eBay announces PayPal Access, reducing the number of accounts consumers have to create online. But is this necessarily a good thing for retailers?
eBay has launched its X.Commerce developer platform, which includes PayPal Access. The new service allows people to use their PayPal accounts on other merchant websites, eliminating the need to create separate accounts.
The allure of PayPal Access is strong, eliminating the need to register an account at other retail websites and decreasing the steps needed to make a purchase. It also lowers the risk of fraud for the customer by limiting the number of third party websites with credit card information.
Simplifying payment and login details are sure to boost conversion rates and help with shopping cart abandonment. However, if retailers implement PayPal Access instead of traditional user registration systems, they may lose control of their customer’s user accounts. Retailers will need to find a balance between customer convenience and user data.