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fightingmonk

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maker of things mobile @newrelic

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Just run the arbitrage between 200+% incremental revenue on one side and % of customers lost + cost of customer service calls for customers who talk them back down to the original price. I'm pretty sure that the former will win for a business like GoDaddy. Let's face it -- their entire checkout process is designed to generate incremental revenue and it's been optimized to balance vs. abandoned checkouts. Doesn't exactly reek of high regard for the customer. Reeks of maximizing revenue.

Sure they can. Their cash flow model differs from other merchant service processors. Square holds potentially thousands of dollars for 30 days before delivery to the account holder. Every moment of that time they're earning interest. It's called playing the float, and some players in the space make most of their money on float interest.