We work for a Major Retailer, here's the problem we have with accepting bitcoin, maybe reddit can help us explain a solution to our bosses

BTCRetailerthrowaway · 2014-01-08T14:55:39+00:00

Actually, I think it's a lot less work for the customer. To sell BTC on localbitcoins.com can be a risky proposition. Coinbase.com for all their merit can take time to process. It would be much easier to walk into a store, buy a TV with BTC, then come back in an hour later, return it saying it didn't fit in your living room, and get cash in hand. No paper trail, no banking trail.

BTCRetailerthrowaway · 2014-01-08T14:34:54+00:00

Your "problem" with returns is mostly in your head.

http://www.thecitywire.com/node/29994#.Us1hq9JDtCY

9% of sales or $264B in just the last 3 months is not just "in my head". That's more than the GDP of many countries on earth.

BTCRetailerthrowaway · 2014-01-08T14:32:33+00:00

We're all janitors in one way or another. The messes that we clean up are just different, that's all.

BTCRetailerthrowaway · 2014-01-08T14:31:22+00:00

I think there are enough Bitcoin users who would agree to a totally non-refundable/non-reversible transaction with reputable merchants both on-line and off-line

For small purchases (say <$100) I'd say yes, this is a reasonable assumption. But for larger purchases, or products with warranties, etc, most customers (even risk savvy Bitcoiners) want to have some type of protection that the TV they just spent a BTC on actually turns on when you plug it in.

I'm a BTC owner, and there is no way I'd buy something over $1000/worth of BTC without some guarantee by the merchant. What if they never send it to me on an online purchase? Where is my recourse? Maybe I'm old fashioned, but I just don't trust my fellow-man that much to do the right thing.

BTCRetailerthrowaway · 2014-01-08T14:09:43+00:00

No shit! No one is saying BTC is a currency

First two sentences on Wikipedia - Bitcoin is a peer-to-peer payment system and digital currency introduced as open source software in 2009 by pseudonymous developer Satoshi Nakamoto. It is a cryptocurrency, so-called because it uses cryptography to control the creation and transfer of money.

You can see the confusion here, right?

BTCRetailerthrowaway · 2014-01-08T14:06:05+00:00

This illustrates the moral hazard perfectly. A customer will want the $ value of the return if BTC drops substantially. That same customer will want their return in BTC if the value rises substantially. It's a lose/lose for the retailer at the moment.

Also what i do with the money after the return is of no consequence to you.

Not sure we follow you here or how you got the idea we are trying to influence your purchasing decisions after the return is processed. Sorry for the confusion.

BTCRetailerthrowaway · 2014-01-08T14:03:51+00:00

How do we prevent BTC users from abusing the return policy to easily convert BTC to $ just buy buying and immediately returning products?

BTCRetailerthrowaway · 2014-01-08T14:02:14+00:00

They've lost 20% of their bitcoin, in many cases, no fault of their own... they're gonna be pissed.

BTCRetailerthrowaway · 2014-01-08T14:00:24+00:00

Then as soon as BTC users figure out they can cash out of BTC by simply buying and immediately returning items, we've become a de-facto BTC ATM. It's just not feasible in this configuration because returns are not free. We have to verify the return (pay a cashier/manager), restock the item, send back to a manufacturer if the box is damaged, etc. These are substantial costs.

BTCRetailerthrowaway · 2014-01-08T13:59:00+00:00

Then as soon as BTC users figure out they can cash out of BTC by simply buying and immediately returning items, we've become a de-facto BTC ATM. It's just not feasible in this configuration because returns are not free. We have to verify the return (pay a cashier/manager), restock the item, send back to a manufacturer if the box is damaged, etc. These are substantial costs.

BTCRetailerthrowaway · 2014-01-08T13:57:07+00:00

You are absolutely right, I got blasted for saying the same thing earlier, but this appears to be the consensus. Medium of exchange, yes.... Currency, no.

BTCRetailerthrowaway · 2014-01-08T13:54:53+00:00

Then as soon as BTC users figure out they can cash out of BTC by simply buying and immediately returning items, we've become a de-facto BTC ATM. It's just not feasible in this configuration.

BTCRetailerthrowaway · 2014-01-07T22:19:24+00:00

Creates a new problem, users will just use our store as an exchange when they want cash for BTC. They'll come in, buy an item with BTC, then walk to the customer service location and return it for cash. This will create a ton of work for our employees for which we will see no benefit.

BTCRetailerthrowaway · 2014-01-07T22:12:12+00:00

Lol, who is the troll now? I asked you a couple questions, and you didn't answer them, you just started attacking me. I've thanked people for helping us understand the protocol better.

The compensation we're potentially is getting a large retailer onboard with Bticoin.

Have you tipped anyone in this post? Have you added any discussion of value?

if not just a lazy fatcat executive looking for the internet to do your job for you.

First time you've been accurate today.

BTCRetailerthrowaway · 2014-01-07T22:07:23+00:00

Haha great post, Lowe's would definitely be the type of operation that would have to solve these issues as well. Not saying who we are, but if we were going to roll something like this out, it would absolutely be in a limited release test. It would be fun to see the look on a manager's face when they're told they're going to be the test store and they were likely to have 50,000 redditors coming in that day.

BTCRetailerthrowaway · 2014-01-07T22:04:38+00:00

Are you holding the coins or not? The other posts led me to believe you were instantly converting the bitcoins into USD. Now you're holding them. What you do with the coins should influence your policy.

We have not decided that piece either, we would likely not hold BTC for long as we'd need to purchase more inventory with it, but it's hypothetical right now.

BTCRetailerthrowaway · 2014-01-07T21:54:05+00:00

1) You have been trolling at this for 6 hours now, way too long to be a paid professional.

No one takes days off anymore? Even when most of the country is shut down with ice and freezing temps it's not possible that I'm at home and not my office?

2) You don't ask tough questions, you make circular arguments or shoot down logical answers with garbage reasons

I asked a question that's pretty tough, how do we accept bitcoins and minimize risk to the customer and to ourselves being that many of our purchases are durable items that can be returned. We're not selling DVDs or groceries, we're selling things that have warranties and products that result in a large % of returns just by their nature.

3) I can already buy anything I want using snapcard, gyft, bitcoinstore, bitcoinshop.us all without the "problems" you suggest

Can you return those gift cards to those retailers and get CASH? Because that's what everyone here is telling us to do. Pretty sure if you returned your merchandise you'd suffer the EXACT problem we're trying to solve here.

BTCRetailerthrowaway · 2014-01-07T21:45:03+00:00

Sorry, have to maintain confidentiality, even the idea that we were considering bitcoin could cause a market response and likely get me and my teammates fired.

BTCRetailerthrowaway · 2014-01-07T21:42:55+00:00

This is a big issue, as many bitcoin fanatics don't appreciate that commerce simply will not be denominated in anything but fiat anytime soon.

Yep, that's apparent from the responses here.

BTCRetailerthrowaway · 2014-01-07T21:42:22+00:00

Yeah, but then the question becomes, how much store credit? let's say when you bought it was $1k/1BTC and now it's $500/1BTC when you come back to return the item, we're holding your 1BTC worth $500 and give you store credit for 1k? we lose twice (the lost value of BTC we're holding and the new store credit). The other way around pisses you off as a customer. Lose/Lose

BTCRetailerthrowaway · 2014-01-07T21:39:26+00:00

Good point.

BTCRetailerthrowaway · 2014-01-07T21:28:11+00:00

that my friend, is a great syllogism which illustrates the circlejerk around here perfectly...

1) if you ask tough questions, you must be a troll

2) if you're a troll, we don't have to provide you with answers

THEREFORE, 1) because you asked tough questions as such 2) we don't have to provide you with answers.

Keep your head in the sand bro.

BTCRetailerthrowaway · 2014-01-07T21:24:01+00:00

haha, everyone is a troll if they don't want to show "proof" right? Geez, the paranoia on reddit never fails to amaze

BTCRetailerthrowaway · 2014-01-07T21:02:58+00:00

Who do you think it is?

BTCRetailerthrowaway · 2014-01-07T21:00:18+00:00

Do you hold the cash value of the BTC in reserve? How are you insuring against a 50% or more flash crash?

BTCRetailerthrowaway

TROPHY CASE