AuctionBytes Blog
Covering auctions, collectibles and marketplace selling.

AuctionBytes Blog The AuctionBytes Blog has been giving a voice to online merchants since its launch in 2005. Named one of the world's top 30 blogs in 2008 by "Blogging Heroes." Weigh in with your thoughts on the joys and pitfalls of selling online.
Sun Nov 20 2011 19:37:24

Do You Still Offer PayPal on Your Ecommerce Store?

By: Ina Steiner

Sponsored Link

Do you offer PayPal as a payment option on your ecommerce website and stores? And has this changed over the past year or so?

The publisher of EcommerceBytes studied the payment methods accepted on the merchant listings of the EveryPlaceISell.com (EPIS) directory and found some interesting trends with regard to adoption rates.
  • Twenty-two percent of EPIS merchants who had accepted PayPal on their own websites and off-eBay stores in October 2010 stopped accepting PayPal as a payment method on those sites in October 2011.
  • There were 19% more merchants who accepted credit cards on their own websites and stores in October 2011 than in October 2010.
You can see how payment method adoption changed for EPIS merchants year-over-year in Monday's EcommerceBytes Newsflash newsletter.



If you're a multi-channel merchant, let us know if you have changed the payment methods you accept on your own website(s). And if you removed PayPal from your stores, let us know why.




Comments (44) | Permalink

Readers Comments

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

This user has validated their user name. by: Ric

Sun Nov 20 20:17:31 2011

Looking at the adoption rate of Google Wallet/Checkout and the decline in PayPal it is almost as though significant numbers of independent sellers are sending a message.

The message seems to be: we will no longer tolerate your dictatorial policies; we are not your employee, we are your customer.

As a division of eBay Corporation, PayPal has become more and more adversarial with sellers who choose to offer their payment service. eBay Corporation fails to fully appreciate that sellers not only have choices, but they are no longer afraid to make different choices and freeze PayPal out.

I am guessing, but this trend seems to be in it's infancy.

As eBay Corporation alienates more and more sellers with their heavy handed policies, more and more sellers are starting their own web sites. These sellers are rewarding PayPal by starting their site with PayPal as an option, shifting their buyers behavior then breaking away and dumping PayPal at the first opportunity.

A fitting payback for a company that has worked hard to earn this kind of loyalty.


Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: Win Bent
Web Site

Sun Nov 20 20:44:14 2011

Because most of my PayPal transactions are NOT as an eBay seller, I don't feel slighted by them, so I still accept payments, and use it when buying, both on- and off-eBay.

That said, I have a sneaky feeling that Google Checkout is going to capture the hearts of many, many (non-eBay) sellers.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

This user has validated their user name. by: Philip Cohen
Web Site

Sun Nov 20 21:09:25 2011

There never has been a problem using PreyPal to buy; it's the merchant who every time gets it in the neck when something goes wrong.

However, there will be a better life for all after the clunky PreyPal sinks to the bottom of the ocean, along with its ugly mother, the rusting old hulk “eBay”.

“Visa launches PayPal competitor V.me with developer community to back it up”

http://venturebeat.com/2011/11/16/visa-launches-paypal-competitor-
with-developer-community-to-back-it-up/


All the details of the coming PreyPal killer on the V.me site at: https://www.v.me/

Goodnight clunky PreyPal, your days—at least outside of whatever will ultimately be left of the Donahoe-devastated eBay Marketplace—are finally numbered …

V.me may not be any cheaper for merchants than PreyPal for “credit purchases” but they at least conduct their processing directly with the payer bank concerned (you’ll get an immediate, firm acceptance or rejection of the transaction as you do with an online card transaction—no PreyPal surprise reversal the following day), and they offer a professional transaction mediation process. …

Enron / eBay / PayPal / Donahoe: Dead Men Walking.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

This user has validated their user name. by: Philip Cohen
Web Site

Sun Nov 20 21:14:33 2011

@ Win Bent,

Both eBay and its ugly daughter PreyPal are most devious, unethical, unprofessional, unscrupulous organisations: both have become the most despised commercial entities on the planet—apparently, more hated by many than even “the banks”. eBay, amongst many other things, has forever knowingly and criminally, facilitated shill bidding fraud on their trusting auction buyers.

And what else can be said about PreyPal that a great many PreyPal merchants don’t already know, to their cost: the probability is that if, as a merchant, you have chosen, or are forced, to use PreyPal you are eventually going to get burned; it’s really only a matter of time and the degree of the burn.

Enron / eBay / PayPal / Donahoe: Dead Men Walking.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

This user has validated their user name. by: Philip Cohen
Web Site

Sun Nov 20 21:22:51 2011

Just for fun I will restate one of my earlier detailed summaries of the clunky PreyPal …

“Most folks on Wall Street view eBay really as PayPal plus a marketplace …”
http://ebaystrategies.blogs.com/ebay_strategies/2011/10/coul
d-ebays-worst-nightmare-be-happening-soon-.html#disqus_thread

That’s
an astute observation, but John Donahoe and Scott Thompson are simply delusional if they think that PreyPal can continue to underpin the faltering eBay Marketplace “house of cards” by becoming even a minor threat to the existing payments systems of the banks/Visa/MasterCard at traditional Point-of-Sale—mobile or otherwise—the idea is pure science fiction. (“Beam me up Scotty!”)

The real question is, when are the world’s various banking regulators going to finally do something about over-sighting PreyPal, an unethical, unprofessional, effectively unregulated and clunky financial operator that offers unlicensed banking-type services and is, in effect, no more than a money gouging arm of the Ho’s “eBafia”?

Even though PreyPal clearly offers banking-type services (ie, holding users’ funds in non-prudentially regulated and non-FDIC insured banking-type accounts, etc), PreyPal is mostly registered in some places not as a bank nor as a provider of credit but only as a “money transmitter” (like Western Union), and PreyPal has even claimed that they “are not a payment network”, and there is a grain of truth in that claim because most (but not all) of their activities facilitate the transmission of funds simply by riding on the back of the banks’ existing payments processing systems.

The fact is, PreyPal has only gotten to be where it is because of its mandated use on eBay, and the only thing creative about PreyPal has been their founding use of users’ unique email addresses as identifiers for online payment transactions. PreyPal is otherwise no more than a blood-sucking parasite riding on the back of, and in the main cannot function except via, Visa/MasterCard and the banks’ existing payments processing systems.

Regardless, outside of PreyPal’s mandated use on whatever will ultimately be left of the Donahoe-stagnated eBay Marketplace, the unlicensed “bank”, PreyPal (and most other third-party payments processors) will eventually be consigned to the history books by the retail banks/Visa/MasterCard once those “professional” players get their “online” act together. There is nothing surer than the sun will rise in the morning.

Both eBay and its ugly daughter PreyPal are most devious, unethical, unprofessional, unscrupulous organisations: both have become the most despised commercial entities on the planet—apparently, more hated by many than even “the banks”. eBay, amongst many other things, has forever knowingly and criminally, facilitated rampant shill bidding fraud on their trusting auction buyers.

And what else can be said about PreyPal that a great many PreyPal merchants don’t already know, to their cost: the probability is that if, as a merchant, you have chosen, or are forced, to use PreyPal you are eventually going to get burned; it’s really only a matter of when and the degree of the burn.

Having said that, it’s possible that PreyPal will survive by becoming the merchant account provider “of last resort” for those very small or unscrupulous merchants unable to get a real merchant account from their own bank—Oh, hang on, hasn’t PreyPal always been just that, and charged all their users accordingly?

PreyPal Claims that PreyPal Is Not a Payments Processor!
http://forums.auctionbytes.com/vbulletin/showthread.php?t=24148

eBay, a Knowing Criminal Facilitator of Auction Shill Bidding Fraud: Case Study #4:  
http://forums.auctionbytes.com/vbulletin/showthread.php?t=23
540


And, from along the way, a compilation of (mostly inane) quotes from eBay executives:
http://forums.auctionbytes.com/vbulletin/showthread.php?t=24159  

Enron / eBay / PayPal / Donahoe: Dead Men Walking.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: maggiethecat
Web Site

Sun Nov 20 21:25:34 2011

I still accept PayPal. For a long time Google Checkout dominated as payment processor in my stores. In recent months that has declined to almost nothing and I have no idea why.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: LotsOfChoice
Web Site

Mon Nov 21 01:06:08 2011

So as not to be beholdened to, frightened by or bullied by any one payment processor our site accepts Google Checkout, direct card payments, cash (via Paypoint outlets), cheques, bank transfers and Paypal. Direct card payments have overwhelming proved to be the preferred choice of our customers (about 75%).

If Paypal began flexing its muscles it would be no great loss to us to drop them.  

Interestingly enough, last week we were invited to have their Paypal Mastercard - which allows for instant access to Paypal balances.  Is this a recent scheme or has it been around for some time?  Maybe they want to tempt merchants with this instant access facility because Paypal transactions are on the decline?

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

This user has validated their user name. by: elpereles
Web Site

Mon Nov 21 02:35:57 2011

Congratulations to everybody that have the lucky opportunity to drop PayPal or have multiple Online payment methods to choose like GCO.

I don't have that luck.

The V.me idea is interesting, but we need to wait until 2012 to know if this is going to be some great move or just another Google Checkout (a service only for USA 50 states and UK).

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

This user has validated their user name. by: Philip Cohen
Web Site

Mon Nov 21 06:39:40 2011

“The V.me idea is interesting, …”

Now, that has to be the understatement of the decade.

Undoubtedly, if it's part of Visa, it will be tied into the international Visa operation. Instead of quoting a card number and expiry date at the payment gateway you will simply quote your email address or phone number and a password.

Simple and truly secure and managed by a “professional” operator, unlike you know who …

Whoopee ...

Now, if you are selling on eBay you won’t get any real benefit from V.me as there is no way eBay’s chief headless turkey will allow you direct access to V.me as such direct access would cut off PreyPal’s slice of the pie. eBay can particularly now ill afford to let that happen, it being already so low in the water. Still it’s nice to know PreyPal will soon be joining the eBafia on the downhill slide to oblivion.

Ultimately, off-eBay it means goodbye PreyPal (and goodbye eBafia) and it should mean goodbye John Donahoe although only time will tell if there is any intelligent life left in the eBay boardroom; certainly none has been evident in the past four years.

Enron / eBay / PayPal / Donahoe: Dead Men Walking.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: anyone out there

Mon Nov 21 06:45:20 2011

I accept all forms of payments.

The most popular is PigPay.

Why cut off your face to spite your nose. If people want PigPay I will offer it as I haven't had any problems with it.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: scview This user has validated their user name.
Web Site

Mon Nov 21 06:49:04 2011

We use Paypal, Moneybookers & Google online payments.

We do a good amount of sales a year (500,000+ USD) on ~50,000 transactions a year on average , and most payments (98%) are via online methods.

Paypal 57%, Moneybookers 39% & Google 4%.

Paypal payments are slowly decreasing year to year for us as at the same time Moneybookers is slowing increasing. Google has not changed.

I'd drop Paypal in a moment if I could. They interfere too much in an transaction and seem to be set up to allow buyer fraud to occur.

Moneybookers stays out of my hair.

When any new payment company comes along...I try it. When I Find one that can replace Paypal...I will do it.

I dropped Ebay when it was over 70% of my online business (and am glad I did) and I am more than willing to do the same to Paypal.

Stefano

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: Bob Cominos
Web Site

Mon Nov 21 06:57:39 2011

PayPal is not accepted on my website or Ebay and never will be.  NO MORE PAYPAL.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: WhoKnewIt This user has validated their user name.

Mon Nov 21 10:51:25 2011

Being an Etsy seller I have no choice, Paypal is all we can accept. If they (Etsy) were to allow a different payment processor I would be one of the first to switch.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: Banrigh

Mon Nov 21 10:57:55 2011

I still offer PayPal, but also offer Google Checkout and other forms of payment. PayPal is still used the most, but Google Checkout is running a close second. A few still send money orders, but that is very few.
I do not sell through eBay, so eBay controlling what PayPal does is nonexistent concerning my sales.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: Digmen1
Web Site

Mon Nov 21 11:03:44 2011

I only accept Paypal.
This is because I am not in the USA so I cannot use Google checkout and it is too hard for me to set up a merchant account at the moment.

If I had the chance I would accept Credit Cards and Paypal.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: craftstation This user has validated their user name.

Mon Nov 21 11:05:38 2011

Your survey as presented doesn't have the data to back up the conclusion because it doesn't ask why.  Why are merchants dropping pp?  Is it a merchant decision, their customer feedback, or their own experience with pp as a pp customer?
Paypal still hold the acct holder responsible for pmt problems that automatically put the merchant at fault, or guilty until proven.  Pp also holds, without any legal penalties, acct holders' money for up to 180+ days.
PP also segregates appeals decision into ''favored'' and unfavored groups. I just disputed a pp pmt to a supposed attorney who provided no services yet he still got paid.  PP RULED IN HIS FAVOR in 15 minutes, and against me.  Have you ever heard of a PP dispute resolution in 15 minutes?
Tell me this lawyer did not get favorable trtmt!
PP is a BANK and needs to be regulated as a BANK with caps on FEES, caps on holding money, and caps on unfair consumer complaint rules.  PP is a BANK and needs to be scrutinized by the Feds.  

If the merchants are dropped pp, I assume it's because they've encountered all these years-old problems with PP and realize that PP is a bank that continues to operate WITHOUT any regulation or oversight whatsoever.
PP customers will always be at a disadvantage.  Convenience is one one, fraud is another.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: RAOTFLMAO

Mon Nov 21 11:16:49 2011

I have taken the paypal logo off my site and do not encourage it's use but still accept it if asked to.  I will not shoot myself in the foot by not taking it.  On ebay I do not click the box to accept it however in the payment description I tell I will accept paypal if it is requested and will send an invoice directly to the customer.  I will not accept anything through ebay checkout, that is where they big "gottcha" comes in.  NEVER put any info into ebays checkout they are in control of the sale.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: Ann Justiceforall

Mon Nov 21 11:25:33 2011

YOU ARE ALL WRONG, EBAY/PAYPAL ARE THE BEST COMPANIES IN THE WORLD. Just read.

It's better than just watching them decline. People are so angry with the ham fisted rules they ban together to conduct business right under Ebay/Paypal's noses. I had some coins listed for auction on ebay but couldn't list/sell overseas because of Paypal's 21 days hold BS. A buyer from the UK made me an offer on all of my coins, sent me an intenational money order (yes it cleared before I shipped) and now we do business almost every week. I cancelled the auctions, we avoided Paypal, just beautiful.

The best part? It was the buyers idea. Yes, the buyers who ebay has placed atop the golden pearch because they can do no wrong emailed me the plan to go around Ebay and Paypal. It's a slow burn revolution. The sellers revolted for so long and now so that buyers can get what they want/need they are finding ways to use Ebay as a business card to meet the seller but then the seller and the buyer can walk off into the sunset to do REAL business. Thank you Ebay/Paypal for helping me sell $9000 in coins and not having to give you a dime. Keep up the good work.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: Steve Mushnsky
Web Site

Mon Nov 21 11:48:45 2011

We are in process of leaving eBay now due to their large fees increase and selective product visibility policy. Delayed disbursement of sales proceeds will be the end for many sellers there.

We sell more at our own website, accepting credit cards and PayPal. Should PP extend their move toward delayed disbursement of sales proceeds to affect non-eBay websites, we will drop them like a stone.

Do You Still Offer PayPal on Your Ecommerce Store?   Do You Still Offer PayPal on Your Ecommerce Store?

by: lectiodivinabooks

Mon Nov 21 11:51:55 2011

Anything negative happening to Ebay or Paypal is cause for celebration. I love how the Paypal site says something like ' Paypal the world's most loved way of paying or receiving payment'. Substitute hated for loved and you would have it.

Click to view more comments
1 2 3  [Next Page]


Login is required to post comments.
To sign in to leave a comment using your AB Verify User Name, fill in the form below. If you have not yet signed up for AB Verify, or if you'd like more information, go to the Registration Page
.

Login for AB Verify
Be sure and use your email address and password to log in.

 
Email:
Password:
 
 Forgot Your Password?
 Even though you are signed in with the AuctionBytes Blog, you will have to sign in to the EcommerceBytes blog. But you can sign in with your existing AB Verify info.