Bitcoin, Apple Pay, and the Alternative for Online Payments The Good, The Bad and The Tip The good this week revolves around money… MONEY MONEY MONEY MONEY …or rather, the ways we part it with. Paying with a credit card is not a great user experience. Bring out the wallet.
Find card. Give it away. Swipe. Enter the amount on the processor. Confirm.
Print receipt. Sign. Now you have this paper invoice you have to get rid of. Cards get lost, stolen, they break, their magnetic bands fail, and they look like shit after ten swipes.
Dont get me started on how cash is even worse. We take visa. It turns out, theres a better way, and there has been for a while, only its taking longer than expected to pick up. The concept of using your phone to pay is almost too obvious in todays world. Its contactless, password, fingerprint or faceprotected and extra secure.
While Google Wallet was honestly the first widely implemented payment method, Apple Pay has been spending A LOT of money to integrate NFC payments to their phones and to retails stores, but more importantly, to get people to use it! These things are going away. Soon.
Good riddance. One player that hasnt succeeded here is Bitcoin. Bitcoin could very well be the future of currency, but they havent solved the simplest thing: making payments.
Sending Bitcoins is as simple as sending an email NOT. And… you can purchase anything with Bitcoin. NOT. The whole concept of having a wallet, the fact that you can lose all your money if the hard drive where your wallet is, fails this is not a simple UX, and they are still miles away from mass adoption. I own some Bitcoin, and Ive made and lost some money with the extreme surges weve seen in the past couple years… but I dont see why I would use it to pay for anything when even a credit card is a simpler experience.
Now for the tip when you are looking at conversion rates on websites, you want to reduce friction to the absolute bare minimum. Ever been on a checkout page and realize they dont take your American Express? OLD LADY: But my very best friend is this little gem: the American Express card. OLD LADY: Dont leave home without it.
Or they only take PayPal, and you dont have an account? Obviously because it sucks. The struggle is real for your users and the fewer barriers you have, the better. Companies like Stripe and Square are doing marvels around this.
Stripe, for example, lets you add Apple Pay to your checkout page with a few lines of code. And Squares minimalistic… square lets anyone collect payments without going through the trouble of getting a payment processor. By the way, neither of those work in my home country of Costa Rica.
Stores have to go to a bank and pay thousands of dollars to get their credit card stations and deal with their ridiculous 7 or 10 processing fees. A year salary, right here. You know what I call them? Fun coupons!
Stripe, Square will you please come over? Well have piña coladas and get caught in the rain.