
The Case Against Micropayments - nickb
http://www.openp2p.com/pub/a/p2p/2000/12/19/micropayments.html
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TrevorJ
I would argue that when it comes to certain specific structures and sectors,
micropayments can and are useful, specifically in regards to capturing impulse
buyers who are engaging in entertainment-type activities. Above a certain cost
threshold, many consumers will think harder about a buy and thus decide
against an impulse purchase, but if the cost is low enough, they will just buy
it, particularly if they are engaging in entertainment already.

itunes is one great example, as well as Xbox Live and Second Life. Limiting
the context to leisure activities and creating a situation where the
micropayment right then and there is the most convenient form of acquiring the
product makes these successful.

