PayPal Stories Archive

The holiday season seems to come earlier and earlier each year, and with each new year comes new consumer expectations about how, when and where they want to pay. 

 

We’re still two months away from Cyber Monday and Black Friday, but the start of the holiday shopping season is just two weeks away. PayPal data indicates that holiday shopping will kick off on September 30. On Cyber Monday, at peak, we expect we will see more than $25,000 in total payment volume per second. Mobile will continue to grow its share of ecommerce this holiday season and our prior years’ data indicates that the largest single mobile purchase will be more than $64,000.

 

PayPal bet big on mobile ten years ago and continues to be the leader in mobile payments. Our mobile growth is only accelerating. Since we launched our first mobile payments product in 2006, PayPal has processed nearly $200 billion in mobile payments. But we expect to process $100 billion in mobile volume -- half of what we processed over the past decade -- within the next year alone.

 

Our growth in mobile volume is in large part due to our seamless mobile checkout experiences, like One Touch, which is the fastest adopted product in PayPal’s history. By the end of the year, we expect that more than five million merchants will have One Touch automatically enabled across the globe. We’re also anticipating more than 36 million consumers will be opted in to One Touch by the end of the year.

 

Our partner-based approach to drive customer choice in payments continues to evolve with our recent announcements with Visa, Mastercard, Vodafone and many others. Just earlier this week, we saw a number of additional partners make announcements about leveraging the PayPal platform to add value to their customers. Facebook announced PayPal and Braintree as partners for the next generation of native payments in Messenger and the launch of iOS 10 by Apple opened up Venmo payments in iMessage as well as voice-activated Venmo payments with Siri. Coming soon, you will also be able to send and request money with PayPal via Siri. All of these partnerships are about enabling more choice and optionality for our customers.

 

Today, on the heels of our announcements with Visa and Mastercard, we announced we have fixed one of our customers’ top pain points. Beginning this month, PayPal customers in the US will be able to set their preferred funding type in their PayPal Wallet to sources other than their PayPal balance, giving customers the option to pay by default with their favorite credit card, debit card or bank account. PayPal will begin rolling this out globally in Q1.

 

While mobile will continue to drive commerce this holiday season, consumers are now beginning to expect in-context buying experiences, and PayPal is uniquely positioned to deliver this. With PayPal Commerce, we are enabling these in-context buying experiences -- whether in an e-mail, a blog, or social media -- allowing purchases to happen at the moment of intent. Additionally, you may remember when we partnered with Facebook Messenger to enable the ordering of Ubers and Lyfts from within the Messenger app -- that is a real-life example of contextual commerce that we are powering. Already Ticketmaster, Eventbrite and others have been added to Facebook commerce capabilities.

 

Today, we are announcing the commerce infrastructure tools that power these experiences. With these new tools, we’re extending the power of our vault beyond securing and tokenizing data and now enabling the ability  to securely share payment information both on and off our platform. With these new tools, Braintree merchants can securely share payment data with other Braintree merchants as well as other PCI level 1 parties such as fraud platforms, card linked offer platforms, and more. This opens up the possibilities for entirely new commerce experiences that we will start to see this holiday season.

 

While part of our partnership strategy is to bring our consumer payment options into new payment experiences, the other part of our strategy is to enable all relevant payment options for our customers through our own platforms. Our Braintree platform has long supported Apple Pay for mobile, Android Pay, PayPal, Venmo, Coinbase and cards. Today, we’re announcing that the Braintree SDK will soon support Apple Pay on theweb, China UnionPay and PayPal Credit, as well as Visa Checkout and Masterpass, which we recently announced.

 

We’ve been able to accomplish a lot of this so quickly, in large part due to our two-sided network and re-architected platform. We can now push code many times a day -- much faster than the industry average -- and at a system wide scale that drives over $10,000 in TPV per second, giving us immediate feedback so we can test, learn and innovate faster. All of this has enabled us to launch and scale products like One Touch so quickly, without needing our merchants to do any integration work.

 

Today, the consumer is the one leading the charge and it’s our job to partner with those in the ecosystem to enable what the consumer wants: safe, simple and convenient payment solutions. This is the coming of age of the digital wallet and PayPal is uniquely positioned to remove friction from the commerce experience, whether consumers are looking to use trusted brands within the PayPal family like Venmo and PayPal, or other digital wallets.

 

Our strategy is about more than just digitizing cash. Just as we reimagined money for the Internet, PayPal is now extending the power of our trusted payments platform into the physical world in new ways to give consumers better ways to pay and merchants more valuable ways to connect with their customers anywhere.