UK retailers incorporating PayPal Credit into their online checkout have seen an average 15% incremental increase in sales, the company says.
PayPal Credit launched in the UK in 2014 to offer online credit that links to a customer’s PayPal account. It recently surpassed £2 billion in UK lending and 1.5 million PayPal Credit accounts.
It also allows businesses to offer customers instalment payments on larger purchases.
Retailers that offer PayPal Credit as a purchase option to allow payment by instalments include Dell, Voxi, Box, Watches of Switzerland, Goldsmiths and Mappin & Webb.
The option is offered as part of the online checkout process and offers instant decisions.
Darrell Esch, senior vice-president, credit at PayPal, said: “Since we launched PayPal Credit in the UK we’ve seen a wide range of retailers adding it into their payment offer.
“It has delivered real returns for retailers, with a 15% incremental increase in sales demonstrating a clear benefit to their bottom line.”
If PayPal is used as a payment method, all shopping baskets of £99 and over automatically qualify for 0% interest for 4 months (excluding instalments).
Outside these offers, any balance is subject to the standard interest rate, which is currently 19.9% a year (variable).
Tom Hindle, operations director at online technology store Box, said: “Launching with PayPal Credit as a finance provider on our website has meant we can provide our customers with a recognised payment solution and a fast easy way to buy on credit
“Since implementing we have seen a significant increase in our average order value, up 47%, and a very positive uplift on sales through PayPal Credit.”