Comment by dinkelberg
5 hours ago
Wero shows that marketing is everything. It's just regular bank transactions with a much larger fee. We could have had EPC QR codes and similar completely free technologies instead.
5 hours ago
Wero shows that marketing is everything. It's just regular bank transactions with a much larger fee. We could have had EPC QR codes and similar completely free technologies instead.
Wero’s website says they don’t charge fees
So who is charging the fees?
They most likely don't charge fees on consumer.
Usually the fee is on merchant (and it's few % depending on region regulations etc.) Payment providers such as Wero are doing direct bank transfer, which is usually fee-less, but then they can afford to put a on-merchant fee that's much lower than what credit card companies are charging.
Thus the model is win-win-win: Consumer doesn't pay more, Merchant pays less, and Wero gets their share.
Card fee in EU is maximum 0.2% for debit and 0.3% for credit. By law.
Card companies hated this. They said they'd lose money and have to pull out of the EU entirely if it passed. Turns out, they lied!
Free for individuals, but paid if you're the business it seems from what I've found? If that's the case, it seems to be the same as a card in the US and I wouldn't be surprised if some businesses try to pass it on like they do with cards.
[0] https://www.mollie.com/growth/wero-payment-guide#:~:text=How...
[1] https://www.bnpparibasfortis.be/en/public/faq/how-much-does-...
Pix is Brazil is also paid by the merchants. ~0.33%.
Individuals is completely free. You can transfer even to people without bank accounts (and withdraw on places like corner shops and authorized merchants).
For companies certain transfers are free. eg: my company pays nothing, since I'm not a merchant, one of the banks tried to charge once and I just changed to another that offered 0% in return for keeping investments there.
Some banks offer extra services like POS machines with instant confirmation and so on (so the POS employee don't need access to the company bank account).
How much is in this case?
>Our pricing is clear and merchant-friendly: a small percentage fee with built-in caps
https://wero-wallet.eu/e-m-commerce
So they charge a fee, but they don't specify what a "small percentage" is.
> Our pricing is clear and merchant-friendly: a small percentage fee with built-in caps
That's why it's impossible to find on that link what their fee is. It's so clear that it's invisible.
The payment service provider (like Stripe or Adyen).
> We could have had EPC QR codes and similar completely free technologies instead.
Technically you can anyway, I used that a few months ago. Bank app support is the big impediment (https://epc-qr.eu/bankreviews/)
We don't support shit until the regular strongly suggests we do and then it takes about three years to do pretty much nothing, but perfectly on time (not on time actually, ts' a lie)
Not really, the UX is the differentiator. That's why neobanks like N26 are popular as you can just send money to your friends via email / phone number but it only works if they are on the same bank.
With Wero it's across all banks, building on the recent instant transfer that is being rolled out quickly while still having the same, familiar UX as PayPal or other apps like that while being a EU solution.
There's two functions of Wero: peer-to-peer and consumer-to-business transactions. TFA is about consumer-to-business.
If you look at the video for how Wero online payments work (https://www.youtube.com/watch?v=Bu5_X3oSgHM), you'll see that an EPC QR code could just as well be used (with a banking app installed instead of Wero).
With Wero you probably also get automatic processing of the incoming payment, without having to connect the financial transaction to a purchase yourself. But payment through bank transfers is also available through the payment service providers and costs less than Wero (at least it costs less when using Mollie; the Stripe fee is the same for Wero and bank transfer, and Adyen apparently hasn't published the Wero fee yet). So you'd still get the same service for less money.
I mean, that was always possible and many offered that. Wero offers the PayPal style integrated flow, QR code scanning from your banking app is slightly higher friction