Tap to Pay on iPhone Now Available for Venmo and PayPal Zettle Businesses in the U.S.

Rhea-AI Summary

PayPal Holdings, Inc. (NASDAQ: PYPL) introduces Tap to Pay on iPhone for Venmo business profile and PayPal Zettle users in the U.S., enabling contactless payments without additional costs. This move aligns with consumer trends towards cashless transactions, benefiting small businesses by expanding payment options and streamlining operations.

Insights

Market Research Analyst

The introduction of Tap to Pay on iPhone for Venmo and PayPal Zettle users represents a significant advancement in the payment processing landscape for small businesses. This feature eliminates the need for additional hardware, such as card readers, reducing overhead costs for businesses. The move aligns with the broader trend towards a cashless society, where over 40% of Americans are already eschewing cash for digital payment methods. As this trend continues, businesses not adopting such technologies risk falling behind.

From a market perspective, PayPal's strategic enhancement is poised to increase its competitive edge in the payment processing industry, potentially increasing its market share. This could lead to an uptick in PayPal's stock as investors may perceive the company as better positioned to capitalize on the growing digital payment market. The ease of setup and use could see a rapid adoption rate, further bolstering PayPal's user base and transaction volumes.

Financial Analyst

PayPal's decision to roll out Tap to Pay on iPhone can be seen as an investment in the company's ecosystem that may result in increased transaction volume and user retention. By providing a cost-effective solution for small businesses, PayPal may see an uptick in the number of business accounts, leading to higher processing revenues. Moreover, the quick settlement of funds into Venmo or PayPal accounts could improve the company's cash flow metrics.

Investors should monitor the adoption rates of this feature as it could serve as an indicator of future revenue growth. If the feature is well-received, it may also reduce churn rates among existing users, providing a more stable revenue stream. However, investors should also consider the costs associated with the development and maintenance of this technology and how it may impact the company's profit margins in the short term.

Technology Analyst

The technology enabling Tap to Pay on iPhone leverages near-field communication (NFC) to facilitate contactless payments. This technology is not new, but its integration into a ubiquitous device like the iPhone for business transactions is a notable innovation. PayPal's approach simplifies the payment process for both merchants and consumers, potentially increasing the speed of transactions and enhancing the customer experience.

While the technological aspect is promising, it is crucial to evaluate how this technology will be supported, the security measures in place to protect transactions and the potential impact on the existing payments infrastructure. As NFC becomes more prevalent, businesses that are early adopters may benefit from a first-mover advantage in providing a seamless payment experience.

Tap to Pay on iPhone is now live for all Venmo business profile and PayPal Zettle users in the U.S. 

SAN JOSE, Calif., March 7, 2024 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) today announced that Tap to Pay on iPhone is now available for all Venmo business profile and PayPal Zettle users in the U.S., enabling them to accept contactless card and digital wallet payments directly on their iPhones with no additional cost or hardware. This is the latest development in PayPal's ongoing efforts to help small businesses sell more, grow their business, and manage their finances more efficiently.  

Consumers are increasingly going cashless. More than 40 percent of Americans surveyed say that none of their purchases are made with cash in a typical week, and that trend is expected to continue. As a result, accepting card and digital wallet payments in person is increasingly table stakes for small businesses, but until recently, businesses have had to purchase and manage card readers to do so. With Tap to Pay on iPhone, PayPal is helping millions of small businesses adapt to this shift in consumer behavior in a fast, easy, and more affordable way. 

"As consumers increasingly turn to non-cash options to pay, small businesses are looking for affordable and flexible ways to offer their customers more payment choice without being tied down to a fixed location," said Nitin Prabhu, VP, Small Business & Financial Services, PayPal. "With Tap to Pay on iPhone, millions of small businesses that use Venmo and PayPal Zettle can now start accepting contactless card and digital wallet payments nearly anywhere, directly on their iPhones, which can expand their customer base and drive incremental sales." 

With Tap to Pay on iPhone, Venmo business profile and PayPal Zettle users in the U.S. can get set up in minutes and begin securely accepting contactless cards and digital wallets directly on their  iPhones. They can also add taxes, accept tips, send receipts, and issue refunds. In addition, funds from sales will settle quickly into a business's Venmo or PayPal Zettle account, helping to streamline operations and manage cash flow. 

Tap to Pay on iPhone will also enable Venmo business profile users to dramatically expand their customer base and accept payments from buyers even if the buyer doesn't have a Venmo account. They can also manage both their Venmo and card payment transactions directly within the Venmo app.  

Venmo business profile and PayPal Zettle users like Saint Paul Spice Company and The Cheesecake Queen are already seeing success with Tap to Pay on iPhone.  

"Enabling Tap to Pay on iPhone with our Venmo business profile was really easy, and my customers really love it because it's a quick and convenient way for them to pay," said Elaine Bailey, founder of The Cheesecake Queen based in Houston, Texas. "It's especially handy when I have a long line of customers and need to get payments processed quickly. The solution has made it so fast and simple to accept payments when I'm selling at popups and festivals, especially because a lot of my customers don't want to carry cash, and prefer to pay with a digital wallet like Venmo or with cards. My customers are actually amazed at the Tap to Pay on iPhone option provided through Venmo, it's by far the smoothest, easiest transaction method I've ever used!"  

Small business owners can get set up in just a few simple steps and start accepting contactless cards and digital wallets through their Venmo business profile or through PayPal Zettle.* 

Learn more about Tap to Pay on iPhone for Venmo business profile users and Tap to Pay on iPhone for PayPal Zettle users. 

*Standard transaction fees apply. 

About PayPal
PayPal has been revolutionizing commerce globally for more than 25 years. Creating innovative experiences that make moving money, selling, and shopping simple, personalized, and secure, PayPal empowers consumers and businesses in approximately 200 markets to join and thrive in the global economy. For more information, visit https://www.paypal.com, https://about.pypl.com/ and https://investor.pypl.com/.  

Media Contacts 

PayPal 

Grace Nasri
GNasri@PayPal.com 

Nicole Andreas
NAndreas@PayPal.com  

 

View original content:https://www.prnewswire.com/news-releases/tap-to-pay-on-iphone-now-available-for-venmo-and-paypal-zettle-businesses-in-the-us-302082615.html

SOURCE PayPal Holdings, Inc.

FAQ

How can Venmo business profile and PayPal Zettle users benefit from Tap to Pay on iPhone?

Venmo business profile and PayPal Zettle users can accept contactless card and digital wallet payments directly on their iPhones with no extra cost or hardware, expanding their customer base and driving incremental sales.

What percentage of Americans prefer cashless transactions according to the PR?

More than 40 percent of Americans surveyed mentioned that none of their purchases are made with cash in a typical week, indicating a growing trend towards cashless payments.

How does Tap to Pay on iPhone help small businesses adapt to consumer behavior changes?

Tap to Pay on iPhone assists small businesses in adapting to the shift towards non-cash payments by offering an affordable and flexible way to accept contactless card and digital wallet payments.

What benefits do Venmo business profile and PayPal Zettle users get with Tap to Pay on iPhone?

Users can set up quickly, securely accept contactless payments, manage transactions, add taxes, accept tips, send receipts, issue refunds, and streamline operations with quick settlement of funds into their accounts.

Which businesses are already experiencing success with Tap to Pay on iPhone?

Businesses like Saint Paul Spice Company and The Cheesecake Queen have reported success with Tap to Pay on iPhone, highlighting its convenience, speed, and customer satisfaction.