Explosive e-commerce growth that is buoyed by consumers increasingly using smart devices to shop has “driven the rapid adoption of digital payments worldwide,” noted a report by LearnBonds that revealed an 85 percent increase in quarterly payments at PayPal in three years.
The number of quarterly payments at PayPal reached 3.2 billion this past March. LearnBonds said digital payments “have changed the payment industry, traditionally dominated by cash and credit cards, offering consumers lower fees and faster transfers at the touch of a button.” The company also noted that the number of transactions at PayPal has soared on a year-over-year basis.
In its analysis of PayPal data, LearnBonds said that, in the first quarter of 2017, the payments firm “reached 1.7 billion transactions worldwide” and that by the beginning of the next year, “this figure jumped 30 percent and reached 2.2 billion.” PayPal payments continued to increase, and reached 2.8 billion in the first quarter of 2019. LearnBonds said by the end of the year, transactions showed a 25 percent gain, year-over-year. “The group’s full-year 2019 results also revealed the company saw $712 billion in total payment volume, a 23 percent jump compared to 2018 figures, allowing it to make over $17.7 billion in revenues last year,” the report stated.
Dan Schulman, president and chief executive officer of PayPal, said the company “delivered strong results in 2019, achieving many records including revenue, net income and operating margin performance. We added 37.3 million net new active accounts, bringing total active accounts to 305 million, up 14 percent year-over-year. We strengthened our value proposition for consumers and merchants, expanded our international scope and scale, and announced transformative strategic acquisitions, investments and commercial partnerships.”
The LearnBonds report also found PayPal growing in other ways.
“Ten years ago, PayPal had 84.3 million users all around the world,” authors of the report said. “Over the next five years, this number has almost doubled to 165.2 million. The increasing trend continued in the following years, with the number of people using PayPal for online payments growing to 205 million in the first quarter of 2017.”
By 2019, there were more than “277 million PayPal users in the world, and the number has continued to grow. In 2019, the online payments provider gained 37.3 million new active accounts, totaling 305 million accounts, or 14 percent growth year-on-year.” In the first quarter of this year, LearnBonds said there were “325 million active PayPal accounts globally, representing a 17 percent year-on-year growth.”