Paypal Marketing Strategy | Marketing Strategy of Paypal

by Shamsul
Marketing Strategy of Paypal
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Paypal Marketing Strategy | Marketing Strategy of Paypal


Paypal was founded in 1998 and completely owned by eBay. In 2015, it became an individual entity. Currently, it has more than 197 million active users and nearly 15 million accounts are merchant-based. Now, Paypal is operating in 200+ countries and in 25 currencies. This American company is known for its online payment services, money transferring, and transactions via electronic platforms. It is a safe and convenient platform for online transactions. In this post, we will focus on the important marketing strategies of Paypal.

Important Factors in the Paypal Marketing Strategy | Marketing Strategy of Paypal:

Segmentation, Targeting, and Positioning:

Paypal uses demographic and psychographic segmentation strategies in order to target the different consumer bases on the basis of groups, choices, preferences, and tastes. They use a differentiated targeting strategy in order to fix the varying demands of the users. Product-based positioning has been used in the positioning strategy of Paypal in order to develop appropriate visibility in several markets internationally. The main mission of the company is to create a safe and convenient method for transactions.

Paypal Marketing Strategy | Marketing Strategy of Paypal

Competitive Advantage:

  • Exclusive Platform:

Its digital platform offering an end-to-end interface that helps the merchants and users in performing mobile and digital transactions without any nuisance. They provide hassle-free transaction service without any risk which is the biggest achievement of the company.

  • International Reach:

Now, Paypal is operating successfully in 200+ countries internationally which helps the company to increase its revenue and consumer base. Due to this global reach, they are developing international exposure successfully.

  • Business:

With a workforce of 18000+ people, Paypal is the leading company in online payment services with the highest market share and value. This thing gives a major competitive edge to Paypal.

Paypal Marketing Strategy | Marketing Strategy of Paypal

BCG Matrix:

Paypal has two major digital business payment platforms for merchants and consumers. Both businesses are linked together in the form of transactions, and connecting thousands and millions of merchants and customers globally. Both businesses are successful, that’s why both are starts in the BCG matrix.

Distribution Strategy:

The company has created user interfaces that assist the customers and merchants in transaction processing and also offer payment platforms. As a result, they can receive and send payments in different markets without any trouble. To shorten the boundaries, they integrate merchant accounts and consumer digital wallets digitally.

Brand Equity:

In Forbes list, it has been ranked 380th in the world’s global brands and also secured several accolades. It is a leading player in the relative industry in terms of market capitalization and share. Paypal is a trusted name in mobile and digital payment platforms, providing convenience and ease of transaction to both merchants and consumers.

Paypal Marketing Strategy | Marketing Strategy of Paypal

Competitive Analysis:

There is no denying that the international digital payment market is highly competitive and Paypal is facing stiff competition from different players. They are competing with rivals on some specific factors like user-friendly interfaces, customer service, ease of transactions, and engaging capabilities. They are attracting merchants and consumers with its offerings and products. The major competitors of Paypal are Google Wallet, Wepay, Fintech firms, Apple Pay, and several other digital platforms.

Market Analysis:

The digital payment industry has different challenges in both developing and developed nations in the form of per capita income, increasing literacy rate, automation, and migration of people. Plus, the appearance of other fintech companies is another important factor that is giving head-on competition to Paypal.

Customer Analysis:

Most of the customers of Paypal are tech-savvy who like to make online or digital transactions or payments. The majority of users of Paypal are B2B firms and merchants. On the other hand, several government organizations and private firms are also permanent users of Paypal.



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