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  Amazon Checkout Set To Kill PayPal

By Branko Miletic | Thursday | 2008-07-31

According to reports, Amazon.com has decided to take ecommerce by the horns with two new payment options-- Amazon Simple Pay and Checkout were launched today and are designed to directly compete with both Google Checkout and eBay's PayPal.

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According to the company, Checkout by Amazon is a complete e-commerce checkout solution, while Amazon Simple Pay enables payments, marketplace transactions and even donations.

Checkout by Amazon is designed to identify Amazon.com customers and offer the now standard Amazon 1-Click experience, and also designed for merchants to upsell their products through the checkout pipeline.

For transactions of $10 or more, the Amazon service incurs a 2.9% mark-up plus 30 cents per transaction; however transactions less than $10 will cost 5% plus 5 cents per transaction. By comparison, PayPal charges 2.9% plus 30 cents per transaction for monthly sales up to $3,000.

Furthermore Checkout allows customers to view, edit, settle, and cancel orders; search orders by date; download orders in a text file; and print shipping labels and packing slips, as well as allowing merchants to co-brand the checkout pipeline with their own logo.

 

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