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moderated Donation fee change #update

 

Hi All,
 
Until now, the fee structure for donations was a flat 5%, which included Stripe's credit card fees. Given that Stripe's fees are 2.9% + $0.30, smaller donations ended up costing us money. Which even I realize isn't a good way to run a business. Queue Homer Simpson "D'oh!".
 
The fee structure for new donation requests is 2% plus Stripe's credit card fees. Existing donation requests (I believe there are 2 or 3 active at the moment) are unchanged. That is, any donations made to an existing donation request will be at the previous fee structure.
 
Please let me know if you have any questions.
 
Mark

Bruce Bowman
 

Calculating the break-even point:

.05x = .029x + .30

x = .30 / (.05 - .029)  = $14.29!

Ouch.

Bruce

Duane
 

I thought that before someone asks, I'd throw up a little comparison chart:

Donation    old charge    old fee/loss        new fee
      1                0.33        0.05/0.28           0.35
      2                0.36        0.10/0.26           0.40
      3                0.39        0.15/0.24           0.45
      4                0.42        0.20/0.22           0.50
      5                0.45        0.25/0.20           0.55
      6                0.47        0.30/0.17           0.59
      7                0.50        0.35/0.15           0.64
      8                0.53        0.40/0.13           0.69
      9                0.56        0.45/0.11           0.74
    10                0.59        0.50/0.09           0.79
break even was at 14.29, anything smaller was a loss for GIO
    20                0.88        1.00                   1.28
    30                1.17        1.50                   1.77
    50                1.75        2.50                   2.75
  100                3.20        5.00                   5.20

Hope it comes through with the proper spacing.
Duane

 

On Tue, Jun 2, 2020 at 3:42 PM Bruce Bowman <bruce.bowman@...> wrote:
Calculating the break-even point:

.05x = .029x + .30

x = .30 / (.05 - .029)  = $14.29!

Ouch.


Yeah, not my best shining moment..... "But we'll make it up in volume!"

I haven't done any calculations, but eyeballing it, it seems the average donation amount has been between $10-$20.


Mark

 

No donations for any of my groups. But Mark - can't I just text you twenty bucks Apple Cash once in a while? KISS?

Patti

Anthony Angelo
 

Just looking at if you could possibly make more by allowing groups to accept donations. I'll present my group as an example.

We are a homeschool support group in the midwest, currently using the free plan. That level works well, but calendar RSVP'ing might be nice to keep track of who's attending the playdate, picnic, fieldtrip or whatever. The Premium plan would be nice to add for the calendar feature, but it's a little bit of a stretch given our group's situation.

We have roughly 150 member families. To keep it simple, I'll say 100 are regular members who pay $25 a year that funds group activities for the kids/students, leaving 50 who pay nothing as their kids are all graduated, but they want to stay connected to their friends.

The 100 pay their fees via Paypal which matches the fee structure you present for Stripe. If instead, I use your system, the extra .50 per member (your 2% cut) brings in $50 that wasn't there before. Of course, if my homeschool group bought the Premium plan, you would have that fee too, but that isn't currently being paid.

So, a possible alternative structure is maybe adding features (calendar RSVP'ing in our case) with enough payment process fees?

Anyway, just sharing some ideas that are popping into my head as I'm looking at registration and planning for my group for the coming school year. Mark, feel free to contact me directly if my comments bring any other questions on your end.

Anthony

Anthony Angelo
 

I would add, that our group hosts a couple of high school dances, like the Prom, where members of our group might pay $25, and non-members pay $30 or #35. If calendar RSVP'ing could allow non-members to RSVP with approval, that would be beneficial. If this were a feature that was usable as described, that would possibly double or triple the money in fees for GIO for our group (as mentioned above).Thanks much for considering.