Dive Brief:
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Google Pay and PayPal have taken their relationship to the next level with an expanded payment integration announced on Thursday. Merchants who use Google Pay can accept PayPal if they add a short piece of code designating it as an allowable payment method.
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The integration allows PayPal users who link their accounts to Google Pay to complete checkout without having to log into PayPal each time, according to a Google blog post. The added service is available in 24 countries where customers can add their PayPal account to Google Pay.
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Google Pay users have been able to use their PayPal accounts when checking out with Google Pay since 2018. Google's Developer Blog notes that the new integration allows customers to "enjoy fewer steps at checkout, which often leads to higher conversion rates."
Dive Insight:
The new integration furthers e-commerce efforts to meet customers where they are by providing a variety of payment options. Jose Ugia, a Google Developers engineer, pointed out in the company's blog post that customers who choose to use their PayPal account with the quicker, more seamless Google Pay integration will still enjoy purchase protection and return shipping benefits that are included with their PayPal accounts.
It also appears to be a bonus for merchants; payment received through the PayPal/Google integration will appear in the merchant's PayPal Business Account "within minutes," with no minimum processing requirements. PayPal seller protections are available on eligible transactions.
PayPal has made a few moves recently to remind consumers that it's still relevant in an increasingly varied landscape of mobile payment options, including its owned app Venmo. Earlier this month, the company announced the PayPal Commerce Platform to offer an end-to-end e-commerce payment solution, and in March introduced an option for users in the U.S. to instantly transfer funds to their bank (for a small fee). With a 20-year history under its belt, PayPal still has credibility among many users who may not yet have latched onto newer payment methods like Google Pay and its major competitor, Apple Pay.