New PayPal Rewards Program Helps Consumers Save Money in Time For the Holiday Season

Rhea-AI Summary

PayPal has launched PayPal Rewards, a new rewards program for US consumers, allowing them to earn points towards cash back through various merchant offers and discounts. The program integrates PayPal's existing cash back and shopping products into one platform, enhancing customer experience as they prep for the upcoming holiday shopping season. With 25% of consumers prioritizing loyalty programs, PayPal Rewards aims to attract more users, building on the nearly $200 million saved by consumers through PayPal's previous offerings this year.

Positive

• Introduction of PayPal Rewards program enhances user engagement.
• Users can save money through cash back and discounts, crucial during holiday shopping.
• Consolidation of rewards across multiple PayPal products offers convenience.

Negative

• None.

PayPal consumers in the US can now earn points towards cash back through merchant offers, deals, and other discounts with the ability to redeem when checking out with PayPal

SAN JOSE, Calif., Oct. 17, 2022 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) today announced the introduction of PayPal Rewards, a new unified rewards program that gives customers an easy way to shop, earn, track, save, and redeem rewards and offers all in one place – their PayPal app. PayPal Rewards connects PayPal's merchant offers, cash back savings, and shopping products into one experience.

As consumers continue to navigate high prices heading into the holiday shopping season, deals, discounts, and cash back remain top priorities, with 25% of consumers stating loyalty programs are the most important factor when deciding where to shop¹. PayPal Rewards provides a ubiquitous rewards program, where consumers can earn PayPal Rewards points and save money through cash back and discounts at participating retailers. PayPal Rewards will build upon the nearly $200 million PayPal consumers have already saved this year so far through PayPal Honey-enabled cash back and discounts.²   

"With the financial challenges people face these days, brought on by rising prices and the need to tighten budgets, it can be frustrating to shop for everyday essentials or plan for the holidays," said Greg Lisiewski, Vice President of Shopping and Global Pay Later. "PayPal Rewards makes it easy to find sales, discounts, and great deals when making a purchase with PayPal – through cash back, discount codes, or other rewards."

PayPal Rewards provides:

• One, Unified Rewards Program Across PayPal: Customers can combine rewards earned across multiple PayPal products and shopping experiences including PayPal Honey browser extensions and the PayPal app, and in the future, various card products.
• Designated Rewards Destination: Rewards will now be housed in a new part of the PayPal app, making it simple to track and redeem rewards earned across many PayPal products and shopping experiences.
• More Ways to Earn: Customers will be able to earn PayPal Rewards points in a variety of ways, including personalized engagement with the PayPal app, and using the PayPal Honey browser extension to find discounts. Points can be redeemed for cash back and other rewards. PayPal Rewards can provide even greater benefit when using a reward earning payment card to make purchases using PayPal.
• More Ways to Redeem: Customers will have the flexibility to redeem rewards points without category restrictions or amount minimums throughout the PayPal ecosystem, such as cash back or at PayPal checkout. Once redeemed for cash back into their PayPal balance, the funds can be transferred to their linked bank account, deposited into their PayPal Savings account³, donated to a charity, or sent using P2P.

With the introduction of PayPal Rewards, Honey Gold will become PayPal Rewards points. Customers will have the option to set up or link to an existing PayPal account and start benefiting from this new integrated experience with more ways to redeem their rewards points.

PayPal Rewards will start rolling out to U.S. customers today.

1. IDC, Consumer Sentiment Survey, 2022: Findings and Implications, Doc # US49621522, August 2022
2. Analysis of internal PayPal data, January through September 2022
3. PayPal is a financial technology company, not a bank. Banking services provided by Synchrony Bank, Member FDIC. PayPal Balance account is required to use PayPal Savings

About PayPal
PayPal has remained at the forefront of the digital payment revolution for more than 20 years. By leveraging technology to make financial services and commerce more convenient, affordable, and secure, the PayPal platform is empowering 429 million consumer and merchant accounts in more than 200 markets to join and thrive in the global economy. For more information, visit https://www.paypal.com.

Media Contacts
Gideon Anstey
Gbanstey@paypal.com

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SOURCE PayPal Holdings, Inc.

FAQ

What is PayPal Rewards and how does it work?

PayPal Rewards is a unified rewards program for US consumers that allows them to earn points for cash back through merchant offers and discounts, integrated within the PayPal app.

When was PayPal Rewards launched?

PayPal Rewards was launched on October 17, 2022.

How can consumers earn and redeem points with PayPal Rewards?

Consumers earn points through merchant offers and can redeem them for cash back or other rewards without category restrictions within the PayPal ecosystem.

What impact does PayPal Rewards have on consumer behavior?

With 25% of consumers prioritizing loyalty programs, PayPal Rewards may influence shopping decisions, particularly during the holiday season.

How much have PayPal consumers saved through cash back offers this year?

PayPal consumers have saved nearly $200 million this year through cash back and discount offers.