PayPal Holdings, Inc. (PYPL) has announced an expansion of its strategic partnership with Fiserv, Inc. (FI), sending PYPL shares higher today. This collaboration focuses on simplifying the integration of PayPal services for Fiserv’s merchant clients, aiming to streamline checkout processes and enhance the overall commerce experience.
The expanded partnership will leverage PayPal’s payment expertise to streamline guest checkout through Fiserv’s Fastlane platform, enabling purchases in as little as one click. This streamlined process is expected to lead to higher conversion rates for merchants, with guest shoppers using Fastlane seeing up to a 50% increase in conversions and a 32% reduction in checkout time. Businesses will also benefit from a direct link to Fastlane by PayPal, accelerating guest checkout processes in the U.S.
This partnership builds on a longstanding collaboration between Fiserv and PayPal, spanning over a decade. The two companies have worked together on payment processing, payouts, network services, and e-commerce capabilities, serving millions of merchants worldwide.
Jennifer LaClair, Head of Merchant Solutions at Fiserv, highlighted the value of the partnership, stating, “Our expanded partnership with PayPal supports our mission to enhance client value by providing simple, cutting-edge solutions to our clients that elevate and accelerate the commerce experience.”
This collaboration comes shortly after PayPal’s Fastlane expanded with Adyen, signifying PayPal’s continued push for checkout dominance. Investors interested in gaining exposure to PYPL can explore the Global X FinTech ETF (FINX) and ETF Series Solutions Grayscale Future of Finance ETF (GFOF).
PYPL shares closed at $72.76 on Thursday, up 3.30% on the day.
