Autumn 2006

PayPal payments can now be processed by companies using the hosted web storefront system offered by Shopcreator, which says the move has brought PayPal integration to "many hundreds" of the UK's etailers.

PayPay is the system much-beloved by eBay users (in fact eBay owns PayPal), since it allows internet auction customers to make online payments without disclosing bank details directly to the supplier. But it can be used for almost any type of online transaction. The company is believed to have 10 million customer accounts in the UK, and over 105 million worldwide.

Shopcreator cites research suggesting that offering PayPal in conjunction with other payment methods can increase conversion rates in online shopping carts by at least 10 per cent. Shopcreator managing director Andy Kitchener says his advice is that merchants should offer four or more different payment methods in order to attain maximum basket conversion.

The development illustrates one of the attractions of using a hosted e-commerce solution, in that the extra capability can be introduced for all users at once, without a need for local systems upgrading.