PayPal has officially launched its Pay After Delivery service, the company announced at the Money2020 payments event in Las Vegas today. The payment firm also revealed new partnerships with Burger King and GoDaddy as well as with Visa firms Authorize.net and Cybersource.
For those who don’t know, Pay After Delivery lets PayPal users pay for their goods up to 14 days after they choose to make a purchase. The goal, as PayPal puts it, is to give customers “the same level of confidence whether they shop online or in store.” While shoppers get to buy and pay later, merchants still get paid immediately, meaning PayPal is essentially offering a two-week loan.
The company piloted Pay After Delivery in the U.K. last year and then tested it earlier this year in the U.S. PayPal has decided it is now ready to launch the service officially, saying that “millions of consumers” have tried it and the time is now right for a marketing push.
Furthermore, the company is “looking to roll out Pay After Delivery globally,” Hill Ferfuson, PayPal’s Chief Product Officer, told VentureBeat. PayPal currently has over 157 million customers in 203 markets around the world. If this service catches on, it could become another differentiator for the payment platform.
Moving on to new partnerships, the biggest one is undoubtedly Burger King. PayPal already offers ordering ahead with McDonald’s in France, and now the company wants to bring the feature to the U.S. (Burger King customers in Canada are out of luck).
Fast food customers will soon be able to pay for their meals using PayPal, thanks to a collaboration with app developer Tillster, which built Burger King for Android and iOS. Users will be able to order food before they arrive, for which the app will generate a one-time code. Their PayPal account will be charged when they present the code to the cashier before receiving their food.
Initially, Tillster will turn the feature on for only select locations. It will roll out to all U.S. locations by sometime early next year.
The last three partnerships are minor, but still worth noting. GoDaddy’s new Online Store, which lets small businesses build their own complete ecommerce website for accepting payments, pre-installs a PayPal Express Checkout button on all new sites. Plus, small businesses using Authorize.net and enterprises using Cybersource can now accept PayPal along with other payment services.
PayPal is facing increased competition from all sides of the tech industry. It’s exactly new features like Pay After Delivery and deals like the above that will help it stay relevant, especially once eBay spins it out into a separate company next year.