The breakup between eBay and PayPal goes faster than predicted

The breakup between eBay and PayPal goes faster than predicted

The breakup between eBay and PayPal goes faster than predicted

It has been almost four years since eBay and PayPal decided to go their separate ways, and the process of decoupling these two providers seems to be going ahead of schedule. The latest figures show that most of the merchants are already using a new preferred payment method that eBay is pushing as their native service, and that has far-reaching consequences for the PayPal as a company, as well as for many of its users.

Namely, the new eBay payment method will be mandatory for all merchants by 2021, but it seems that the most of them are moving towards it even earlier, trying to adapt before the deadline forces them to do so.

The breakup between eBay and PayPal goes faster than predicted

What does this mean for PayPal?

Since the largest part of their operations is comprised of eBay sales, as the very company has been developed from its inception on the back of the eBay, this means some rainy times are ahead of them.

Losing the largest part of your operations is never a good thing, and when it happens ahead of schedule, this is something that can have a deep and destructive impact on your company.

The people from PayPal are aware of the gravity of the situation, and it seems that they are pushing hard in order to reduce the impact of this breakup. 

It is expected that many of the online vendors will continue using their services due to the huge popularity of the platform with the shoppers, but it is not a guarantee enough that they will remain in the safe zone, as the shifts in customer behaviour are not too uncommon.

One of the steps they are making to ensure they remain relevant is joining forces with the Argentinian marketplaces operating in the US. This combined with the other moves could provide the cushion they need in order to survive this dramatic change they are going through.



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