One of the questions that is asked the most about Bitcoin is “where can I use Bitcoins?” The number of businesses that accept Bitcoin is limited; however, more are accepting Bitcoin as a payment method every day. At The Genesis Block, we will feature businesses that are creating and innovating products and services for the Bitcoin industry.
Bitcoinstore.com is an online electronics store that launched last month and is accepting Bitcoin as its ONLY payment option. The mission of the site is to prove to other retailers the benefits of adopting Bitcoin as a payment option. For merchants, the benefits are small processing fees and no reversal of payments. Bitcoinstore.com is passing on these savings to the customer in the form of lower prices in hope that this will entice potential customers to purchase their electronics through them.
This month, they have set a goal to sell $850k worth of consumer products. The idea is that if they hit this goal they will have proven the concept of using Bitcoins as a payment method. This may help larger electronics retailers, such as Amazon.com and Newegg.com, realize the Bitcoin can and should be a payment option at their website.
Will customers choose to stretch their dollars at Bitcoinstore.com?
By only accepting Bitcoins, Bitcoinstore.com is taking a huge risk by significantly limiting its potential customer base to only those are interested in using Bitcoins. Here’s to hoping that this risk pays off and Bitcoinstore.com can be used as a case study for Bitcoin use in the future.
Given bitcoin’s existing user base, electronics seems like a good place to start with initial retail outreach. I’m curious to see how this turns out.
@Bitcoinicous, electronics definitely identifies with the early adopters of Bitcoin. It’ll be interesting to follow the progress on its goal of $850k this month. As of today (4/8), they are at 15% of its goal. This means they are 8% , or 2.5 days, behind schedule.
The article didn’t contain a link to the site. Bad design.
Their name is a link to their site (you’ll notice if you rollover), but oddly isn’t displaying correctly. Thank you for bringing this to our attention.
To be fair, the prices at the above listed site are far from a good value. Many of the identical items listed at ebay were much lower in price with free shipping, too. I had hoped otherwise, but there is some clear increase of profit going on here.
@Mike,
I agree with your assessment. I was looking to purchase a new computer monitor this week and I was comparing the prices on Bitcoinstore.com vs. Newegg.com and Amazon.com. All of the monitors that I was interested in had lower prices on Newegg.com or Amazon.com than on Bitcoinstore.com. When evaluating Bitcoinstore.com vs. the existing retailers, you have to understand that these larger retailers have much larger customer bases, longer relationships with suppliers, and a much more optimized supply chain. Bitcoinstore.com may accept only BTC and that does cut down on the transaction costs for the merchant and they do pass that onto the customer; however, it is a small piece of the overall price of a product.
It’s the best time to make a few plans for the longer term and it’s
time to be happy. I have learn this post and if
I could I desire to recommend you few attention-grabbing things or tips.
Maybe you can write next articles referring to this article.
I wish to read more things about it!
I was recommended this web site by my cousin. I’m not sure whether this post is written by him as no one else know such detailed about my trouble. You’re wonderful!
Thanks!