11 December 2016
Visit aciworldwide.com

PayPal goes after the high street

15 September 2011  |  13723 views  |  1 PayPal logo

PayPal is stepping up its bid to take on card companies Visa and MasterCard in the high street as the boundaries between online and offline merge.

The eBay unit, which built its business in the world of e-commerce, is seeking to extend its reach and connect Internet and 'real-world' commerce.

In a blog, president Scott Thompson says: "There's a "new normal" in retail. Shopping is 24×7 and it happens everywhere - not just in a store or website. The intersection of smartphones, social media, online and offline shopping has put the consumer squarely in control."

The company plans to roll out a "one-stop shop" for merchants, covering the whole shopping lifecycle - 'acquisition', 'conversation' and 'retention'.

This will see geo-targeted advertising through mobile phones to help merchants entice people to their shops. Once customers are in-store they will be able to scan barcodes and carry out real-time inventories to find products before paying with their handset or entering their phone numbers and a PIN. For retention, loyalty rewards and 'payment flexibility' will come through the customer's mobile wallet.

The firm revealed earlier this year that it has lined up trials of its point-of-sale system with a major US retailer, and plans to have up to 20 outfits operating the service during 2012.

Thomsons insists that "we're not just shoving a credit card on a phone", arguing that "you've got to have more than just a shiny new technology to really change the way people shop and pay" and that PayPal wants to "free you from the cash register".

Comments: (1)

A Finextra member
A Finextra member | 15 September, 2011, 15:00 Dear Sirs, Customers paying at merchant POS by keying in their phone number + pincode on merchant payment device? Is this an attempt to create the most user unfriendly and and merchant time consuming unsecure payment application? Why did not payment card companies think of this - use only card number + pin at POS instead of physical card? Two reasons on top of my mind: customer convenience and quality/error free processing in addition to the security risk it poises since the phone no is a public token usable by anyone that manage to shoulder surf on pin? Paypal must be joking!
Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

PayPal hires former Visa exec to run Asia Pacific business

PayPal hires former Visa exec to run Asia Pacific business

02 September 2011  |  6625 views  |  0 comments
Google to launch credit card; PayPal to move offline

Google to launch credit card; PayPal to move offline

21 July 2011  |  18452 views  |  1 comments
Paypal calls time on physical wallet

Paypal calls time on physical wallet

30 June 2011  |  11611 views  |  0 comments
Banks winning on trust for m-payments but new players catching up

Banks winning on trust for m-payments but new players catching up

13 May 2011  |  11379 views  |  0 comments
PayPal to offer digital credentials to online consumers

PayPal to offer digital credentials to online consumers

18 April 2011  |  13481 views  |  0 comments
PayPal targets offline opportunity

PayPal targets offline opportunity

10 March 2011  |  10528 views  |  0 comments
Google poaches PayPal's Bedier

Google poaches PayPal's Bedier

27 January 2011  |  10724 views  |  0 comments

Related company news


Related blogs

Create a blog about this story (membership required)
Visit contisgroup.comVisit VocaLink.comFind out more

Top topics

Most viewed Most shared
China tops world fintech rankingsChina tops world fintech rankings
8800 views comments | 39 tweets | 32 linkedin
EBA bends under weight of PSD2 mandatesEBA bends under weight of PSD2 mandates
8373 views comments | 37 tweets | 48 linkedin
Guesswork alone can crack Visa card security - Newcastle UniversityGuesswork alone can crack Visa card securi...
8083 views 12 comments | 15 tweets | 27 linkedin
PSD2 will transform the payments landscapePSD2 will transform the payments landscape
7334 views comments | 24 tweets | 13 linkedin
Fed Governor sounds warning on alternative credit scoring dataFed Governor sounds warning on alternative...
6934 views comments | 20 tweets | 24 linkedin

Featured job

to Six-Figure Base, Commission, Benefits
London, UK

Find your next job