Archie Abrams: prediction

Transcript context

…Is there an example in that second bucket of what you mean when you say there's a pocket of valuable merchants? Yeah, I think a lot of this has to do with, we call it monetary friction. So one of the hardest things to do with a business is when you're getting started, is you might not have any revenue coming in, and you are kind of bootstrapping, which in Shopify's case might be 39 bucks a month. But still, it's a real expense. And so typically when you can lower the barriers to monetary friction in some form, that could be all sorts of monetary friction early. The common belief is that we'll usually get lower quality folks coming in the door, because usually discounts are associated with lower quality. If you think about in a business case, if I give you a little monetary boost and reduce that monetary friction, I can actually causally change your ability to become successful, because I've given you a little bit more time to try that idea a little bit longer. I've given you that opportunity to move your business over to Shopify. And so often in those types of experiments you see that you've basically unlocked a class of people who might've given up without reducing that monetary friction Interesting. And giving them time to actually make it work.…

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