Ask HN: What did Stripe change (Value Add)?
What was the revolutionary thing Stripe enabled that changed payments & commerce ? From what I understand - people could do payments via credit-cards & paypal.
What was the value added from stripe that made it differentiated from the solutions / providers before ?
Pro: they abstracted away the intricacies of getting "KYC" approval to take payments and abstracted the merchant services integration, so a developer could be up and taking payments in hours, rather than weeks/months.
Con: they abstracted the relationship a merchant has with their processor, so now they stand between you and your money, they decide whether you get it or not, or if you're banned or not, and you have no recourse if they decide your story isn't compelling enough.
To add to this, one of their biggest pros was the developer documentation.
The quality of documentation that Stripe had stood out not only in the payment processing space, but in the industry as a whole.
Completely agree, thank you for adding that. Their documentation was a head above the rest; personalizing the example API calls with your key/token included within the documentation made it trivial to try it out and see something working almost immediately.
I think I watched somewhere they stopped you from having to deal with banks individually.
Dealing with banks was in many places horrible (still is probably). And more expensive. And worse than Stripe in every way you can think of.
You'd have to physically visit the bank. If they didn't like how your face looks, that's it. They'd say no we're not going to let your company open a merchant account for card payments. Or if they didn't like your last name, your age or your sex.
Then all kinds of strange fees. Although if you were a physical location with a high transaction volume, then banks offer better rates than Stripe.
Then your actual commerce software. The best quality systems for online sales all work with Stripe, and not with your local bank's offering. So if you want to forego Stripe, that also means you need to use a lower quality system. Meaning a worse experience for customers and for you and your staff.
I think they made it far, far easier to implement them as a payment provider vs PayPal etc. That was the first innovation.
paypal fees are ridiculous