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The proliferation of online shopping sites in the last decade or so has been nothing but phenomenal. Driven by technological advancements and, at times, unfortunate happenings like the Coronavirus pandemic, e-commerce sites are as ubiquitous as they come. And to facilitate payments, these platforms usually come with an inbuilt check-out system making them one stop shops.
But there are also standalone payment applications linking users to their preferred retailer. Since its inception, PayPal is one such app that has entrenched itself as the go-to solution for online purchases. According to a MoneyTransfers analysis, the platform’s penetration among online shoppers stands at 87.5%.
MoneyTransfers’ chief executive Jonathan Merry had this to say concerning the data:
PayPal has distinguished itself for its wide selection of transaction means. You can transact through the platform via the website, mobile app, and even email. It also assures shoppers of high levels of security, access to a broad market, and seamless payments.
Jonathan Merry
Some Numbers That Tell the PayPal Story
PayPal has grown exponentially since its launch in the 1990s. One aspect that has worked in its favor is its innovativeness. Its One Touch payment feature has won the platform over 7 million merchants. Again its integration of Venmo continues to attract droves of youthful shoppers globally.
Besides, it has been actively seeking acquisitions in the last couple of years. These include the takeovers of iZettle and Honey, which it acquired for $2.2 billion and $4 billion, respectively. It has also launched PayPal Credit. This proprietary payment method is a reusable line of credit for users purchasing in stores accepting PayPal.
PayPal Has Been Ramping Up Its Number of Transactions
Moreover, its users completed over 19 billion transactions on PayPal in 2021. That was a 25% increase in year-on-year terms from its 2020 volume. Additionally, the site was able to net revenues worth $25.3B.
Behind the above figures are the millions of PayPal users. Since 2013, the firm has consistently won more users YOY. It put its 2021 users at 426M, having increased from 143M in the last decade. That increase in users coincided with an almost doubling number of transactions per account.
All great apps cannot lack flaws. Some drawbacks that PayPal users may encounter are that it is more expensive than many other top payment processing providers. Furthermore, if any of your PayPal transactions are disputed, your company will be charged a $20 fee for a chargeback. However, if the seller protection policy covers the transaction, you won’t incur additional fees.
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