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PayPal Goes Shopping at Macy’s

PayPal scored a big win by getting Macy’s to accept its online payment service – and the retailer will accept PayPal not only online and on mobile, but in-store as well.

It’s particularly notable since Macy’s hadn’t previously accepted PayPal on its website. A check of the Macy’s website on Tuesday still showed the retailer did not accept PayPal, lumped in with checks, Google Checkout, money orders, and C.O.D (Cash on Delivery) as payment methods not accepted.

Robert Clarkson, Vice President of Large Enterprise Retail Sales and Partnerships, delivered the good news on the PayPal blog, stating that by the end of September, PayPal would be available as a payment option for all Macy’s and Bloomingdale’s customers, allowing them to “seamlessly shop and checkout across all channels.”

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PayPal explained that the integration would also enable One Touch so customers who opt-in can checkout online and on mobile without having to type in any payment credentials, usernames or passwords. “In-store customers can checkout via Payment Code on the PayPal app, or on the Macy’s app, which enables consumers to scan a QR code on their mobile device to complete a purchase in-store.”

Macy’s operates 770 Macy’s stores, and earlier this month, it announced it was closing 35 to 40 under-performing stores early next year as it optimized its omnichannel approach.

The retailer’s CEO Terry Lundgren said physical stores remained “absolutely vital” to its omnichannel strategy, He noted that all Macy’s stores can fulfill merchandise orders direct to consumers’ homes, serve as pick-up locations for merchandise bought online, and are the origination point for same-day delivery in 17 local markets.

Over the past five years (2010 through 2015 to date), 52 Macy’s stores have been closed and 12 new Macy’s stores have been opened. In addition, six new Macy’s Backstage offprice locations are opening in fall 2015.

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Ina Steiner

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. Send news tips to ina@ecommercebytes.com.


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