In this post, we will compare our social micro-payment against similar micro-payment available in the market. SWOT analysis were used to identify weakness within competitor product, that will help us cater the objective of our product. Most of the services only focusing on transaction/sending money, but our product ‘QuidLink’ is more focus on transaction/sending money within social network.

1. Paypal – one of the widely product being used as payment or transferring money in the digital world.
Strength

• Widely recognize on International scale.
• Offering low commission due to high transaction volume/good industry relations
• Allowing money to be transferred into mobile phone/email, if the receiver doesn’t have a Paypal account

Weakness

• Most transaction are associated with eBay; other transaction can be difficult to perform.
• Fees differ based on volume or type of transaction
• Require sender/receiver to know email or mobile number

2. Square Cash – latest online transaction, that allowing people to send or request money.
Strength

• No charges on transaction
• Highly secure
• Request money from multiple people at one time

Weakness

• To create an account, it require invitation from existing member
• When user sent the money, it require 2 days to process, before being deposits into recipient’s account
• Only supporting Debit Card, not CC. (because DC offer real-time connection with the bank)
• Limit to $2500 per week
• Limited to people in US

3. Ribbon – similar to SquareCash, don’t require user to install any application
Strength

• Send/Receive money using CC & DC
• Similar process with SquareCash

Weakness

• Account by invitation. Referring a friend will reward to higher account group
• Charge Credit Card user with 3%
• Limited to people in US

4. Bitcoin Payment – digital currency that uses cryptography technique to transfer and process transaction

Strength

• Highly secure process of transaction
• Minimal fees charged

Weakness

• Time consuming for proof of work
• There is a low market penetration and customer understanding, even within the tech community
• Decentralized can cause problem such as money laundering and black market transaction.

5. Bank Transfer – using online banking system to send money either within the same bank or to another bank account.
Strength

• No cost for domestic transfer
• Simple to use

Weakness

• Privacy concern, as the bank will know all the details
• High charges for international transaction/transfer

6. MoneyGram / Western Union – Financial company that provide service to send money internationally
Strength

• Allowing to send money to person without bank account

Weakness

• High charges even for low amount of transaction
• Has a reputation for being dodgy

7. Amazon Payments/Google Wallet
Strength

• Created by well established company

Weakness

• Requires email address for transaction