EcommerceBytes-NewsFlash, Number 3015 - March 06, 2013     4 of 4

PayPal Card Reader Reaches Thousands of Small Businesses in Japan

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PayPal said Tuesday that over 2,700 SoftBank retail stores in Japan are now selling its card reader service and thousands of merchants there are using it. PayPal launched its credit card reader, called "PayPal Here," one year ago - small businesses can connect the device to their mobile device in order to accept credit card payments in person.

PayPal was not first to market with a mobile-enabled credit-card reader - Square had gained traction with its device before the launch of PayPal Here, and you can still see artisans and crafters wielding their Square readers at fairs and shows to process payments from real-life shoppers.

But with the power of a public company behind it, PayPal has been able to extend its card reader beyond the U.S. to Canada, Hong Kong and Australia. Last month it launched PayPal Here in Europe with a different design to account for countries that use Chip and PIN debit and credit cards, not like swipe cards used in the U.S.

Last summer PayPal also acquired, maker of the camera-scan functionality that powered credit card scanning.

PayPal took to its blog on Tuesday to trumpet its presence in Japan, saying thanks to its SoftBank's distribution channel and support for both iOS and Android mobile operating systems, it can effectively reach more than 4.2 million small businesses in Japan of which 80% do not yet accept credit card transactions.

"If we're going to spark the commerce revolution in Japan, let's start by helping to boost the small business sector which accounts for 90% of all businesses and 70% of employment in Japan," wrote Rohan Mahadevan, PayPal's VP of Asia.

About the author:

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to

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