Latest data indicates that online payment platform PayPal had 286 million active accounts by the second quarter of 2019. The most recent statistics mean that PayPal has been on a growth (active accounts registered) each year since 2010.
In the first quarter of 2019, PayPal had 227 million accounts globally. From 2010, the platform has been on a steady growth thanks to several unique products and market strategies. In the course of the last nine years, PayPal has recorded a staggering 202 million active users’ growth.
Notably, PayPal’s payment services have been growing thanks to the expanding online shopping and retail opportunities powered by mobile commerce.
By the close of 2018, about 36% of North America retailers had accepted PayPal as a payment method. Another 34% will roll out PayPal in the next two years. The latest PayPal payment addition is the brick-and-mortar retailers and shops.
Why PayPal is Actively Growing?
Notable initiatives behind PayPal’s user growth include improving customer choice, partnering with banks, and fostering customer loyalty.
Over the past few years, PayPal has inked critical partnerships with other payment networks like Visa and Mastercard. Currently, Paypal users can set the default payments to a credit card. This move brings a lot of convenience to users globally.
Initially, the only payment method tied to PayPal was the bank account. Partnership with Visa and Mastercard has seen users sign up for PayPal using whatever payment method they like.
PayPal has also increased its presence in other countries like the UK and India, where it inked deals with local banks. These partnerships saw banks incentivize customers who sign up for PayPal.
From the data, PayPal has managed to maintain its users, something partly achieved through fostering customer loyalty. With over 19 million merchants accepting PayPal, most customers are prompted to sign up for the service. A survey from ComScore indicates that some customers won’t complete a transaction if PayPal is not part of the check out methods.
Growing Transaction Volume
Notable retailers under PayPal include BestBuy and Home Depot and digital content sellers like Humble Bundle or Valve.
Products like the PayPal card have made it more convenient for consumers to transact. Some retailers require users to swipe their PayPal cards at the physical point-of-sale while making payments.
The increase in users has also translated into PayPal’s transaction volume. In 2018, with 254 million users by the third quarter, PayPal had a mobile transaction volume of $227 billion, a growth of 46% from the 220 million active users registered in 2017.
