May 24, 2012 |
PayPal is making major progress in growing its offline retail presence. At the time of our last blog on PayPal’s offline push, the company had just integrated its payment service into 51 Bay Area Home depot locations. In the two months afterward, the payments innovator transitioned its pilot program to include nearly 2,000 Home Depot locations. Only two months ago, the company announced PayPal Here, a global mobile payment service aimed to allow small businesses to accept a variety of payment methods.
In a major press release today, PayPal announced a “who’s who” of retailers soon to be accepting PayPal at their existing POS terminals: Abercrombie & Fitch, Advance Auto Parts, Aéropostale, American Eagle Outfitters, Barnes & Noble, Foot Locker, Guitar Center, Jamba Juice, JC Penney, Jos. A. Bank Clothiers, Nine West, Office Depot, Rooms To Go, Tiger Direct and Toys “R” Us. Shoppers at these stores may soon be faced with the choice of “cash, check, or PayPal” at the checkout.
Another key message in this morning’s announcement was a deal between PayPal and the world’s first and third largest POS terminal manufacturers, Verifone and Equinox. This is in addition to their existing relationship with Ingenico, the second largest manufacturer. This move will allow greater integration of PayPal’s service on existing POS terminal technology. In addition to that big news, PayPal announced strategic relationships with four mid-market POS software providers: “Leapset, ShopKeep, Vend and Erply.” Combined, these companies reach a total of 50,000 mid-market retailers. PayPal hopes that the relationships will allow for seamless integration of their offline payments solution into these companies’ existing POS terminals. For the present, some of these merchants are integrating PayPal’s local feature that alerts retailers to the presence of PayPal customers in their stores.