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comScore, Inc. News Release*******************
PayPal Holiday Season Promotions Boost Payment Method’s Share of Dollars at Major Retailer Sites
comScore Releases Report and Hosting Webinar on Alternative Payment Types Online
RESTON, VA, November 10, 2009 – comScore, Inc. (NASDAQ: SCOR), a leader in measuring the digital world, today released findings from a study of the impact of holiday promotions on PayPal’s use at major online retailers during the 2008 holiday season. As merchants and payment services prepare for a competitive 2009 holiday season, understanding the lifts from prior promotions is critical in assembling marketing programs that positively impact consumer preferences and drive share. The results of the comScore study show that PayPal promotions launched in Q4 2008 caused a significant increase in the payment method’s share of dollars spent at major retailer sites, including Overstock.com, Walmart.com and others, as consumers capitalized on attractive online deals. These and other relevant findings are covered in detail in the comScore report, Alternative Payment Types Online: The Rise and Maturity of PayPal and Others Across the e-Commerce Landscape, which is currently available for purchase. Highlights of the study will also be presented via a complimentary live webinar on Tuesday, November 10. Details on the webinar can be found below.
Holiday Promotions Drive Increase in PayPal Dollar Share
During Q4 2008, PayPal announced attractive promotions at several online retailer sites resulting in significant increases in its dollar share among partner retailer sites. Overstock.com customers were presented with 15 percent cash back on a $100 purchase when using PayPal, which helped push its dollar share up 3.6 percentage points to 18.6 percent. Walmart.com, which launched its partnership with PayPal in early October 2008, offered $20 off a purchase of $50 or greater when customers used a PayPal account to checkout, resulting in a 9.0 percent dollar share during Q4. Dell.com gave PayPal preferential treatment, positioning the payment option right under Dell’s payment plan and above all other credit card options, helping to boost PayPal’s share to 7.0 percent in Q4 2008, an increase of 5.1 percentage points from the previous quarter.
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