PayPal Tries Rebates for Holidays
Payment processor PayPal has added rebates to its repertoire of holiday promotions for online retailers and its own parent, eBay.
Merchants who offer PayPal Express Checkout on their sites are part of PayPal’s rebate network: Shoppers who have a PayPal account earn $20 back on purchases of $50 or more at participating sites. PayPal, which funds the promotion, deposits rebates into shoppers’ PayPal accounts. With 123 million account holders, PayPal expects to process as much as $100 million in rebates through May 15, 2007, when the program ends.
PayPal promotes the rebates at its home site, on eBay and via online ads.
The payment processor also offers free shipping to its account holders, a big draw for holiday shoppers. The promo strategy, which is turnkey for online retailers, lets PayPal court consumers and merchants at the same time.
“We’re offering these incentives to reward our loyal buyers with even more reasons to use PayPal, which in turn, delivers even more shoppers and sales to our merchants this season,” said PayPal senior VP-marketing and business operations Dana Stalder in a statement.
