PayPal CEO Dan Schulman’s decision to expand the payments platform beyond just websites and into stores has panned out to be a great business decision.
The company is expected to bring home revenue between $3.57 billion and $3.63 billion this quarter. PayPal is becoming a platform of choice for shoppers to use for online orders. As a result, shares of PayPal rose by 6.3 percent in after-hours trading, which is no surprise considering the company’s stock has risen by 70 percent this year alone.
PayPal’s latest move has been expanding the company’s Venmo service past peer-to-peer payments such as splitting restaurant tabs to a method in which users can pay directly. Currently, PayPal saysVenmo is being used at more than 2 million U.S. retailers. Not to mention, the service has managed $9 billion worth of transaction in the third quarter, which is almost double from last year.
Ultimately, the decision to increase the places where PayPal is accepted has paid off for the payment processing company. Schulman wants to continue their expansion by making sure PayPal is accepted in stores where most purchases still occur. He plans to lure shoppers by making it easier for shopping by allowing them to order ahead and skip lines. The one-button feature of mobile wallets means shoppers can pay faster with their phones by using their saved personal banking information.