Less than a month after eBay dropped PayPal's status as its preferred payment provider and implemented a new payment process for some users, one in 10 of those users is completing purchases via Apple Pay, according to an eBay executive.
Sellers accessing eBay’s new payments model see a streamlined checkout page with the option to pay via credit, debit or Apple Pay, which eBay introduced for the first time in this update. The company is exploring which of the other mobile wallets it will add and when as the rollout continues, according to Alyssa Cutright, the marketplace site's vice president of payments.
“Buyers like the simplified checkout process, and sellers like the new pricing structure,” she said, noting that all sellers’ fees are 25 percent lower since eBay changed its payments model.
It’s very early in the rollout of eBay’s new strategy to manage the payments experience in-house with Adyen as its lead partner, a plan the company announced in January, and so far the process is available to a small set of invited users, according to Cutright.
“We’re looking to extend all major payment options, and it will take time to fully roll this out,” she said, noting that eBay plans to add other payment partners in addition to Adyen to offer the most convenient local payment options in markets outside the U.S.
More than 60 percent of eBay’s revenue comes from outside the U.S., and the company’s partnership with Adyen is already improving operations for the online marketplace's growing cross-border payments volume, Cutright said.
In the U.S., eBay’s new payments approach also shortens the window of time for sellers receiving money, with a direct ACH integration.
“In addition to the streamlined checkout experience, the big difference now for sellers is they’re no longer managing two separate channels for reports, policies and customer service, as they were under PayPal—now everything is in one place and it’s much less complex,” Cutright said.
