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Wed May 22 2013 13:33:37

PayPal Vs. Google Wallet: Payment Wars

By: Julia Wilkinson

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Who will win in becoming the dominant payment system for the Internet, and digital payment processing in general? Will it be PayPal, which, in its announcement of the "Cash for Registers" program, proclaimed the "wallet" dead? Or Google Wallet, with its leverage of Google's dominant Chrome browser, and popular email system, Gmail? TechCrunch calls it "Death by a Thousand Cuts" to PayPal.

And, will there even have to be one winner? After all, in the credit card world, we have MasterCard and Visa, both accepted in most stores in the U.S. (Anyone besides me remember that Visa used to be called "BankAmericard"?). And, they say if you have a McDonald's, Burger King, and Wendy's on the same crossing, they all get more business individually than either one of them would individually. (OK, so that situation is not exactly analogous).

PayPal has the advantage of being owned by eBay, which would be unlikely to embrace a Google payments system, and a running start of 55+ million US and 128 million worldwide customers. PayPal also has a foothold in brick and mortar stores, which started with Home Depot and is now spreading out with more bells and whistles in places such as Jamba Juice, where you can have your smoothie ready and waiting for you via an "Order Ahead" feature. (I wouldn't want to be the person next in line).

But I wouldn't rule out Google. They're apparently planning to implant a speedy checkout system right into the browser, which is currently the world's most popular, with  over 750 million monthly active users. It also plans to add dollar "attachments" from Google Wallet to Gmail messages, and there are about about four times as many Gmail accounts as there are active PayPal accounts, according to TechCrunch.

Then there's the Google Wallet Instant Buy API, and the large number of Android operating system phones out there - currently more than Apple's iPhone.

There's also the Square system, in the news recently for updating its user agreement.

Of course, who knows what the landscape will look like in 2015? Anyone remember MySpace? Did Yahoo just pay $1.1 billion for Tumblr?  I just heard today that teens were abandoning Facebook because too many of their parents are on it. Things change on a dime in this world. Now let's see who will be processing more dimes going forward.

Who do you think will win in the payment wars? Or will both PayPal and Google's systems succeed? Do you care either way? Post a comment here!




Comments (10) | Permalink

Readers Comments

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

This user has validated their user name. by: Map

Wed May 22 20:08:27 2013

Goggle will win because they have a search engine that works. Ebay has messed up their ebay search engine that is already long in the process of bankrupting most of their small, medium & large sellers that these losses to Paypal will show and peak with rapid decline to profits and more importantly the valuable share holders who haven't much information or the awareness of the wasteland of wrecked and dying sellers that lay crippled on the invisible search battlefield.

Paypal will not make it fully into the brick & mortar shops cash registrar because Paypal will not maintain their cash supply from internet world to maintain their beach head into the brick & mortar world. If Google moves into both theaters but heaver into eCommerce to clip paypals supplyline of cash and picking up disenfranchised Ebay/Paypal sellers then Goggle will hammer Paypal and show to the world what they really are, weak, hollow with running shareholders.

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

This user has validated their user name. by: Nolle

Thu May 23 12:16:47 2013

From a couple of days ago:

"Google Admits Defeat In Its 7-Year Battle With Amazon And PayPal"

http://readwrite.com/2013/05/20/google-checkout-closure


Google
checkout is gone, and Google Wallet is not gaining traction outside of app purchases.

personally, I don't think it will be paypal or google in 3 years.

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

This user has validated their user name. by: iheartjacksparrow

Thu May 23 12:53:06 2013

I use Google Checkout/Wallet in my eCrater store because PayPal scares me with their open facilitation of buyer fraud. I just got an e-mail that Google Wallet was ceasing in November, so I've been looking for another payment processor. Someone on the eCrater discussion board mentioned Amazon Payments, which appears to be the same as Google Wallet, and with a name that's known to millions. eCrater has promised new payment options will be added to the site, and I do hope they add Amazon Payments.

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

by: RCL This user has validated their user name.

Thu May 23 13:42:08 2013

I think Pay Pal will become the online standard for fast payment--ANYWHERE (but Amazon). Pay Pal is going EVERYWHERE...even to pay your state taxes before long!

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

This user has validated their user name. by: Tula

Thu May 23 16:27:39 2013

I use Amazon Payments on ArtFire and it's been great. They do make you wait a bit to move your money out, but it's clean and easy and buyers seem to trust it. Most of my AF buyers use it and I only get a few using Paypal these days.

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

This user has validated their user name. by: elpereles

Thu May 23 22:02:22 2013

GCO died to buy real stuff. It looks like they are more interesting in digital goods.

I see a lot of people getting modern cell phones and tablets just to play games.  

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

This user has validated their user name. by: The End

Fri May 24 08:50:08 2013

Use INTUIT "Request for Payment".
It works the same as Google Email Invoices (going away with checkout).

DEVELOPERS : We need the simplicity of the Google Shopping Cart. Simple copy & paste HTML code for our websites.
One line of code in the Footer for the cart, the other line of code for our products and their associated variations. And we need UPS shipping calculated as well.
This must be FREE code, with 2.9% + .30 per transaction charged.

Contact eCommerceBytes when you have it ready. We learn about about All Things New for eCommerce through here.

BEWARE : Those "DIY" shopping carts are not. And too many want too much to , in effect, ruin your website.

We "DIY"ers need a nice, easy, SECURE shopping cart solution now.

NOVEMBER 20 is Doom's Day for us.

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

This user has validated their user name. by: The End

Fri May 24 08:54:41 2013

AND : We will accept All Credit Cards, checks or money orders, No PayPal.

Roll the Merchant gateway, merchant account, and shopping cart all into one.

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

by: FeelingFroggy This user has validated their user name.

Fri May 24 16:29:08 2013

Google Wallet and the rest sat on their laurels thinking before entering the fray. When they did it was to late. Paypal is the biggest and will remain so until taken down by the government.

PayPal Vs. Google Wallet: Payment Wars   PayPal Vs. Google Wallet: Payment Wars

by: FLIPPER This user has validated their user name.

Sat May 25 23:51:18 2013

Neither . I predict Apple will introduce their own payment system  along with thumbprint recognition for antifraud/validation purposes in their next iPhone released this fall and due to its esse-of-use it will soon become ubiquitous



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