Competition in Digital Payments: PayPal’s Checkout Strategy
Hey Payments Fanatic!
The race for dominance in online checkout is heating up, and PayPal is facing tough competition. Once a pioneer in streamlining online payments, PayPal’s branded checkout unit—responsible for about 30% of its payment volume but generating 80% of net transaction profit—is now up against Apple, Google, Shopify, and emerging startups like Bolt.
Concerns over PayPal’s position in this space contributed to a 13% drop in its share price after its recent earnings report. While PayPal’s checkout transaction volume grew by 6% last year, it fell short of Wall Street expectations. Meanwhile, Shopify’s Shop Pay saw rapid expansion, processing $27 billion in gross merchandise volume in Q4 alone—a 50% year-over-year increase.
Stay tuned for more insights and updates on the ever-evolving world of payments!
Cheers,
Stay ahead in the US FinTech revolution. Subscribe now for weekly insights delivered straight to your inbox.
INSIGHTS
How do consumers pay online in Peru 🇵🇪?
Let's break it down:
PAYMENTS NEWS
🇦🇺 Airwallex announces record profits (as transactions hit $𝟭𝟯𝟬𝗕) in tandem with LatAm expansion with a dual market strategy targeting Mexico and Brazil. Much of this growth can be attributed to Airwallex’s expansion into new regions and its ability to offer businesses a compelling alternative to traditional financial institutions.
🌏 Checkout.com supports HEYTEA’s global expansion with enhanced digital payments experience. HEYTEA customers can now place orders through its app and enjoy a smooth checkout process powered by Checkout.com’s technology. This integration reduces queuing times and enhances convenience, a trend increasingly embraced by consumers worldwide.
🇬🇧 Emburse brings Apple Pay to customers in the UK. It's a safer, more secure and private way to pay that helps customers avoid handing their payment card to someone else, touching physical buttons or exchanging cash, and uses the power of iPhone to protect every transaction.
🇨🇭 Shift4 Payments has struck a $𝟮.𝟱 𝗯𝗶𝗹𝗹𝗶𝗼𝗻 deal for Global Blue. The acquisition enhances Shift4’s unified commerce capabilities and extends its reach to the 400,000+ retail and hospitality locations utilizing Global Blue’s specialized technology solutions supporting cross-border luxury shopping.
🇵🇹 Mastercard and Feedzai join forces to protect more consumers and businesses from scams. By integrating device intelligence, network data, and behavioral biometrics, Feedzai AI identifies suspicious activity as it’s happening so fraud can be stopped in real-time before any money is lost.
🇨🇳 Aspire launches Visa Corporate Card for Hong Kong SMBs. By providing access to powerful, user-friendly financial tools, this aims to lay the foundation for a new era of growth and efficiency in Hong Kong’s business landscape. Read More
🇦🇪 Mamo and Paymentology join forces to drive financial inclusion. The partnership will enhance the features and services available through Mamo's existing card program, offering greater rewards and benefits for SMEs across the UAE. Read more
🇨🇦 Nuvei strengthens executive team with key Product and Compliance hires. Moshe Selfin joins as CPO while Chad Gerhardstein assumes the newly created role of CRCO. These strategic appointments represent Nuvei's continued investment in its product innovation, risk management, and compliance capabilities.
🇧🇷 Redpin launches international payments service to empower Brazil-to-Portugal real estate investment. The new payment corridor Currencies Direct will facilitate investments in Portuguese property by providing smooth and secure international property payments to Brazilian nationals.
🇬🇧 Fabrick teams up with Token.io to advance Pay by Bank. As part of their collaboration, Fabrick is set to utilize Token.io’s A2A payment connectivity and infrastructure to support B2B and B2C customers in accepting Pay by Bank in the UK. Continue reading
🇳🇬 Flutterwave expands its foreign exchange solution “Swap” to its Send App. By integrating Swap into Send App, Flutterwave provides a secure and instant way for users to exchange Naira (NGN) for US Dollars (USD), British Pounds (GBP), and Euros (EUR), with more currencies to come.
🇫🇮 Worldline and OP Financial Group strengthen partnership with a new 12-year agreement. This collaboration aims to provide faster transaction processing, improved security features, and innovative digital payment solutions, ensuring seamless operations across all of OP Financial Group's card products.
🇨🇳 PhotonPay enhances global payment solutions with robust compliance and risk solutions. The company integrates AI-powered AML and Risk engine that enhances the speed and efficiency of its "Know your Customer" (KYC) and onboarding processes. The new tool reduces 'false positives' by an average of 50%.
🇸🇦 Saudi FinTech lite secures $3.2m in pre-seed funding. The round was led by Scene Holding, with participation from prominent angel investors, marking a significant milestone in lite’s journey to redefine the payments ecosystem for businesses in Saudi Arabia.
Want your message in front of 100.000+ FinTech fanatics, founders, investors, and operators?
Shoot me a message on LinkedIn or send me an e-mail.
Comments ()