Category: Interactions

Stripe wants to “redesign the world’s online payment structure”. It won’t.

I was recently having lunch in Skylon with a friend of mine who is also involved in software, and he mentioned that Stripe—a payment gateway—had now launched in the UK. A bit of light searching revealed a Wired article which asserts that Stripe’s co-founder wants to “redesign the world’s online payment structure to achieve one universal system”.

“… The internet has made it easy for people to communicate, but payment is still fractured. As a result the internet gets fractured as well. We don’t have this problem offline. The internet is a testament to a connected system that works—it’s a global network where any computer can reach another, and easily transfer information across.

“What if we designed payments for the internet? With interconnectivity and user experience as the goals. We’re designing from the groundup for the internet. We’ve not achieved it yet, but we expect more instruments will follow as Stripe spreads. The reason this problem is so important is that the web economy has so much growth left in it.”

The trouble is that this is simply not going to happen—not through Stripe, in any case.

Why? Well, just look at Section B5 of Stripe’s UK Terms and Conditions:

[B5] Prohibited Businesses

By registering for Stripe, you are confirming that you will not use the Service to accept payments in connection with the following businesses, business activities or business practices: (1) door-to-door sales, (2) offering substantial rebates or special incentives to the Cardholder subsequent to the original purchase, (3) negative response marketing, (4) engaging in deceptive marketing practices, (5) sharing Cardholder’s data with another merchant for payment of up-sell or cross-sell product or service, (6) evading Card Network’s chargeback monitoring programs, (7) engaging in any form of licensed or unlicensed aggregation or factoring, (8) airlines, (9) age verification, (10) age restricted products or services, (11) bail bonds, (12) bankruptcy lawyers, (13) bidding fee auctions, (14) collection agencies, (15) chain letters, (16) cheque cashing, wire transfers or money orders, (17) counterfeit goods, (18) currency exchanges or dealers, (19) embassies, foreign consulates or other foreign governments, (20) firms selling business opportunities, investment opportunities, mortgage consulting or reduction, credit counseling, repair or protection or real estate purchases with no money down, (21) credit card and identity theft protection, (22) cruise lines, (23) essay mills, (24) flea markets, (25) drug paraphernalia, (26) extended warranties, (27) fortune tellers, (28) “get rich quick” schemes; (29) gambling (including but not limited to lotteries, Internet gaming, contests, sweepstakes, or offering of prizes as an inducement to purchase goods or services), (30) sports forecasting or odds making, (31) illegal products or services, (32) mail-order brides, (33) marijuana dispensaries and related businesses, (34) money transmitters or money service businesses, (35) multi-level marketing or pyramid schemes, (36) online or other non-face-to-face pharmacies or pharmacy referral services, (37) prepaid phone cards, phone services or mobile phones, (38) pseudo pharmaceuticals, (39) quasi-cash or stored value, (40) securities brokers, (41) sexually-oriented or pornographic products or services, (42) shipping or forwarding brokers, (43) substances designed to mimic illegal drugs, (44) telemarketing, (45) telecommunications equipment and telephone sales, (46) timeshares, (47) travel agencies or travel clubs, (48) online or other non-face-to-face tobacco or e-cigarette sales, (49) weapons and munitions (50) virtual currency that can be monetised, re-sold or converted to physical or digital goods or services or otherwise exit the virtual world, (51) personal computer technical support, (52) selling video game or virtual world credits (unless you are the operator of the video game or virtual world), (53) selling social media activity, such as Twitter followers, Facebook likes or Youtube views, (54) human hair, fake hair or hair-extensions, (55) any product or service that infringes upon the copyright, trademark or trade secrets of any third party, or (56) any product, service or activity that is deceptive, unfair, predatory or prohibited by one or more Card Networks.

The vast majority of the businesses prohibited above are—assuming relevant registration and permits are obtained—totally legal and legitimate businesses.

As it happens, I was looking at Stripe in connection with a charity-related business that I am involved in. At first I was incredibly excited: Stripe seemed to offer all of the security and flexibility that we need—including OAuth integration.

Unfortunately, there is a gambling element to this business; and, even though the business has all of the required permits and clearances from the British government, Stripe’s Terms and Conditions mean that we cannot use their service.

Section B6 of the T&Cs covers illegal trading, which would surely be enough in most circumstances.

[B6] Business Conduct.

You will only accept payments through Stripe for transactions between you and your customer for the bona fide sale of lawful goods or services. You will not solicit or use a cardholder’s Card Data for any purpose other than to process payment for your goods and services. You will comply with all applicable laws, rules, regulations and orders of governments having jurisdiction in connection with your use of the Service.

One can only conclude, therefore, that Section B5 is something that Stripe have inserted to assert their own morality into their business model. Which is entirely fair enough: Stripe’s gaff, Stripe’s rules.

However, Collinson cannot make grand, sweeping statement about wanting to  “redesign the world’s online payment structure to achieve one universal system” or opine that “we’re still waiting for [an integrated] payment tag, but rather than universal it’s still fractured” when Stripe itself is committed to preventing entirely legitimate—and heavily regulated—organisations doing business online.

Collinson goes on to say:

“Payment systems are holding back online progress. You still have to fill in 15 different fields, then get redirected to Verified [by Visa].”

Collison imagines a one-click world, where making use of any entrepreneurs’ product is as fluid, natural and as user-friendly an experience as the design itself, with little friction and more transactions.

It seems that, like many entrepreneurs, Collinson makes a good case for interconnectivity on one hand whilst, in fact, establishing business practices—based, presumably, on the personal morals of him or his investors—that stifle creativity on the other.

When we have a Stripe-like system that will encourage—or at least allow—any and all legal businesses use their service then we might actually get the universal payment system that Collinson says he desires.

Until that time, talk of wanting to “redesign the world’s online payment structure to achieve one universal system” remains so much hot air.

The “post-comp” era

A few days ago, I wrote about moving into the “post-comp” era in the web design process. I linked to a post by Brad Frost, and now Dan Mall has written a reply to that article.

As I mentioned in the comments, I think it’s an expectation problem. The typical workflow for web design projects is to send a client a “preview” of the site to approve before beginning development. This “preview” usually comes in the form of a comp that shows how a page might be laid out and often contains specific, pixel-perfect choices with typography, spacing, images, columns, and other very fine details. The problem is that this says to a client, “We’re now at a stage where we’re focusing on details.” It’s only natural that their feedback focuses on details.

A responsive design process is like a scandal. You’ve gotta pre-emptively control the conversation. If your client wants to have conversations like this, it likely means you didn’t do a good job of setting expectations.

As Dan points out, this expectations need to be set in the Sales process—at this point, the designer should be engaging with the potential customer and trying to establish the deliverables.

Rather than promising multiple rounds of page designs as some of the first design deliverables, we’re setting the expectation that the first things they’ll see are unstyled HTML to demonstrate content hierarchy and flexibility across various screen sizes and a few pieces of a visual style—works-in-progress and unrefined broad strokes, not polished visuals that call for critique at a fine detail level. That’s why I’ve grown to love element collages; they’re literal enough that your client can start to see a picture of things coming together but still enough of a work-in-progress that there’s no expecation that the site would actually look like this for everyone.

This is, in this age of multiple devices, simply not sustainable; in short, it creates false expectations for your customers.

To be fair, I don’t think we’re in a post-PSD era, but I do think we’re moving towards a post-“full-comp” era. I can’t envision a project where I don’t use Photoshop. Photoshop isn’t the problem. It’s a great tool. My favorite, actually. It’s the stigma that comes with presenting a full comp (I define “full comp” as an image of a website viewed on a desktop, typically around 960px wide). By default, presenting a full comp says to your client, “This is how everyone will see your site.” In our multi-device world, we’re quickly moving towards, “This is how some people will see your site,” but we’re not doing a great job of communicating that.

As an industry, we sell websites like paintings. Instead, we should be selling beautiful and easy access to content, agnostic of device, screen size, or context. If you can get your client to believe in the sales process that you’ll do that for them, they won’t care what the site looks like.

This is precisely right. Of course, when you are in a company that has a Sales Team—rather than the salesman being, principally, you—then the first people that you have to convince is the Sales Team.

As I mentioned in my previous post on this subject, we have just started moving our first customers towards this process; however, we are feeling our way to a certain extent and not yet nailed down the outputs.

Yes, the projects on which we have deployed this process do seem to be going fairly well: however, we need to firm up the process very swiftly now—and then sell it to our Sales Team.

I am absolutely convinced that we are moving into a post-comp era and that it is going to lead to far more satisfying results for both designers and customers. However, it needs to be presented in the correct way, and both sides need to understand the deliverables. In short, expectations need to be sold, set and delivered.

I will continue to update you all on how it goes…

Reciprocity: give to get

Living in the world that we do—with its smartphones, transatlantic travel, ultra-high-def TVs and One Direction—it’s sometimes easy to forget that we are, at the most basic level, animals.

We have, over the course of human evolution (modern humans it’s generally agreed upon have been around for at least 200,000 years), carried with us various traits that helped our long gone ancestors to navigate and survive on this planet we call “home”.

In the modern world of communications these traits may seem of no real concern to us but the truth of the matter is that we still act and make decisions based on them.

The use of reciprocity, for example, can be a powerful tool to help create a reaction and a connection with your clients and customers. It can help build a deeper relationship, creating trust and loyalty.

At the most basic level, reciprocity is the exchange of something of value between two or more people. This doesn’t have to be as obvious as giving a present or receiving a birthday card: assistance, advice and contacts can equally be a form of reciprocity.

By and large we try to repay in kind what another person has given us; if we don’t, we usually have an overwhelming feeling of guilt—and there aren’t many people who enjoy that feeling. I know I don’t.

There are many theories as to where reciprocity comes from and why it’s a major influence over our lives and decision making. It has been theorised that it relies on a universally held belief of future obligation: if we give something of value away it won’t be lost forever but will be repaid to us in the future with something of equally valuable (or even more so). Humans for the most part will almost always strive to repay this “debt” even when the expectation of repayment is a vague one.

We can see reciprocity happening all the time in the online arena—take LinkedIn, for example. When we receive endorsements or recommendations from our clients or associates, most of us will respond in kind without being asked—we somehow feel compelled to do so.

When someone comments on one of our photos on Facebook, we will often comment back on one of theirs. Even if we don’t feel obligated, we would rather do this than not as it’s fundamental to our social success.

We can make use of this ancestral practice in a variety of ways.

  • Write free articles—not only will you be giving your readers knowledge for free but you’ll also be enhancing your position and credibility as an expert in the field in which you operate. The same can be said for coding. There are many developers who use reciprocity by giving away bits of code they have created: those who download the code feel obliged to either spread the word about the developer’s site, leave comments of thanks (usually praising the developer’s skills) or offering solutions or “bug fixes” for free.
  • Offer a free consultation—by giving away a bit of your knowledge and helping your potential clients/customers just a little it will instil the feeling that you’ve gone out of your way to help. It will enhance your reputation and increase the prospect of a more meaningful and prosperous relationship.
  • Compromise—by showing that you have the ability to compromise, your client will more than likely wish to reciprocate in kind, leading to a mutually beneficial outcome. This doesn’t mean that you have to become weak and go against your fundamental principles. Be strong, but always make room for compromise too.

It seems that even though we are moving full steam ahead into the future, there are certain traits that are ingrained in the collective human psyche. Don’t forget to use those traits—they’re effective, they work and they have done for at least the past 200,000 years.