I don’t use PayPal often and based on a recent experience with an unauthorized billing by the WSJ, I will be using it even less.
- If you have a genuine problem regarding an unauthorized charge on PayPal, you have NO RECOURSE. There’s no one to call, there’s no online assistance. Fortunately, my charge was for a small amount but if it was larger, I’d be freaked.
- That said, PayPal is doing phenomenally well. They just reported a spectacular quarter posting $106 billion in total payment volume (TPV), an increase of 26% annually. They also added 6.5 million customers — the highest total in three years — to hit 210 million users. And the company is growing organically, with annual transactions per user increasing by 10%.
- And I do love using Venmo, their peer-to-peer payment service.
However, I am still distressed by my recent experience with PayPal. Totally non-communicative and clearly more in their vendors’ camp than supportive of users like me. Read on below for more on what Amazon Pay is offering.
Besides shopping on Amazon, I use them primarily as an easy way to get refunds, credits or payments from companies like Gazelle.
And it’s not clear if I can use Amazon Pay in lieu of PayPal. Anyone have any insights on this?
Here’s what I do know Amazon is offering:
An easy and secure way for consumers to make online payments and merchants’ to accept them with Amazon Pay.
- Users can now make frictionless and secure payments on participating merchants websites by using a one-click checkout, using the payment information the users have saved on their Amazon accounts.
And here’s why competitors should take notice – are you paying attention PayPal??
Amazon has the reach.
- The company has a massive user base — the Amazon app is installed on three out of 4 smartphones in America.
- The company’s subscription based loyalty program, Amazon Prime, had an estimated 80 million members in the US alone, and Amazon Pay has over 33 million users.
It has the capital.
- Amazon not only accounts for a massive amount of sales but it has also shown a willingness to make big bets on future growth opportunities that aren’t always obvious.
- Its recent acquisition of Whole Foods for $13.7 billion is a good example.
It has the infrastructure in place to build out a payments network quickly.
- Amazon Web Services (AWS), the company’s cloud solution, has the capacity to handle the processing of payments if it were to push further into the space.
- As of Q1 2017, AWS controlled 33% of the global public cloud market, more than Microsoft, Google, IBM, Alibaba, and Oracle combined, according to the most recent figures from Synergy Research.
Here’s more info from Business Insider.