PayPal Ads based on
privacy has launched in the United Kingdom. The service, first introduced in the United States last year, allows brands and merchants to show personalized ads to consumers based on previous
purchases.
The company plans to roll out the platform in phases, with the first ads serving up in July. Ads will serve up based on user "scaled shopping intent and transaction data. It will allow brands to create messaging and campaigns.
“Commerce and advertising are deeply connected, and we believe that the advertising
solution we are building at PayPal will become a must-use marketing and revenue channel for merchants big and small,” stated Mark Grether, general
manager for PayPal Ads. “In a world where shopping is agentic, invisible, and everywhere, brands need a partner that can help them reach these empowered shoppers. PayPal – and its
wealth of consumer knowledge - will help brands and merchants not only respond to demand, but also thrive in this new commerce ecosystem."
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PayPal debuted PayPal Ads last spring, with Grether to lead the project. Grether is the former head of advertising for Uber and a 20-year veteran.
The company is estimated to have approximately 434 million active users as of December 2024, with 10.3 million live websites reportedly offering PayPal worldwide.
PayPal is estimated to have a 45% share in the global payments market, generating about $31.8 billion in net revenue in 2024.
In February, PayPal restructured its enterprise services together under PayPal Open, consolidating brands such as Braintree and Hyperwallet to create a business payment ecosystem, and on Tuesday announced an extended partnership with Verifone to strengthen its position in global ecommerce.
Venmo remained a stand-alone brand in the U.S., as the company continues to build a global ad and retail network to support consumers and merchants. The plan is to take on the title of “commerce enabler” with its new platform and extended partnership.
PayPal’s net revenue rose 4% year-over-year in Q4 2024, per its earnings release -- down from 9% last year, according to Emarketer.
PayPal said it will continue to run advertising and marketing campaigns to familiarize consumers and businesses.