Z1P: StefanF vs the people, page-37

and Chris margins from zip aren’t under pressure
the nature of tap and zip is a different consumer spend, lower risk as it’s everyday spending. The vision will be much higher volume of transactions on tap and zip segment, and the 1-1.5 percent margin they get on this will carry around a 45-55 percentage profitability
if people start using tap and zip for all their everyday spending instead of their debit card or credit card. Ie just tap the phone to the eftpos terminal just like you would your card and kaching!
as I showed I my real life example it’s a way for a Bnpl to increase the value per customer beyond just discretionary items

visa and MasterCard have both seen reduced use of credit card so this is smart by both of them to ensure they continue to get their fees, this is just a transfer now of profitability from the banks to those Bnpl that offer a tap and zip like feature. I believe only Zip and Quad offer this at the moment because every transaction with afterpay could be declined or could be accepted, you don’t know until you put the order through. What a horrible way of finding out you can’t buy something! After you’ve wasted the time to search and go get it!