Need to write a Business Case for PayPal

ecommerce

#1

I am a product manager for an ecommerce site that sells physical and digital products. Our site is responsive and our checkout accepts visa, mastercard, discover, and amex.

Our team is contemplating using PayPal and I need to write a business case for it. I would love to find some solid research-based numbers around whether having PayPal would improve conversion and some information on:
- How many people use PayPal
- PayPal demographic - do older customers use it?
- Does conversion rate improve with PayPal? If so, by how much and what is the research to back this up
- Cons to PayPal - for instance, will we have the customer data?
If anyone has a sample business case for adding PayPal to a site, that would also be so helpful.


#2

I always recommend Paypal as an option for a few reasons:

  1. Many people don't like using their credit/debit cards online
  2. Many people prefer Paypal for online purchases and won't use anything else
  3. Paypal's buyer protection is fairly good in the case of disputes

To answer your questions:

  • How many people use PayPal

A quick web search suggests over 230 million

  • PayPal demographic - do older customers use it?

Yes

  • Does conversion rate improve with PayPal? If so, by how much and what is the research to back this up

I've seen conversions improve by 25% in some sites, no specific research but what I've found building ecommerce sites over the years

  • Cons to PayPal - for instance, will we have the customer data?

You'll have things like name + shipping address (which is all you need), plus whatever extra data is required to fulfill the order.


#4

The first time I used PayPal, my seller did not send the item I paid for. I complained to them, they took the word of the buyer and refused to refund my money. I will never use them again.


#6

Thanks @bluedreamer. That info is a great help!


#7

You are soo right Paypal have many drawbacks including lack of services in some asian countries as I am from Pakistan and a SEO consultant many of my foreign want to pay me through paypal but it want allow the transaction in Pakistan. My clients consider paypal a trustful mode of transaction. I looking for solution for paypal transaction in Pakistan.


#8

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