DO Ideas 2

Increase payment options, lower prices, and add credit fees to compensate

It'd be nice to be able to pay by amazon microtransaction.

Currently, you charge 5$ a month for a small instance. Given that digital ocean probably sells over gross revenue of 10k per month, on most credit processors that's 2.2%+$0.30

That means digital ocean is getting 4.59$.
On amazon micro transactions digital ocean would get 4.70$, which after expenses to keep the lights on, is a huge difference.

For smaller transactions, it's even a bigger difference.

If someone uses an instance 300 hours per month, that's 2.1$, that means digital ocean is getting 1.76$ a month, which is a huge loss!
On amazon micro transactions, that would be 1.94, which is 10.6% more money.

If digital ocean actually lowered it's costs by the amount of the credit fee, but charged the fee during the transaction, and gave customers more credit options (explained what the price differences are, on a website), it would be cheaper and more profitable for everyone, but the credit processing agencies.

If we, as customers wanted to, we could save money by buying more digital ocean credit at once.

  • Scott R.
  • Sep 11 2018
  • Will not implement
  • Attach files
  • Ian Carroll commented
    September 11, 2018 18:38

    "5.0% + $0.05 for credit card"
    That's horrible.

  • Moisey Uretsky commented
    September 11, 2018 18:38

    We've recently integrated a new merchant processor, BrainTree, to resolve issues we had with international payments.

    With every payment integration it's a rather large amount of work which doesn't really push the product forward.

    For the time being we aren't reviewing any other payment processing / integrations.

    Thanks

  • Scott R. commented
    September 11, 2018 18:38

    I looked up amazon flexible payments

    For Transactions >= $10:

    1.5% + $0.01 for Amazon Payments balance transfers
    2.0% + $0.05 for bank account debits
    2.9% + $0.30 for credit card

    For Transactions < $10:

    1.5% + $0.01 for Amazon Payments balance transfers
    2.0% + $0.05 for bank account debits
    5.0% + $0.05 for credit card

    For Amazon Payments balance transfers < $0.05:

    20% of the transaction amount, with a minimum fee of $0.0025

    Qualified developers can apply for the following monthly volume discounts for credit card transactions:

    2.5% + $0.30 per transaction for payment volume from $3K- $10K
    2.2% + $0.30 per transaction for payment volume from $10K – $100K
    1.9% + $0.30 per transaction for payment volume over $100K