PayPal's previous efforts to come to the physical point of sale about three years ago never managed to topple the entrenched payment methods. Now the company is taking another stab at it, securing an arrangement with Macy's Inc.
PayPal started its physical point of sale journey in 2012, through agreements with retailers and Discover in a blend of a phone-and-PIN payment option and a physical card. But larger acquirer/processors generally shied away from the concept for fear of undermining the revenue they get from mainstream card payments.
Macy's Inc., which includes Macy's, Bloomingdale's and its outlet stores, will offer PayPal as a payment option by the end of the month, Robert Clarkson, vice president of large enterprise retail and partnerships for PayPal, stated in a Sept. 15 blog post.
Macy's customers can make online or mobile purchases through the PayPal button, or through the One Touch technology that eliminates typing in payment credentials, usernames or passwords, Clarkson said. In-store customers will generate a QR code on their PayPal app or on the Macy's app.