Interview with PayPal: Help Increase Sales with Customer Financing

PayPal is rolling out new financing tools that can help you boost sales and increase average order sizes. Now you can offer customers financing through their Bill Me Later®, if you're using one of PayPal's checkout products to accept payments online.

We connected with Greg Pogue, Lead Product Manager at PayPal, to understand how customer financing helps businesses grow sales.

1. Tell us about PayPal's Bill Me Later financing offer.

Shoppers can get no payments, no interest for 6 months on purchases over $99, when they check out with PayPal and use Bill Me Later .1 Really big stores and online retailers have always used customer financing to attract sales. Now it's time for all online businesses to be able to take advantage of financing. PayPal's Bill Me Later makes it possible.

2. How does financing help customers?

Everybody loves to have more time to pay. Your customers can purchase their goods now and don't have to pay for 6 months. Shoppers are always looking for a deal. Financing is an offer that's so attractive that they stop browsing around and they click your "Buy" button.

3. What's the risk to businesses?

That's the beauty of it. The business gets paid right away, regardless of when the customer pays. Also, the business doesn't assume any credit risk. So if a customer doesn't pay their bill, PayPal won't deduct the amount from your account to cover the loss. You don't have to worry about billing customers and collecting their payments.

4. Name a tip or trick that can help

Promote financing on your home page, product pages, and landing pages, not just at checkout. Shoppers need to know about financing while they are making the decision to buy or not. If the offer is just exposed in checkout, you aren't converting any of the browsers who may have bought had they known. This past holiday season, PayPal saw that merchants promoting financing to customers "upststream" boosted online sales by up to 20%. 2

5. How do businesses sign up for Bill Me Later?

Visit the PayPal's financing portal at It's easy to sign up, get the Bill Me Later promotional banners, and place it on your website. It's just that simple.

Thanks Greg!

You're welcome. We are always happy to help.

┬╣ Applicable for qualifying purchases of $99 or more if paid in full within 6 months. Customers check out with PayPal and use Bill Me Later. Bill Me Later is a line of credit provided by WebBank, an FDIC-insured and Utah-chartered industrial bank located in Salt Lake City, Utah.

2 Based on a PayPal internal study, November-December 2012, of comparable year-over-year online sales of 118 small and mid-size businesses who placed Bill Me Later promotional financing banners on their site, starting October 2012.