1. MCOMMERCE - UW KLANTEN
ZIJN ER KLAAR VOOR, U OOK?
PayPal - Moana Aaldering
Business Development Manager
20/03/2013
2. CONSUMERS USE PAYPAL ANYWHERE
Process 19% of the Global e-Commerce Market Leading Brands
Accepting PayPal
25 Currencies
7M Merchants
2012
190 Countries
117 million
15K Local banks
2013
130 million 27 Global financial networks
2 Confidential and Proprietary
3. CONSUMERS USE PAYPAL ANYWHERE
Process 19% of the Global e-Commerce Market Leading Brands
Accepting PayPal
Benelux
2012
1.7 million
2013
2.0 million
19K
Merchants
25 Currencies
7M Merchants
2012
190 Countries
117 million
15K Local banks
2013
130 million 27 Global financial networks
3 Confidential and Proprietary
5. PAYMENTS IN E-COMMERCE
1 2 3
Checkout Privacy, security Choice in payment
Abandonment and safety methods
50% 40% 24%
Doesn’t complete Very concerned Looking for
alternatives
5 Confidential and Proprietary
6. THE EXPRESS ROUTE TO MORE SALES
Purchases can be completed in just 3 clicks...
1. Customers choose to pay via 2. Review transaction 3. Buyer confirm order,
Express Checkout details on one page pay and receive order
confirmation
This quick and easy process reduces basket abandonment prior to
payment, thereby increasing conversion rates!
6 Confidential and Proprietary
7. MORE THAN 19.000 MERCHANTS
OFFER PAYPAL IN BENELUX
7 Confidential and Proprietary
8. WHY CHOOSE FOR PAYPAL?
Worldwide Payment Method
MultiChannel - Online, Mobile & Offline
Easy CheckOut = Higher Conversion = More sales
Co-marketing = More traffic = More sales
Buyer & Seller Protection
No subscription or integration cost ;
only cost per transaction
8 Confidential and Proprietary
9. A BETTER CUSTOMER EXPERIENCE
Only enter an email address +
PayPal password
No sharing of financial details
online
Choose how to pay
PayPal’s buyer protection
9 Confidential and Proprietary
10. SMARTPHONE UBIQUITY IS THE DRIVER
FOR CONVERGENCE
90cm Is the max distance between a person and their phone
25% Of people use their phone in the bathroom
66% Of people sleep next to their mobile phone
40 Is the average number of times per day a person
uses their phone
125 Is the number of years worth of games played on
mobile phones every day
10 Confidential and Proprietary
11. COMMERCE IS GROWING FAST AND PAYPAL
IS GROWING EVEN FASTER
Commerce Mobile Commerce
European online retail European mobile retail
Market
+12% € 172B
€ 111B +52%
€ 3B € 15B
2012 2016 2012 2016
Source: Forrester Source: Forrester
PayPal total payments volume PayPal mobile payments volume
+28% $ 118B
PayPal
$ 92B
+350%
$ 4B $ 14B
2011 2012
2010 2011
The segments with the highest # of mobile transactions in The
Netherlands: Daily deals, Shoes, Fashion, Event tickets, Telco Topup,
Food ordering, P2P payments
11 Confidential and Proprietary
12. THE BOUNDARIES BETWEEN COMMERCE
CHANNELS ARE BLURRING
Yesterday Today Tomorrow
Online Online
4% 7%
Web-
influenced
Non-web- offline “Commerce”
Offline influenced 38%
96% offline
55%
2008 = $325B 2013 = $10T
Source: Forrester, Euromonitor and Economist Intelligence Unit Source: Forrester Source: Economist Intelligence Unit
12 Confidential and Proprietary
13. ENABLE CUSTOMERS
TO SHOP AS THEY WISH
Deliver a consistently strong experience across all devices & channels.
RETAIL
WEB
TABLET
SOCIAL
“It’s not about eCommerce for PayPal any longer –
PHONE it’s Commerce. We are firmly in the center of it.”
- John Donahoe, CEO eBay
13 Confidential and Proprietary
14. DELIVERING THE FUTURE OF MONEY
TODAY…
An essential part of our customer's lives, enabling secure commerce
anytime, anywhere, any way.
Confidential and Proprietary
1
14
4
15. MOBILE SHOPPING REPRESENTS A HUGE
OPPORTUNITY FOR RETAILERS
MILLIONS OF MOBILE USERS
~42% of EU adults own a Smartphone (+13% yoy)
900M tablets sold in 2016 (Comscore)
SHOPPING ON THEIR DEVICES
31.5% of Benelux PayPal merchants have received a
mobile transaction in June ’12*
GROWING % OF SALES
M-commerce will grow by 62% during the next 12
months in Europe*
In comparison, online sales are expected to grow by
14 % in the Benelux**
More than 10% of transactions are made via mobile on
eBay in Europe and in the world***
* PayPal internal data, Continental Europe, Middle East and Africa, June 2012
** Centre for Retail research, UK Britain and Europe, January 2012. UK, Germany, France, Italy, Spain,
15 Denmark, Poland, Netherlands, Norway and Sweden.
Confidential and Proprietary
*** Source: eBay Q3 2011
16. THE IDEAL M-COMMERCE PAYMENT
SOLUTION
PayPal helps merchants build a great user experience with the
“Autodetect” function for Smartphones and Tablets.
CHECKOUT LOGIN REVIEW PAYMENT COMPLETE
16 Confidential and Proprietary
17. OUR MOBILE USERS ARE
HIGH VALUE CUSTOMERS
PAYPAL MOBILE CHECKOUT USERS
Active, highly engaged buyers:
2X as many transactions and volume than the
average PayPal user
Attractive customers– high value, affluent
shoppers; tech buying enthusiasts and savvy
online spenders
ATTRACTIVE DEMOGRAPHICS
TO ANY RETAILER
Gender neutral (skew slightly male),
wide age range (18-54)
Shopping for the household: 63% married;
45% with children
Progressive, tech savvy, affluent, urbanites
17 Confidential and Proprietary
18. COMSCRE: REASONS FOR SELECTING A
MOBILE PAYMENT METHOD
Security of payment 78%
Ease of use/ simplicity 77%
Security of mobile site 77%
Total cost 72%
Familiarity with the website 68%
Can see payment method w/out going to
68%
checkout
Where I'm shopping 65%
Rewards, points 64%
Reason for purchase 61%
Q. How important are each of the following when deciding what type of payment method
to use for mobile purchases from your smartphone or tablet? (Top 2 shown)
18 Source: Comscore Study April
Confidential and Proprietary2012:
Base: Online Smartphone and/or Tablet Buyers (n=988)
19. CONSUMERS ARE DRIVING THE OMNI-
CHANNEL SHOPPING REVOLUTION
47% of consumers prefer 1 in 8 EU smartphone owners
to research products online before engaged in M-Commerce transactions in
buying 2012
18% of Europeans who use 67% of people have used
mobile internet daily have compared multiple devices sequentially to
prices on a mobile device while in a shop online
shop
35% of U.S. consumers 51% of online shoppers
said they had “showroomed,” and are logged onto Facebook while on
chose to buy online specifically E-commerce sites
because of better prices
19 Confidential and Proprietary
Sources: Forrester, comScore, Google, Sociable Labs
20. THE DIGITAL WALLET IS UNIVERSAL &
TODAY WHEN YOU SHOP YOU USE…
ACCESSIBLE ANYWHERE AND ANYTIME
Card Debit Balance Carrier Local Methods
Increased PayPal Credit PLCC Prepaid Relevance
Consumer and
Engagement Personalization
Loyalty Gift Cards Offers Coupons
Online Mobile Point of DIGITAL WALLET PayPal Partners
Sale
Rich
Transaction
Data
20 Confidential and Proprietary
21. SHOPPING WILL BE POSSIBLE
ANYWHERE, ANYTIME AND ANYHOW
Location based offers Real-time inventory search Paperless coupons
Pay with phone number and pin Pay with mobile to skip the line Manage money after payment
21 Confidential and Proprietary
22. CHECK-IN TO CHECK-OUT. MOBILE IS
CHANGING THE CONSUMER EXPERIENCE
Check-in, order and “Pay with PayPal”. No need for your wallet.
“PayPal accepted here” Simply Check-in Order
“Pay with PayPal” Select the Consumer to Pay Enjoy!
22 Confidential and Proprietary
23. US HOME DEPOT IN-STORE PAYMENT
23 Confidential and Proprietary
24. PAYPAL TAILORS ITS SERVICES TO CREATE
INNOVATIVE CONSUMER EXPERIENCES
Case Study: Co-op Bookshop
24 Confidential and Proprietary
27. AMSTERDAM: 24/7 WINDOW SHOPPING
WITH 9STRAATJESONLINE.COM
Confidential and Proprietary
27
28. MOBILE AT THE CENTER OF CONSUMER’S
SHOPPING LIVES
PROMOTIONS &
LOYALTY
COUPONS
MOBILE SELF-SCANNING &
COMMERCE SELF-CHECKOUT
IN-STORE PRICE
PAYMENT COMPARISON
STORE LOCATION SHOPPING LISTS
Confidential and Proprietary
28
Hinweis der Redaktion
Active AccountsGlobally – 117MUK – 16MDEATCH – 11MCEMEA – 16MSimple & Secure10Y+ experience fighting fraudFraud sciences technologyGlobal Network113M ACTIVE ACCOUNTS>110M Active accounts>9M merchants190 MarketsTrusted Online SolutionPartnered with 52 of the Top 100 EMEA internet retailers28% of people chose to pay with PayPal on mobile – “Last method to purchase on mobile?” (comScore, April 2012)55% of people chose to pay with PayPal on online – “Methods to purchase something online?” (comScore, April 2012)Online Payments LeaderProcessed 18% of Global e-commerce market ($92B TPV)Country level infoActive Accounts15M UK15M Germany5M France
Active AccountsGlobally – 117MUK – 16MDEATCH – 11MCEMEA – 16MSimple & Secure10Y+ experience fighting fraudFraud sciences technologyGlobal Network113M ACTIVE ACCOUNTS>110M Active accounts>9M merchants190 MarketsTrusted Online SolutionPartnered with 52 of the Top 100 EMEA internet retailers28% of people chose to pay with PayPal on mobile – “Last method to purchase on mobile?” (comScore, April 2012)55% of people chose to pay with PayPal on online – “Methods to purchase something online?” (comScore, April 2012)Online Payments LeaderProcessed 18% of Global e-commerce market ($92B TPV)Country level infoActive Accounts15M UK15M Germany5M France
# of Mobile Internet users in Western EU 2010 – 15.9M2016 – 51.5MSmartphone penetration among Western EU mobile phone owners2010 – 34%2016 - 67%Source: Forrester Research 2011 & Center for Retail Research, Gartner
PP vision is to ‘DELIVER THE FUTURE OF MONEY…TODAY. Which means being an ESSENTIAL part of our customers lives, enabling commerce anytime, anywhere and in any way.EVERYDAY, we should be part of their everyday spend – not just once or twice a year….and for this to be realized, we really have to be wherever they are – and so have to be available any time, anywhere and in any way. Our strategy to getting to this vision is based on three key pillars….the digital wallet, being omni-channel and providing our customers with financial flexibility.
Consumers are driving the omni-channel shopping revolutionSpend continues to shift from offline to mobile/onlineShoppers are more connected than beforeEngaging in commerce experience anytime, anywhere, anyhowMerchants must transform their shopping experience to match changing shopping behaviorsBig consumer data is available for analysis1 in 8 EU5 Smartphone Owners Conducted a Retail Transaction on their Device in May ‘12(comScore, July 2012)70% of 100M+ mobile users use mobile devices to do searches within a shop (comScore, Dec 2011)Online grocery shopping basket values in Germany are 60% higher than in-store (Nielsen, September 2012)M-commerce revenues will grow to €19.2B in 2017 (Forrester, July 2012)47% of consumers research products online before buying (Forrester, April 2011)67% of people have used multiple devices sequentially to shop online (Google/Ipsos/Sterling, 2012)51% of people expect that by 2020 more physical stores will just be showrooms to select and order products (Capgemini, July 2012)51%of online shoppers are logged onto Facebook while on E-commerce sites (Sociable labs, 2011)78% of consumers now rely on their social networks when researching new products (IBM, 2011)35%U.S. consumers said they had “showroomed,” and then later chose to buy online specifically because of better prices (comScore, 2012)
Note:Click on any image in presentation mode to play the video “The Future of Shopping”http://www.youtube.com/watch?v=V7q1jx8mYi8
How Small Businesses Accept PayPal In-Store http://www.youtube.com/watch?v=CMByV-k9Oc4
In the US we recently launched PayPal payments in store at Home Depot. The customer can pay with a card, or enter the store empty handed and checks out by entering their mobile phone number and a PIN. A receipt is sent to your phone and stored in your PayPal account.Many other merchants in the US will soon join Home Depot in accepting PayPal in store. International rollout will take place within in 2013.
Note:Click on any image in presentation mode to play the video “Co-op enlists PayPal to help Australian university students beat the queues”https://www.youtube.com/watch?v=w2x7LxX0utMAbout: A custom-built ‘QR Wall’ has been installed on ten Co-op Bookshop windows, displaying the top textbook titles from courses available Students can simply use their smartphone to scan the QR-code for the textbook they want and then pay for it securely using PayPal. The specially created mobile website, developed by PayPal, provides instant access to over 160 popular textbooksNo long queues, no waiting, and no carrying books home for students as free postage is includedResult: After pilot at Macquarie University location, rolled out to ten other university locations across AustraliaAbout The University Cooperative Bookshop Limited:Australia’s most innovative Omni-channel bookshopFormed in 1958Australia’s third largest co-operative with over 1.6 million membersAustralia’s second largest bookshop - 850,000 titlesAustralia’s largest e-book aggregator and retailer – with over 200,000 e-books43 stores nation-wide and growing
In February, we made a big step in France moving PayPal offline! Through the GoMcDo pilot, you can pay for your McDonald’s meal with PayPal via an iPhone App (which has 3 million users). Having placed an order and paid with PayPal, you receive a QR Code. At the restaurant, you identify yourself on an EasyCheckIn kiosk and then can pick up your food in a priority line! PayPal is currently live on 30 sitesas part of the pilot (including the Champs Elysées!).
Note: Click on image in presentation mode to launch video “PayPal Shopping Walls In Singapore Subway Stations”https://www.youtube.com/watch?v=7rOQm3Y8_1QBackground on use caseSMRT and PayPal did a special Valentine’s Day promotion with eight merchants and 15 subway stations in Singapore where consumers can scan the QR codes of Valentine’s Day gifts at special prices – including flowers, chocolates, fashion totes, massages, shows and city tours displayed on billboards throughout the stations. Singaporean commuters can quickly and easily choose an exclusive deal by scanning a QR code on a billboard or poster using their smartphone, then pay with PayPal in as little as two clicks. Items can either be picked up in store or delivered.The merchants involved - Ban Choon Marketing, Charles & Keith, City Tours,EpiCentre, FarEastFlora, Phillip Wain, Resorts World Sentosa, and Showbiz.Far East Flora , for example, is a must-have for time-pressed lovers. Just browse the 1,000+ arrangements, plants and gifts available. Pick the appropriate gift, pay with PayPal, and your flowers and gifts will be delivered on the same day.Benefit to merchantThe QR code program helped merchants drive last-minute Valentine’s Day purchases with increased access to shoppers on Singapore subways.Benefit to consumerCommuters can purchase last-minute gifts quickly and easily, directly from the subway station.Success metrics First-in-the-world pilot in a key market for PayPalShowbiz, an event ticketing company that participated in the campaign, generated 85% of payment volume through QR codes as compared to online ticket sales via PayPal for the month of December; immense potential merchants to sell popular events through QR codes, easy for commuters to buy on the spot.
Consumers are empoweredBy all the social, local, mobile and digital applications available to them. They walk around with a “virtual store” in their pocketsConsumers are in charge and driving transformation. They are looking for the best quality products at the lowest price…the are looking for a safe, secure, convenient buying experience…and they DON’T CARE where they get it…online, in retail stores, or using mobile phones.However, retailers are very challenged in this new world, and are struggling to keep upLarge merchants need to provide completely a seamless shopping experience across the physical and online worlds. Consumers want to research products at store, purchase them online, and pick them up at stores. The costs and complexity involved in managing these processes is difficult for merchants and requires significant investment. Without doing this, physical stores become nothing more than expensive storefronts for consumersEnabling an end-to-end multichannel shopping experiences necessitates offering the simplest, most convenient, and versatile payment suite available. You need to be able to pay on every device, at any time, in every market around the globe
