Dive Summary:
- Discover and global e-commerce business PayPal will officially begin their partnership beginning April 19th, 2013, a major step in PayPal’s intended expansion which accounts for 40% of eBay’s revenue.
- PayPal will now be offered as payment option in 2 million retail stores already accepting Discover credit cards.
- Despite the move, the company acknowledges it has an uphill battle. Many consumers in test studies have chosen not to use the service, citing inconvenience and concerns over ease of use.
From the article:
"Consumers need to be convinced they need a single digital wallet or card that links to all their other cards," said Rick Oglesby, a payments industry analyst at Aite Group, which provides research to financial services clients. "That's a huge mindset shift and the average consumer wonders why they would need it."
