In a move to offer consumers more payment options and flexibility, Microsoft is expanding its partnership with PayPal, integrating PayPal Pay Later and Venmo at checkout.
Currently, consumers in the U.S, UK, Australia, Germany, France, Spain, and Italy can select PayPal’s installment plan solution through the Microsoft Store when making a purchase. Consumers in the U.S. also have the option to pay for their purchases with Venmo.
By offering a variety of payment options, Microsoft is catering to a diverse customer base with different financial preferences and circumstances. Buy now, pay later services have grown in popularity over the years and Pay Later gives consumers the option to split their purchases into smaller installments—particularly on big-ticket items. Consumers paying via Venmo will also have the option to purchase subscriptions or split their payment into smaller installment at checkout.
“Our commitment to creating the best experience for customers is at the center of everything we do, whether it’s for entertainment or productivity,” said Ajith Thekadath, Vice President of Global Payments at Microsoft in a prepared statement. “The addition of new PayPal payment method options delivers on this commitment and offers even more flexibility for customers with tools that work for them and their goals.”
A Continued Partnership
Through these new integrations, both Microsoft and PayPal are working to offer consumers more flexible ways to pay, in addition to increasing customer loyalty. The partnership also gives both companies advantages. For one, by integrating PayPal’s payment solutions in Microsoft’s digital storefronts, both companies are able to broaden their reach—and potentially attract new customers, particularly those that may prefer to pay via PayPal.
What’s more, the partnership represents a broader shift we’re seeing in the e-commerce landscape. As more tech giants and retailers explore flexible payment solutions, online shopping experiences will become more tailored to consumers’ ever-evolving needs, preferences, and financial situations.
