can shoot me an email: koromone@flutterewavego.com

@unemployed, I believe the charges are fair enough. Online payment saves customers a lot of stress aside the cost of transportation. Some of our customers have actually called us to ask for alternative means of payment because they encountered very long queues at GTB.

We have been receiving online payments since 2012 and the adoption rate by customers has been growing.

Do you mean Rave?

@unemployed Yes, I do. Are you familiar with the platform?

Yea, someone else mentioned it on this thread and I looked it up. I think Flutterwave is positioning Rave as a direct competition to Paystack.

I just put this together -> Paystack selling price .

You might find it useful.

yeah, is it possible to get investors for adult startup

Institutional investors will very likely not invest. But I can handle servers and setting up the site as well as put up some money for initial content. Can you source content? If you can inbox me what you need.

Good idea. :slight_smile:

The flaw is that price is capped at N2k and your calculator didnā€™t reflect that. You might want to tinker a bit with the code

The payment gateways are born again, you know :sunglasses:

why not just give the merchants the option to pass on the cost to the customer? Very simple.

Put an option in the settings. Case closed.

Just like what VoguePay is doing, there should be an option to choose who pay the charges.

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That is why it is put at a percentage not a fixed amount. I hope youā€™ll at least agree that percentages are fair game?

Meanwhile I smiled in approval when I checked the pricing page of paystackā€™s website and saw how low it was. I think the real problem here, if any, is that Nigerians have gotten too accustomed to not paying for online products/services (no need to mention our deep history with piracyā€¦oh look, I just did). Anyways, I really do believe a mental shift is necessary. More people need to be able assess benefits derived in more than just the immediate monetary value rather than measuring the amount of money they spend on a bank trip to the amount they might have to pay on paystack.

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Thanks.

I have made some modifications , it now reflects the N2k cap.

Not so fast. You just might have another thread created by your regular customer asking why businesses in Nigeria charge more if you chose to buy online.

@unemployed Iā€™m not sure but I believe your question has been somewhat answered by @Uduak, etc. Basically, there are a number of parties involved in processing transactions and one needs to make money somehow :smiley:

Also, if your business shows promise, pretty much every gateway gives volume discounts.

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She has a point which everyone is brushing over with the its the way its done everywhere excuse. There is a use case for bulk online payments of 100,000 and higher in the Nigerian environment which demand lower fees than 1,500-2,000 per transaction.

Payment gateways should be saying instead something like x transactions of 50,000 naira and above per month gets x fee pct so integrators know what they are working with. Similarly volume discounts should be clearly published.

@xolubi lead the way. You have nothing to lose but everything to gain by openly stating discounts. Market for payment processing is getting competitive.

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@Nwabu Basically, once you process over 2m within a month, our system moves you to a 1.4% (without the extra N100) rate for subsequent months. Further discounts can be negotiated although anything below 1.3% begins to eat into our margins.

This would be all well and good if the pricing we get from the processors like Mastercard, Interswitch, etc were that stratified.

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Thereā€™s a Nigerian adult website actually. orgynaija.com. I looked around it a bit but didnā€™t create an account because I had to use card details + address - and thereā€™s no way Iā€™m putting my personal details (actual name, house address, card details) on a porn website.

I donā€™t know what kind of payment system they have now though. Havenā€™t checked in a while.

Yea. I stumbled on it doing some research days ago. I found two actually, the other has been taken down by their host and all their social media accounts banned.

OrgyNaija seem to have access to content but their website looks very unprofessional (one major reason lots of people wonā€™t use their card on the site), they have virtually no marketing, and I doubt they have much of a business model.

I sent them a mail hoping to form a partnership where I handle the technical, marketing and monetization while they focus on providing content. No reply yet, hopefully we can work something out. I am about to be rich, please pray for me. LOL.