30 PayPal Statistics, Facts & Trends You Should Know! (2023)

Are you a PayPal user and want to know about the recent PayPal statistics? This article is here to help. This article provides you with the current PayPal statistics to up your knowledge about the platform.

Online money transfers are made easier with PayPal, a service provided by PayPal Holdings, Inc., a global financial technology company headquartered in the United States. Many online auction houses, online stores, and other businesses utilize PayPal as a payment processor, for which PayPal collects a fee. Rather than relying on antiquated methods like money orders and chequeens, you can use this modern electronic payment system instead.

Perhaps you already have a PayPal account or are thinking about creating one. In this post, you will find out some shocking and interesting facts regarding PayPal. You will get a general understanding of the amazingness that is PayPal by reading about its revenue, users, workers, and subsidiaries. Let’s get down to business, then!

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Top 30 PayPal Statistics in 2023

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Table Of Contents

PayPal History Statistics

In 1998, the company formerly known as PayPal was introduced under the name Confinity. It started out as an organization whose only focus was on creating safe software for handheld devices. However, in 1999, Confinity shifted its focus to becoming a money transfer business. Confinity joined Elon Musk’s online banking startup X.com in the year 2000.

Musk decided to stop developing his other payment services after purchasing PayPal and instead devote his time and resources to it exclusively. Originally founded in 1998 as Confinity, the firm was rebranded as PayPal in 2001 before being bought by eBay the following year.

However, eBay would split out from PayPal in 2014 as a distinct publicly-traded corporation. As a result of its several ownership transitions, PayPal’s past is a little murky. If you’re curious about PayPal’s current owner, you should know that Daniel Schulman has taken full control of the company. In 2014, when PayPal had already separated from eBay, he bought the business.

1. In a 1999 poll, PayPal ranked among the 10 worst business proposals.

According to Reddit report, in the year 1999, PayPal was known as Confinity Inc. The software firm was created a year later, motivated by the notion of employing Palm Pilots to execute online payments. Well, the notion didn’t survive long, and the organization swiftly modified its business model to the one we know today.

2. An average of 40 purchases per year are made by PayPal users.

PayPal numbers from 2019 indicated that the typical PayPal customer carries out roughly 40 transactions per year utilizing the site. There is no PayPal spending cap, so these statistics are certain to climb in the future years.

3. The largest online payment processor, PayPal, was an early company to ditch Facebook’s cryptocurrency.

Libra, Facebook’s cryptocurrency, was supposed to debut that year. The internet payment sector, however, swiftly abandoned it. The issue is that PayPal was the first one to quit the initiative, owing to the money laundering concerns underlying the cryptocurrency. Mastercard, Visa, and eBay all chose to do the same within a week.

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Statistics of PayPal User

4. In 2021, PayPal served 392.05 million active accounts.

In only one year, PayPal’s massive user base grew by 67 million individuals. In the first three months of 2021, it had 392 million active users. The increase from the prior quarter was 15 million. Only 84 million people were using the service before 2010 began.

5. There are about 300,000 daily PayPal users in the UK.

In 2019, PayPal daily active users grew massively. Currently, the top two nations are Germany and the United Kingdom, both of which have over 300k. Afterward, come Russia 69k, Italy 71k, Spain 55k, and France 96k.

6. More than 1.6 million businesses across the world accept payments via PayPal.

Recent PayPal data show that although a significant percentage (30 percent) of these sites are based in the United States, the remaining sites are located in every region of the world. There are the most people from the UK 109k and Germany 81k, followed by Italy 58k and France 55k.

7. Currently, 29 million different business accounts on PayPal exist.

When it comes to accepting payments online, PayPal has simplified the process for businesses all over the world. PayPal’s ease of use has won the hearts of many online merchants throughout the globe. It’s also popular with merchants because it doesn’t demand long-term commitments or regular payments. Additionally, PayPal has various features that make online buying safer and easier for its customers, which ultimately benefits business owners as well.

8. PayPal is used by 87.5 percent of all online shoppers.

While Visa Checkout is used by 51.2 percent of online buyers, the remaining 45.6 percent choose alternative options. This data on PayPal customers shows that PayPal is still the most popular and convenient online payment method.

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User Demographics Statistics of PayPal

One possible explanation for PayPal’s continued success is the company’s dedication to being at the forefront of technology developments so it can continue to serve a diverse user base in a variety of locations.

9. The average balance of American PayPal users is 485 USD.

According to a recent poll, the average American has just 196 USD in cash on hand but about 500 USD in their PayPal account. When given a choice between PayPal and a traditional bank account, 19 percent of Americans would rather use the former.

10. PayPal is the preferred digital payment method for 57 percent of German internet buyers.

Throughout Europe, nations like Germany and the United Kingdom, followed by France, Portugal, Italy, Spain, Croatia, Ireland, etc., have the largest market shares for PayPal, demonstrating the service’s widespread appeal.

11. More than 2 million Brits use the PayPal app each month.

Monthly active users of the PayPal app on iOS and Android devices in the UK were projected to reach 2.05 million by July 2020. Despite the impressive rhetoric, the usage of the PayPal app has been on the decline since February 2018.

12. By 2020, 9 percent of American minors will have their own PayPal account.

When it comes to young people’s usage of financial tools, PayPal is among the most common.

13. In the United States, those over the age of 55 make up more than 20 percent of PayPal users.

About a quarter of PayPal users in the US are between the ages of 25 and 34, while nearly a quarter are 55 and over. Twenty percent of the population is made up of people aged 45–54, while nineteen percent are between the ages of 35 and 44. Only young people (those aged 18–24) make up the remaining 14 percent.

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PayPal Revenue Statistics

Each year, PayPal’s billions in revenue are made possible by its countless customers all over the globe. The income, growth, and profit of PayPal throughout the years are all highlighted by the following statistics.

14. There were 15.4 billion transactions made with PayPal in 2020.

The number of transactions processed by PayPal each year has been doubling almost every three years. 2013 had3.2 billion; 2016 had 6.1 billion, and 2019 had 12.4 billion. In 2020, there were over 42.1 million daily PayPal transactions.

15. Revenue for the first three months of 2021 for PayPal was roughly 1.1 billion USD.

While this is a huge increase over the first quarter of 2020, when PayPal Company posted a profit of just 84 million USD, it is nevertheless a drop from the previous quarter’s (1.5 billion USD) net income. According to PayPal’s data, the company handled 285 billion USD in payments in Q1 of 2021. Another 14.5 million individuals joined the company’s community at that time.

16. About 2020, PayPal brought in 4.2 billion USD.

According to research, there has only been one year with a loss in yearly profit for PayPal. The firm’s net income in 2014 was 400 million USD, down by almost 500 million USD from 2013. After a year of struggling, the internet payment behemoth was back on track with 1.2 million USD in profits. In 2018, Paypal earned 2 billion USD, and that number is expected to quadruple by 2020.

17. Money sent via PayPal brought in 21.4 billion USD that year.

PayPal’s yearly revenue was “only”3.5 billion USD in 2010 but has increased year after year ever since. In 2016, it hit 10 billion USD; in 2018, it hit 15.4 billion USD; and in 2020, it crossed the 20 billion USD mark.

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PayPal Industry Statistics

18. The One Touch function on PayPal is used by almost 80 million users.

PayPal is continuously looking to better serve its customers, and its One Touch service stands out as an obvious success. This beneficial feature maintains the customer’s login credentials on a certain device, enabling them to shop more quicker by eliminating the trouble of logging in for every purchase. According to recent data, almost seven million businesses accept PayPal with One Touch enabled, and 80 million individuals have enabled One Touch.

19. In 2021, Payoneer’s revenue topped 100 million USD.

Even though the war between Payoneer and PayPal has been going on for a while, things have really heated up as of late. While Payoneer has not yet reached PayPal’s revenue levels, its rapid expansion is noteworthy. Research shows that sales for the firm in the first quarter of 2021 were 100.6 million USD, up 23 percent over the same period in 2020. Payoneer’s transaction volume also rose, reaching 13.3 billion USD in 2019 compared to 8.3 billion USD in 2020, an increase of 61 percent.

20. The percentage of the market that PayPal owned was 54.34 percent.

PayPal has more than 50 percent of the digital payment market share in the United States since it is used by about 500 thousand websites for everyday transactions. Stripe is PayPal’s top rival (19.14 percent), followed by Amazon Pay (3.88 percent).

21. PayPal purchased Honey Science for 4 billion USD in 2019.

Honey was acquired when it had over 17 million active users on a monthly basis and had saved its members over 1 billion USD. With the Honey purchase, PayPal is expanding its focus beyond the traditional “checkout” phase of a transaction to the whole buying experience.

Perhaps you’re wondering at this point what other businesses PayPal has invested in. Apart from Venmo and Honey, PayPal owns Similty,  Zettle, Hyperwallet, Braintree and Xoom.

22. In the year 2020, there were 52 million Venmo users.

Starting in January 2015, Venmo operated as a PayPal subsidiary. Venmo’s user base has grown significantly over the last several years, from 3 million in 2015 to 10 million in 2017 and 40 million in 2019. Yet the expansion isn’t limited to the number of the company’s customers.

In 2020, Venmo processed payments totaling about 160 billion USD, generating 450 million USD in income, an increase of 150 million USD from 2019. Is it better to use PayPal or Venmo? Really, it doesn’t. The circumstance is more akin to those in which one would use a service like PayPal or Venmo.

23. Over 25,000 people contribute to PayPal’s success.

About 26,500 individuals are employed by PayPal at 45 locations in 24 different countries. But where exactly does PayPal call home? While its major operations hub is in Nebraska, the company’s headquarters can be found in San Jose, California.

24. As of this writing, eBay has paid 1.5 billion USD to acquire PayPal.

Research shows that the acquisition was done in 2002 (the same year PayPal went public) (same year PayPal went public). eBay leveraged its new purchase to supplant its own online payment service, Billpoint. Thirteen years after its inception, PayPal broke away from eBay to become its own entity. So, who owns PayPal now? The Vanguard Group is its largest stakeholder at 7.48 percent, followed by BlackRock Fund Advisors at 4.51 percent.

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Statistics of PayPal Market Share

As a result of the proliferation of other payment processing channels in the interim, recent PayPal figures may suggest that the corporation no longer commands a dominant market share. It’s true that other options exist, but the global leader and what many consider the greatest option still has a leg up.

25. With 30,900 people on staff, PayPal is a major employer.

Approximately two-thirds of PayPal’s staff is devoted to Technology, while a sizeable minority (about a quarter) is in Sales. The customer service sector accounts for around 5 percent of the workforce.

26. PayPal spent more than 2 billion USD on research and development in 2019 alone.

Statistics reveal that funding virtually increased from 2017 to 2018, reaching a total of 1.83 billion USD. With such a focus on innovation and ongoing enhancement, PayPal continues to lead the pack in terms of speed, safety, and user pleasure.

27. More than half a million online merchants say they’ll accept payments via PayPal.

As of July 2021, slightly more than half a million websites used PayPal, making it one of the most widely accepted methods of online payment.

28. In the United States, 24 percent of all online purchases are made via PayPal.

The company’s 22 percent share of all online transactions in the United States is indicative of its significance in the lives of tens of millions of people, especially given the explosion in the number of online transactions in recent years.

29. Increasing from 17.77 billion USD in 2019, PayPal’s yearly revenue reached 21.45 billion USD in 2020.

Profits were 5.99 billion USD in 2012 and 9.25 billion USD in 2015. Its rapid expansion over the last decade has ensured that it remains at the forefront of the industry’s largest and most consequential payment processing hubs.

30. In terms of the online payment processing market, PayPal has a market share of 50.32 percent.

According to Statista’s report from September 2021, Stripe comes in second place, with 15 percent of the market share, followed by Braintree, Amazon Pay, and Shopify Pay Installments.

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FAQ

Q. How popular is PayPal?

More than 426 million people in over 200 countries and regions are registered PayPal users. Even more impressive, PayPal is accepted by more than 80 percent of online consumers. In sum, over 25 years after its debut, it remains the most preferred option.

Q. Which platform is PayPal’s biggest rival?

The likes of Skrill,Payoneer, Google Pay Send, Stripe Authorize, TransferWise, and Shopify Payments are just some of PayPal’s numerous rivals. PayPal, on the other hand, has a market share of over 50 percent and is thus the largest corporation of its sort.

Q. What is PayPal’s daily transaction?

According to PayPal’s figures for the year 2021, the service averaged 40,006 transactions per minute. That’s the equivalent of around 57,61,000,000 deals each day.

Q. Which country has the highest PayPal usage?

In the survey period between August 2020 and August 2021, virtually all respondents from Germany and the United Kingdom said they had used PayPal to make an online transaction. As of March 2022, PayPal is used by online shoppers in a broad variety of nations throughout the globe.

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Conclusion

By any measure, these stats show that PayPal is still the most popular and lucrative option for processing online payments. Users of various ages, backgrounds, and nationalities have found widespread success with the business because of its wide availability, lightning-fast performance, comfortable interface, and widespread presence throughout the world. PayPal is the best option for both company owners who want to accept online payments and consumers who want to utilize peer-to-peer and consumer-to-business payments.

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