At a time when companies are trying to make everything automated and online with the help of technology, payment apps are becoming more and more popular. Among few payment apps that stand out of the crowd, come names like Paypal Holdings Inc (NASDAQ:PYPL)‘s Venmo, Google’s Android Pay and Apple’s Apple Pay.
Based on a recent survey conducted on 1000 PayPal users, experts came to know that the world’s not giving enough credits to PayPal for the potential impact that Venmo is making in day to day life.
Insights of Matter
In a recent discussion, Jason Kupferberg, Analyst at Jefferies, said that the Apple Pay is getting extra attention from investors, whereas PayPal, which has registered constant growth in mobile sales even since the Apple Pay was launched, is sidelined by most of them. Venmo is one of the leading peer-to-peer payment apps that allows family members and friends to share expenses, such as meals, rent and cab fare.
Google’s Android Pay is also a leading name in the payment app market, but its offerings are limited as compared to PayPal. Many times in the past, PayPal executives denied the fact that Venmo faces any competition from Android Pay or Apply Pay; however, industry experts don’t back the company on this opinion. According to them, PayPal needs to keep these two rivals in mind while working on expansion strategies.
Meanwhile, Kupferberg stated in a research note that PayPal could expect enhanced earnings due to a high number of transactions taking place on Venmo on regular basis. As of now the app is free for all, but going forward, PayPal may levy its standard charges (2.9%) in the process. The popularity of this app is growing at a fast rate, and it will be great to see how customers react to company’s monetization plans in the coming months.