On-ramp friction with small stablecoin payments — anyone else?

Been looking at integrating $USDC for microtransactions for an e-commerce platform. The idea is to cut down on traditional banking fees for smaller purchases. We've done some testing with various on-ramps and the transaction costs, both gas and exchange fees, on the smaller end are often disproportionately high, sometimes negating the benefit entirely. For example, a $5-10 payment often incurs a 2-3% fee just to get the fiat into stablecoin effectively. Am I missing something fundamental with the on-ramp solutions or is this just the current state of play for smaller amounts?