Overview
PayPal is one of the world's best-known online payment providers. Shoppers use it to pay online without entering card details, and businesses use it to accept payments in their webshops, apps and on marketplaces. For an e-commerce brand, PayPal is a payment method many shoppers expect at checkout, especially in Germany, the UK and the US.
Who is behind PayPal
PayPal was founded in 1998, became part of eBay in 2002 and has been an independent company listed on Nasdaq since 2015. In 2025 PayPal's revenue was USD 33.2 billion, up 4%, and it processed USD 1.79 trillion in total payment volume, up 7%. It has 439 million active accounts, including about 227 million monthly active accounts. Cross-border payments made up about 12% of its volume in 2025.
What PayPal offers
- PayPal checkout, where shoppers pay with their PayPal account, often in a few clicks.
- Pay Later, PayPal's buy now, pay later options. Its BNPL volume passed USD 40 billion in 2025, up more than 20%.
- Venmo in the US, with more than 100 million accounts and revenue of USD 1.7 billion in 2025.
- Enterprise payments, including Braintree, which processes card and other payments for larger merchants.
- Buyer and seller protection programmes, which build trust for shoppers buying from smaller or foreign shops.
How it works for a brand
A brand adds PayPal to its checkout directly or through its e-commerce platform or payment service provider. Many marketplaces also offer PayPal to their shoppers. On OTTO in Germany, for example, PayPal is one of the payment methods shoppers can choose. Before adding PayPal, a brand should think about:
- Which markets matter, since PayPal's popularity varies by country.
- The fees per transaction compared with other payment methods, including fees for cross-border payments and currency conversion.
- Disputes and chargebacks, and how PayPal's buyer protection affects the brand's returns and refunds.
- The effect on conversion, which is the main reason to offer it.
Why PayPal matters for brands
PayPal remains one of the most trusted ways to pay online. Offering it can help conversion, especially with new customers who do not yet know the brand. At the same time, PayPal has noted that growth in its branded checkout slowed in late 2025, partly because of competition from alternative payment methods in markets such as Germany, so the right payment mix differs by market.
How eBrands looks at PayPal
eBrands works with brands on D2C webshops and marketplaces across Europe and North America. If you want to see how your payment setup, including PayPal, affects conversion and margin, we are happy to talk it through.
Useful links
Ready to go global?
Let us show you how eBrands can take your brand to every market that matters.