Ebay UK is set to end its deeply embedded relationship with PayPal and launch its own ‘managed payment experience’ for both buyers and sellers.
PayPal and Ebay are set to complete their divorce agreement in July, giving the online marketplace freedom to take control and dramatically expand its own payments experience.
The UK will be the third market to see Ebay roll out its new payment programme “this summer”, following trials in the US and Germany throughout 2018 and 2019.
Ebay shoppers will soon be able to pay using a variety of methods including Paypal, credit card, Google Pay, and Apple Pay via iPhones and iPads.
The divorce from PayPal could see a range of common frustrations ironed out for Ebay shoppers, including having to bounce between both Ebay, Paypal and credit card providers to chase refunds.
Now Ebay’s one-stop-shop will have control of both the sale and the money, meaning they will be the only source to deal with for any financial conflict between buyers and sellers.
According to Ebay its managed payments have processed more than $2 billion (£1.54 billion) in gross merchandise value (GMV) for almost 25,000 sellers and saved them a collective $10 million (£7.7 million).
“We’re creating a modern managed marketplace,” Ebay’s vice president of global payments Alyssa Cutright said.
“Taking control of the payments process on our platform is a key component of our strategy to enhance the Ebay experience by breaking down barriers and removing complexities for our customers.”
Ebay UK’s vice president Rob Hattrell added: “By starting to manage payments in the U.K. this year, we’re taking another step to deliver improvements for our customers.
“We know that sellers and buyers expect smooth and seamless transactions, and this new payments experience is designed to offer exactly that. In the coming months, we will make the transition as smooth as possible for sellers so they can take advantage of this important update quickly.”
The new payment system is expected to be rolled out to a majority of its UK business sellers by the end of 2020 and a majority of its marketplace customers in 2021.