PayPal taps Venmo for one-touch in-app payments
20 August 2014 | 7512 views | 0
PayPal has taken advantage of technology from its Braintree unit to build a system which lets mobile shoppers make in-app purchases with a single touch.
One Touch lets merchant app developers using the Braintree v.zero SDK integrate PayPal payments so that customers can make purchases without having to enter user IDs, passwords and card numbers.
Instead, purchases are completed with a single touch, although people can opt in and out of the service by app and choose any source of funding - PayPal balance, credit card or linked bank account - with each purchase.
The service has been widely expected since PayPal paid $800 million last year for Chicago-based Braintree. At the time, Braintree's Venmo technology - out of which One Touch evolved - was cited as a major driving force behind the acquisition.
Braintree CEO Bill Ready says that more than half of all e-commerce shopping sessions come from mobile devices but checkout rates are far lower because of the hassle involved. The firm and its parent hope that their new offering will improve sale completions, giving them a lead in the fast growing in-app payments market.
The system is now open for developer beta with select merchants using the Braintree v.zero SDK in the US, with a wider rollout coming over the next few weeks.