Amazon Starts 'Tip Jar' System

BeFiend writes "Looks like Amazon is trying to develop a "micro-payment" tip jar system for Web sites. They're calling it the Amazon Honor System and looks like you can give as little as a buck, while that's not really a micropayment it is a step in the right direction. I've only seen a couple of sites BBspot and SatireWire with the pay box already, but I'm sure we'll see them popping up all over the place with banner ad revenue plummeting." Amazon says says they don't track you on sites that use this system, even though since the payment box is served from their servers, they easily could (indeed, Amazon's regular No-Privacy Policy directly conflicts with the above page - which one controls?). And Amazon takes a hefty chunk of each payment in processing fees. But perhaps this model could be useful for sites which need cash but don't want to serve advertising.

Comments

Backwards US banking

[slim]

I find it very strange that banks in the US are so backwards as to necessitate things like PayPal. In the UK (and I think the rest of Europe) as long as you know someone's account number and their branch sort code, you can make an instantaneous transfer into their account, either by telephoning your bank, or through Internet banking -- for free, and without the need to hold a "buffer" of money in a service such as PayPal.

Frankly it beggars belief that this protocol does not extend worldwide. Why can't I pay eBay sellers in the US in this way? I'd even pay a small surcharge, but not the £25 or so that an international banker's draft costs.

Um, this is sort of irrelevant to micropayments (although it points us in the direction of how things *should* be done) but since PayPal got mentioned so often here I thought it was worth dropping into the mix.

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Paypal

[FroBugg]

I've been using paypal for a while now, just for transactions between myself and friends and the occasional auction. And you don't even have to have a credit card to use it. I've got it patched into my bank account.

All transactions on the personal level are free, but they go to $.30 for all purchases under $15 and 2.2% (for credit card) or 1.6% (for non-credit card) plus $.30 for all purchases over $15 if you're using the premier or business account.

I haven't checked the amazon rates, but these seem fairly reasonable to me for any normal transaction. It gets a little tricky when you're just doing micropayments, but you can stick with a personal account if you don't plan to be raking in lots of cash.

This should be used on Slashdot.

[Lover's Arrival, The]

It would have a number of advantages. People would care more about the site, and not troll it as much because they are paying for it. The editorial policy would be more independant of commerce, as they would no longer rely on advertising. This would also chime with the ideals of the readership. Hostile, flaming AC"s would become a thing of the past.

I also expect that the average intelligence of the posts would increase, as only those who were reasonably intelligent would have the foresight and drive to actually register. I expect that /. could increase its revenues by doing this too, which would give them more money to invest in the site and improve slash (and perhaps employ someone to proofread articles for typos and read Taco's mailbox).

In addition, it need not cost much. I expect a couple of dollars a week automatically paid by credit card would do the trick.

Just imagine the improvement in the quality of discussion and commitment to the site and community that would occur! It would be a vast improvement from all the goatsex, I am sure.

I am also sure that many of these arguments could be applied to other sites.

They fuck you up, your mum and dad.

I tried, it's failed.

[BilldaCat]

I tried doing the whole PayPal donation thing, which is very similar. Had it up for about a week now on my site (the one in my sig).

I've received a grand total of 20 cents.

If I get another nickel, I can buy that gumball I always wanted.

It's very depressing, actually. It makes me question why I'm doing this, if it's obvious people don't appreciate it that much. There's next to no money to be made in banners, and the cost of the server will soon become too prohibitive to handle by myself, so I'll likely be forced to shut it down. Kinda blows, but I guess that's survival of the fittest for you.

Question:

[cybercuzco]

How long before Amazon patents the Digital tip jar? A week? Two weeks? Start getting your prior art ready

charities, donations

[Mr.roboto]

When you see one of those cans in a store, or see some donation place, it's often run by someone else who takes most of the money for themselves. Amazon has set up an interesting paralell. While %15 is not much by first look, it really does add up when you have a few million in donations cross their wires. I think it would be better for them to send a check in to the people, despite the convience of this type system. That way you are sure all the money goes to the group it belongs to. And I wouldn't trust their privacy policy as far as I could throw it. It would be rather easy to slip a web bug into an image for the "donation system."

Lightbulb went on in my head....

[kenthorvath]

Imagine. Now we can tip all of those live-feed strippers on adult websites.