eBay will say goodbye to PayPal soon
We all followed the big separation in 2015, when after more than 10 years of partnership, PayPal and eBay „divorced”. Some of us were sad, others were quite excited to see what new opportunities this will bring. PayPal and eBay still have an agreement until 2020 to process payments in the backend through PayPal, and news on what the plans are for the next years is already out.
At the end of January, eBay announced that they signed a long-term contract with Adyen, an Amsterdam based payment company. The plan is that once the agreement with PayPal runs out, Adyen will take over as the sole payment processor for all eBay transactions. It will work similarly to normal website checkouts, offering payment solutions within eBay. PayPal will still be an option for buyers, but that will become an off-site transaction method.
The eBay director also confirmed that the changeover will not be optional – all sellers and buyers will have to use Adyen to process payments. However, this is a multi-year journey. eBay will start doing some tests with the new checkout during the second half of this year in the US, however, these will initially be small-scale tests where buyers can choose which option to use for the transaction. Further tests will be carried out until 2021, when Adyen is said to become the sole payment processor for eBay.
We’re looking forward to this new joint venture, and we are eager to see how this will affect sellers and the fees that they will have to pay to eBay.
