Payments

Kickstarter Opts for Stripe, Ditches Amazon Payments

MEDICI

The Crowdfunding powerhouse is moving away from using Amazon Payments as its payment processor. Raking in over $529 Mn in annual pledges, the company has opted for online and mobile specialist Stripe to handle its credit card payments. Now, making a Kickstarter pledge and running a crowdfunding campaign would be easier as Stripe’s tools would be directly integrated into Kickstarter’s website.

Project creators on the website no longer have to create Amazon Payments business accounts and wait for the registration procedure. With the new system, they can directly enter their bank account details into their Kickstarter profiles. This would ensure that payments are directly deposited into their accounts as soon as the project is successfully funded. Project backers too won’t be required to log into or create Amazon account and won’t be redirected to Amazon’s portal. They would simply have to enter payment details on the project pledge page or use saved credit card information from the Kickstarter account.

Earlier, Amazon used to process payments for US projects only while Kickstarter relied on other payment processors to handle international payments. Stripe will now be the payment processor for Kickstarter on a global scale. The card transaction fees for US will stay the same at 3-5% but those for international payments may vary as per region. The reason behind Kickstarter ditching Amazon Payments is that Amazon had discontinued that particular version of Payments platform which Kickstarter used.

This could be a big blow to Amazon as Kickstarter was definitely one of its most high profile payment customers. For Stripe, this comes as a big boost for its payments platform. Stripe has also landed some high profile integration work with Twitter, Facebook and Apple Pay. Stripe has gained popularity as an easy-to-implement payments tool and the platform of choice for a number of developers and established brands wanting to get their payments managed.

MEDICI Team

MEDICI

MEDICI Team is a group of content writers, bloggers, journalists, researchers, and editors from the MEDICI who collaborate to create FinTech insights.

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