Forex and PayPal’s international payments aren’t free, Patreon doesn’t see those profits.
Sure, though my credit union credit card only charges 1% for forex, so presumably it could be done for less.
Patreon cuts deep inside creators’ pockets
81–90 of 351 posts
Re: Patreon cuts deep inside creators’ pockets
#82What I think is something people easily overlook with Patreon and similar platforms is that it's quite hard to make a decent profit on $1 or $5 transactions that most of Patreon's income seems to come from. They're definitely overcharging for more profit, but your margins won't be much lower if you handle payment yourself. Your 3% bank cut to receive money doesn't always work because often there's a minimum fee per t…
The solution for this is to have the donation system pool transactions together. Instead of a single transaction for each creator you donate to, you make a payment into a pool that you can then allocate funds from to various recipients. And instead of individual payments to recipients, you send a single lump sum once a month (or if perhaps less frequently if donations are sparse).
how would that happen? credit card providers would need to pool transactions not the patreon?
Re: Patreon cuts deep inside creators’ pockets
#83This article claims Patreon's true cut is not the advertised 8-10%, but *86-83%*?? Surely this can't be true? We would have heard more people complaining about it by now.
No, creator keeps 86-83%, so ~85c from every dollar >the real cut for a creator on Patreon is often a stark ~14-17% depending on the exact scenario. edit: now I get it, seems like you are native speaker and me and author are not, I guess correct way should be "cut from a creator" instead?
To my ears just rephrasing it as "Patreon's real cut is..." would sound most natural.
Re: Patreon cuts deep inside creators’ pockets
#84What I think is something people easily overlook with Patreon and similar platforms is that it's quite hard to make a decent profit on $1 or $5 transactions that most of Patreon's income seems to come from. They're definitely overcharging for more profit, but your margins won't be much lower if you handle payment yourself. Your 3% bank cut to receive money doesn't always work because often there's a minimum fee per t…
The solution for this is to have the donation system pool transactions together. Instead of a single transaction for each creator you donate to, you make a payment into a pool that you can then allocate funds from to various recipients. And instead of individual payments to recipients, you send a single lump sum once a month (or if perhaps less frequently if donations are sparse).
This is how Patreon already works - they pool both incoming and outgoing donations for the month into a single transaction to reduce fees. But there are a bunch of donors who only donate $1-$3 a month to a single creator, and these incoming transactions don't benefit from pooling.
Re: Patreon cuts deep inside creators’ pockets
#85What I think is something people easily overlook with Patreon and similar platforms is that it's quite hard to make a decent profit on $1 or $5 transactions that most of Patreon's income seems to come from. They're definitely overcharging for more profit, but your margins won't be much lower if you handle payment yourself. Your 3% bank cut to receive money doesn't always work because often there's a minimum fee per t…
The solution for this is to have the donation system pool transactions together. Instead of a single transaction for each creator you donate to, you make a payment into a pool that you can then allocate funds from to various recipients. And instead of individual payments to recipients, you send a single lump sum once a month (or if perhaps less frequently if donations are sparse).
You can "pool" individuals over time.
That is, instead of $3/month you do, say, $9/quarter.
Re: Patreon cuts deep inside creators’ pockets
#8615% is not a deep cut.
That’s a totally a reasonable cost for smoothly running the infrastructure necessary to support a creator with a monthly subscription model.
Re: Patreon cuts deep inside creators’ pockets
#87Earlier quoted context omitted.
The solution for this is to have the donation system pool transactions together. Instead of a single transaction for each creator you donate to, you make a payment into a pool that you can then allocate funds from to various recipients. And instead of individual payments to recipients, you send a single lump sum once a month (or if perhaps less frequently if donations are sparse).
how would that happen? credit card providers would need to pool transactions not the patreon?
I think what they mean is that if I'm making $1/month contributions to 20 different creators, and they're all on the same platform, I can pool that into a single transaction with a single $0.50 fee, meaning that fees eat only 2.5% of my donations.
If I were donating to creators on different platforms, it would be 20 transactions, each with a fee of around $0.30, so fees would eat 30% of my donations.
Re: Patreon cuts deep inside creators’ pockets
#88Earlier quoted context omitted.
How can they "get out of the way" when you need to use the app to play the content? The player sucks, episode search sucks.
I guess most creators I watch tend to link to unlisted youtube videos to share with their patrons rather than use Patreon's built in uploads.
This and private feeds for podcasts
Re: Patreon cuts deep inside creators’ pockets
#89Earlier quoted context omitted.
The solution for this is to have the donation system pool transactions together. Instead of a single transaction for each creator you donate to, you make a payment into a pool that you can then allocate funds from to various recipients. And instead of individual payments to recipients, you send a single lump sum once a month (or if perhaps less frequently if donations are sparse).
You can "pool" individuals over time. That is, instead of $3/month you do, say, $9/quarter.
Which is going to lower conversion. Significantly.
Whole reason why any service is paid monthly is because it's just makes more money over customer lifetime.
Re: Patreon cuts deep inside creators’ pockets
#90Earlier quoted context omitted.
How can they "get out of the way" when you need to use the app to play the content? The player sucks, episode search sucks.
I guess most creators I watch tend to link to unlisted youtube videos to share with their patrons rather than use Patreon's built in uploads.
Same here, the only ones that don't do that upload to Vimeo and link that in the Patreon update.