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PayPal eCommerce

PayPal eCommerce

PayPal & PayPal Website Payments

PayPal for e-Commerce

PayPal is widely used by startups and businesses expanding into the eCommerce marketplace for a couple of simple reasons. PayPal offer two approaches here; PayPal Website Payments Pro, and PayPal Website Payments Standard. Despite the amateur-ish stigma attached to PayPal, it is becoming much more widely trusted.

Advantages of using PayPal Website Payments:


  1. Little or no setup costs
  2. Very simple to integrate
  3. Can also provide a virtual card-terminal for taking payments over the phone
  4. Does not require your bank's approval for Internet Merchant Status
  5. Allows you to take card payments from people who don't have/want a PayPal account

However there is always a catch. Our customers have tended to find the following issues when compared to their bank or a PSP.

Disadvantages of using PayPal Website Payments:


  1. Higher percentage-of-sale fees
  2. Harder to contact and slower to respond
  3. Verification isses can cause temporarily suspended service
  4. PayPal's association with eBay and sole traders can make a business look less professional

Because there is a less stringent approval process (when compared to an IMA or PSP) there is a higher risk to PayPal, which can be reflected in the transactional fees. Our clients have often expressed to us that they felt PayPal's fees were becoming prohibitively high as their sales increased, and that customer service fell some way short of their bank or PSP.

Because of this, we generally reccomend PayPal's Website Payments Standard or Website Payments Pro (or alternatively Google Checkout) where an Internet Merchant Account or using another Payment Service Provider is not possible.

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