HELP - Using Afterpay as Payment Method
Does anyone else here use AfterPay on their website? I think it’s a great option for customers as sometimes handmade work can get a little pricey.
I’m looking for feedback/suggestions on building the Afterpay fee’s into a pricing model. Do you work the % afterpay take into your pricing formula so it get’s included regardless of the payment method or just absorb the costs yourself?
Would deter customer from purchasing if there was an additional cost for using AfterPay?
I’ve only had one sale through afterpay so far, so it’s not an issue but should someone use it for a more expensive piece, I’d be looking at upto $30 in fees!
Tags: Business, afterpay, costs, payment, pricing
Views: 266
Replies to This Discussion
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Permalink Reply by Sophie Allport
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Hi Victoria,
I pondered this for a long time too. Honestly after pay has been such a fabulous addition to my website both for my customers and my sales. When customers see $400 upfront for a hat it can be alarming however if they see that they can pay $100 per fortnight, it seems much cheaper and more palatable. Whilst the fee structure does take quite a chunk out of your sale, you have to weigh up the potential cash flow increases and also the benefits to your customers. I would recommend raising your prices a little overall especially for pieces which are possibly smaller and easy to make where your profit margins are bigger. Hope that makes sense!
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Permalink Reply by Victoria Jane Millinery
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Hi Sophie,
Thank you so much for replying!
You’ve helped me make my mind up on what to do, I had friends on both sides and I couldn’t make up my mind on what to do. I’ll revisit my pricing model and work it out, definitely want to make afterpay work. It’s been so great in helping me expand my wardrobe haha!
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