So I was getting ready to login to my account and I saw the little thing on the left of the page "Sales Processed in 2002"

Now at the time of typing this they have done $18,687,081.23
They get 5.5% of each transaction and $.45 per transaction.

If my horrible math is correct, 5.5% of that above amount is $934,354.06. Take into effect the $.45 per transaction I would guess, and this is a long shot, and I am most likely under on this guess... 500,000 transactions made that $18,687,081.23. (That would make the average sale about $37 and some change) So 500,000 x .45 = $225,000 plus the $934,354.06 = $1,159,354

Now out of my non-scientific guess, they can't offer a toll-free number or publicly post (with ease) their regular phone number? Its not like they aren't making any money and can't afford to offer it on a more public scale.


I hope you don't mind yet another 2checkout post.

You also have to take into account hat they don't get to keep that 5.5%. They have a merchant account that they pay a percentage on... So if they are paying 3% then they are only making 2.5% or $467,177. Out of that they have to pay salaries, server costs, office overhead, utilities.

I am not trying to defend them, but I was actually surprised that they make as little as I expect that they do...

funny. i was just at there site and saw that too. So, they could bring in $37 million easily this year. And I doubt that they have to pay 3% for their merchant account. I know people that have gotten 2-2.5%, so i gaurantee you they have some sweet deal since they do so much in transactions.

Then there's all the people signing up and paying the $49! Who knows how many new accounts they get each year.

They definately are making some decent cash, and how many employees do they really have? Doesn't seem like theres that many according to the posts i have seen from them.

Who knows, but they should definately offer more to there clients, like toll free numbers, and so on. I don't use these guys, but was looking at them. Lately I am not so sure after all the crap that has been posted about them.

Are they even listening? They should be.

I'll tell you what though guys, that is still almost $700,000 in half of a year! Even if you accounted for massive server costs (which probably are not really all that huge) admin fees, a few salaries and an office those guys are still probably making a killing.

But i must agree with you be-hosted, I am kinda suprised that they are actually not doing more than that in sales. Maybe a phone number with a person on the other end might change some minds here at WHT about what threads members post about them! A simple helping voice on the other end sure goes a long way with most people.

Have any of you guys operated a Third-Party Merchant account provider? You know techid, you have 35 posts on the forums, and it seems to me that 90% of them are you complaining about 2CO not having a toll-free number.

My suggestion: Go to a new provider that offers a toll-free number.

My suggestion: Go to a new provider that offers a toll-free number.
Exactly. Though I don't personally feel an easily accessible 800 number is a good thing anyways, it'll only end up in a higher charge or longer support wait times for everyone because some clients just won't get it and call 2Checkout for babysitting.

To debunk your 700k (450k in transactions and an unrealistic 250k in new accounts - all 5000 of them) in half a year: that's alot of money, right? Wrong.

700k over the past 6 months = ~$117k/mo
Assuming they're a high-risk business due to their online nature that knocks off at least 17k each month to insurance, etc. Now we're at 100k/mo
Pay the server fees. Do you host them? That's 18-25k/mo for the bare minimum T3. Do they colocate? That's 10-12k/mo but thereafter you'll need another 10k for lines into the office. Now we're at ~75k/mo
Pay your employees reasonably? even at a very low average of 4k/mo for everyone multiplied by what I'd guess is around a dozen people that's 48k/mo. Now we're at 27k/mo.
Lease office space? Reasonable office is 5-7k/mo. Now we're at 20k/mo
Maintain the servers and office computers? 2-5k/mo - and that's really cheap! Now we're at 15k/mo
Power, water, phone, office maintenance? That's not cheap either, 1-2k/mo. Now we're at 13k/mo


Now these are the simple expenses and there's most certainly many more. 13k/mo over cost is very-very low especially when you're trying to save for a rainy day. I'd personally much rather see 2Checkout save every penny and ensure they stay in business rather than burn through a small profit margin hiring a couple new employees to manage a phone which really isn't necessary.

Then again, that's just me. If you don't believe me take a look at all those buzz-worded dot-coms who spare no expense... oh wait, they're all gone.

Sincerely,

-Matt

Yep. You can't really complain. Even the staff members wondor how strange it is that some people LOVE them alot and some people HATE them alot. Heh.

Hmm so odd... I think I have only posted two at most three messages about 2CO. And its really difficult to change companies when you are starting to establish more and more reoccurring orders. Clients have already given the credit card numbers for billing on the net... most of them don't want to give it out again just for the fact 'I need to switch to a different company'

And its not like I posted this for the sake of – WE WANT ALL THE TOLL FREE SUPPORT IN THE WORLD. I posted this because its not going to hurt them to more publicly post their number(s). Not everything can be done via email or a contact form. This company is handling a very important part of our businesses, when something is up we need to get a hold of someone it should be there!

Think of your bank that holds your checking account. Now they have no branch for you to go to and they have no phone number, any issue you have must be through a contact form or email, sometimes you get great response time, sometimes you get horrible response time. Not so happy now huh?

Originally posted by techid
This company is handling a very important part of our businesses, when something is up we need to get a hold of someone it should be there!

You probably should have taken that into consideration before you chose 2CO as your provider. Don't blame them for your mistake.

Originally posted by techid
Think of your bank that holds your checking account. Now they have no branch for you to go to and they have no phone number, any issue you have must be through a contact form or email, sometimes you get great response time, sometimes you get horrible response time. Not so happy now huh?

Maybe that's why you should use a different bank?

A few points to consider.

1. we pay between 2.3 - 3.5% for Card processing. Why would you think CC companies would give us "better rates" when they'd prefer for us to go away, and have every merchant go directly to them?

2. we pay $0.30 per transaction.

3. On refunds, we pay the 2.3-3.5% & $0.30 again, and have never passed that on to our customers.

I'm not crying the blues or poverty, but that is the reality of the business.

When the "Big Cheese" started this company he said..."this could work, a bunch of people will sign up, give us $49.00 and never sell a thing. It'll be like printing money without any headaches..." Little did he know people would actually sell something. (kidding here a bit, ok?)

To Matt: Your break down was pretty accurate. Your number of employees was low and your rent was high...but we are adding to our office space this summer/fall so it will fall in line then.

The phone number seems to be a big point of debate. We have a toll free number for the US and a regular number for worldwide. An email requesting the number is all it takes for the information.

In almost every situation, a query can be answered better, more efficiently via email, then it can via phone.

The number is also in our TOS (which I'm sure each and every customer read...at least they checked off a box that they did on signup)

TomD:

Sounds awfully reasonable to me.

Tom,

I like this:
The number is also in our TOS (which I'm sure each and every customer read...at least they checked off a box that they did on signup)aka: if you forgot how to read simply pick up the 800 number for a low one-time cost of 49.95 :)

I'm totally for making the 800 number hard to find. In the amount of time it takes for 2Checkout to be yelled at by an irate customer they could answer 12 emails. Only in the event of an emergency or long-term problem should the phone even be considered.

:)

-Matt

Originally posted by RackNine
Tom,

I like this:
aka: if you forgot how to read simply pick up the 800 number for a low one-time cost of 49.95 :)

I'm totally for making the 800 number hard to find. In the amount of time it takes for 2Checkout to be yelled at by an irate customer they could answer 12 emails. Only in the event of an emergency or long-term problem should the phone even be considered.

:)

-Matt

As a business you learn that easy access to the least efficient solution is a mistake.
Support issues are almost all handled "off-site". Calling the office is just an additional step. The person answering the phone is going to email our tech and try to explain your problem.(something you are able to do far better)

We have considered a 1-900 Live support line at $ X.XX per minute and may well go this route for those unwilling to use the support ticket system.

Billing and Payment issues almost **always** take time to investigate. Both are available to take phone queries.

A 900 number now? And I thought they were reserved for those telephone girlfriend lines :)

Get phone support to talk sexy! That way even if the problem can't be resolved the client'll hangup with a smile!

-Matt

Originally posted by RackNine
A 900 number now? And I thought they were reserved for those telephone girlfriend lines :)

Get phone support to talk sexy! That way even if the problem can't be resolved the client'll hangup with a smile!

-Matt

Kristin and I are getting the "Big Cheese" fitted with a skirt & fishnets to get him "in character" to answer phone queries.

:stickout ROFLOL Tom :-)

PS: 400th post 100 till I change my title.

Originally posted by TomD
When the "Big Cheese" started this company he said..."this could work, a bunch of people will sign up, give us $49.00 and never sell a thing. It'll be like printing money without any headaches..." Little did he know people would actually sell something. (kidding here a bit, ok?)
:eek: :eek2: :eek3: :) :D :stickout

2Checkout could speed up the email response a bit. And yes even my small operation offers toll-free support.

Maybe they should offer the 'secret' toll free number if you do over $1000 per week. That is 4k per month - or $220+ in 2checkout commission - MORE THAN ENOUGH cover the cost of a few toll-free calls...

"Hello, thanks for calling 2checkout...
At any time you may speak with an operator by pressing 0...
For billing questions press 1..
For sales questions press 2...
For support questions press 3...
For bearly legal teens press 4....
For S&M press 5...
For moral guidence please hangup and call your local church..."

:D