Originally Posted by
mangust
Interesting idea, and I wish you success in your venture. I suspect this forum's audience is more credit/money savvy, so probably not many will use your service. However, you will get some ideas.
FWIW, here is mine. Make a deal with Amazon where every transaction adds a gift card balance to the user's Amazon account. Collect a small percentage to make a profit.
Thanks for the well wishes!
So I also had that idea (to give gift cards so the user is getting something in return aside for card activity).
The issue is that the profit margins on such small transactions are already quite slim. If I were to give away a majority chunk of the profit to purchasing gift cards, the business would not be profitable....
From a psychological aspect, I have considered trying to give something in return to the customer that would cost me very little, to incentivize users and to overcome the psychological barrier of just giving away money (despite the fact that there is a clear value proposition from keeping cards active - it's just psychologically difficult to do for whatever reason).