Credit card networks charge vendors transaction fees as part of their revenue model.
Vendors pushing back demanding lower fees means reduced profit margin for card networks.
They’d still need to show earnings to their investors, so to keep things relatively comparable, this would just in turn result in lesser value adds being offered to the consumer.
Expect not only to have to pay more for using plastic (i.e. already happening at the pumps in some States like WA), but also not getting as much cash back/extended warranty/frequent flier miles/etc.
I mean, I don’t blame eBay, they need to demonstrate revenue growth as well, and reducing fees on transactions would mean more profit. But, at the end of the day, net negative for all consumers.
Credit card networks charge vendors transaction fees as part of their revenue model.
Vendors pushing back demanding lower fees means reduced profit margin for card networks.
They’d still need to show earnings to their investors, so to keep things relatively comparable, this would just in turn result in lesser value adds being offered to the consumer.
Expect not only to have to pay more for using plastic (i.e. already happening at the pumps in some States like WA), but also not getting as much cash back/extended warranty/frequent flier miles/etc.
I mean, I don’t blame eBay, they need to demonstrate revenue growth as well, and reducing fees on transactions would mean more profit. But, at the end of the day, net negative for all consumers.