Alphabet’s GOOGLGoogle division is enhancing its partnership with PayPal PYPLto strengthen presence in the digital payment market.
The company will now allow the PayPal account holders to make payments without signing in to their PayPal accounts or leaving the Google services if they add their details to Google Play account.
Following the latest move, Google Play will now include Gmail, YouTube, Google Store and any services using Google Pay. Consequently, once the PayPal account is linked, customers can pay their bills or make peer-to-peer transfers across the entire Google ecosystem.
This deep relationship seems to be beneficial for both the companies.
By offering seamless payment option, PayPal’s account adoption will improve which will aid growth of its transactional revenues. Further, this will strengthen the partner base of the company.
This move is also expected to boost the user base of Google services and will definitely curb the rate of leaving Google sites while making payments. Additionally, it will augment Google’s payment services which will help the company to gain competitive edge in the market.
Notably, shares of Alphabet have returned 3% on a year-to-date basis compared with the industry’s decline of 4.1%.