PayPal launch ‘unwelcome’ campaign

This post was written in September 2008; specific information contained within it may be out of date.

File this one under ‘horrible negative marketing’: PayPal are launching an advertising campaign to ask online retailers if they are sending customers away by not offering PayPal as a payment method, reports Marketing Week. The “unwelcome” campaign shows shopkeepers holding “Go Away” signs, suggesting that retailers who don’t accept PayPal are turning paying customers away. The promotion will run both online and in print, and 2000 retailers are being sent actual “unwelcome” doormats: expect to see a few of those crop up on eBay shortly.

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Comments

46 Responses to “PayPal launch ‘unwelcome’ campaign”

  1. Board_Surfer on September 18th, 2008 6:17 pm

    Dear oh dear!

    Its a sad day when lame reverse psychology is the best they can do to drum up business.

    That said, it will probably work a treat.

  2. Whirly on September 18th, 2008 6:36 pm

    #1 I am surprised they even need to bother, it’s the one side of the eBay business that is delivering what it promises to investors.

  3. theknickermafia on September 18th, 2008 7:28 pm

    Yes! I hope I get one, its just what I need for outside my front door.

    Re the marketing….. if it raises awareness, its good publicity for them, simple as that really.

  4. Jimbo on September 18th, 2008 8:21 pm

    I wonder what percentage of PayPal’s revenue comes from eBay?

  5. Whirly on September 18th, 2008 8:24 pm

    #3 Not as much as you might imagine.

  6. dave on September 18th, 2008 8:55 pm

    Update re Paypal/Ebay performance

    http://files.shareholder.com/d.....5/ebay.pdf

  7. ebuyerfb on September 18th, 2008 10:45 pm

    Do people ever respond well to this kind of marketing? I don’t donate to my University because of stuff like this.

  8. Whirly on September 19th, 2008 5:55 am

    I booked a cab online this morning from Stansted for SB 2.0 and paid with Paypal,,

    I can use my mobile to tip the driver.!

  9. Jimbo on September 19th, 2008 7:58 am

    If I had the choice I would always choose to pay direct with a credit card.

  10. Sue Bailey on September 19th, 2008 9:04 am

    Jimbo, you’re not the only one. I have a LOT of buyers who will pay with PayPal on eBay, but credit cards on my website. I don’t think this is so much about particular buyers who are wedded to PayPal, so much as the convenience of the moment: if I don’t have my card on me, or have PP balance I want to use, offering PayPal might win you a sale that you’d lose if you made me get up off my bum and go find my wallet to pay you.

  11. Gill on September 19th, 2008 9:45 am

    Actually, since the Cotton Traders thing last year (no fraud here, but my card was stopped by the issuer and a new one issued), I’d always rather choose PayPal on a website if its an option.

  12. Jimbo on September 19th, 2008 9:49 am

    On a side note Protx have now intergrated PayPal. In my opinion it is a much tidier way of intergrating PayPal into your website (If you are a Protx customer)

  13. Brian Mitchinson on September 19th, 2008 10:03 am

    Hi

    Yes, I see what you are saying and I once swore that I would never buy anything on the Internet.

    Now I make my living (’ish!) by selling on the Internet and, to be honest often opt out of buying something if Paypal payment is not an option.

    Brian

  14. Sue Bailey on September 19th, 2008 10:10 am

    #12 Check the fees, Jimbo – you double them up by taking PayPal through Protx. Expensive way of being neat.

  15. Jimbo on September 19th, 2008 10:27 am

    #14 How does it double the fees Sue? I’m on the small business service (I had thought it was saving me).

  16. DavidT on September 19th, 2008 10:47 am

    I consider Paypal fees to be excessive, particularly when added to eBay fees; I have no choice but to offer PayPal on eBay but I won’t have it on my own site, even through Protx. I pay Protx a monthly fee which includes 1000 transactions (I wish!) within that fee, I then pay the merchants fees on top of that. The combination of Protx/merchants fees are way, way below what PayPal extorts.

  17. Sue Bailey on September 19th, 2008 11:03 am

    #15 You’re charged Protx fees AND PayPal fees (I have confirmed this with Protx support) on PayPal transactions processed through Protx. If you go directly through PayPal, you only get charged their fees. It may only be a small amount, or, as with DavidT, it may be included in your free transactions — in which case, keep an eye on it if you get busier.

  18. Steve James on September 19th, 2008 11:17 am

    Hi Sue,

    Strange, when I spoke to Protx about this they told me there were no extra fee’s for processing through PayPal. It was the reason I called as there is no point offering PayPal through Protx if it incurs yet another fee.

  19. Jimbo on September 19th, 2008 11:19 am

    #17 So in fact it doesn’t double my fees :smile:

    If your onto the corporate level with Protx it would still make sense in my opinion. You would have a neater streamlined check out (less clutter) + you would have less failed transactions + the number of PayPal transactions would (I suspect) be less as a % than if you had a separate check out routes on your website. The Protx fee per transaction would be .10p

  20. Sue Bailey on September 19th, 2008 11:25 am

    Steve… really? As in “processing it through Protx absolves you of PayPal fees”? or nothing extra as in “just the normal Protx fee if any plus just the normal PayPal fee”? The latter is what I was told by Protx support.

  21. Sue Bailey on September 19th, 2008 11:28 am

    the number of PayPal transactions would (I suspect) be less as a % than if you had a separate check out routes on your website
    Jimbo, that is certainly worth considering. If you’re way off the 1000 transaction limit, then I agree it’s worth doing – if you’re close to that, or on the corporate level with a lot of smallish transactions, I’d go with processing PayPal seperately.

  22. Kevin_T on September 19th, 2008 2:46 pm

    This, at a time when Ebay.com is effectively telling buyers who do not wish to pay by electronic means (with particular emphasis on PayPal) that they are unwelcome. I still receive a few cheques from the UK and the USA – I don’t like Ebay sending those customers away.

    Oh the irony!
    Kevin

  23. Kate on September 19th, 2008 7:35 pm

    I have a buyer in Germany who has bought 10 CDs from me this week – but only because I said he could pay by bank transfer. He said he didn’t want to buy them if Paypal was the only option. I’m not willing to lose a sale like that thanks very much.
    And bank transfer is much cheaper for me (ie free).

    I don’t think German buyers like Paypal very much, this is not the first time that this kind of thing has happened.

    I’ve also had a couple of cheques this week, and I don’t want ebay sending those customers away either.

  24. Super Max on September 20th, 2008 12:27 am

    Personally I will look else where if paypal is the only option.

    As a business man though I do offer it, the more choices the better.

    The reasons not to offer paypal as the sole option are simple:

    a) They don’t accept several oddly formated cards, for example, some 18 digit solo or maestro cards.
    b) Lots of people end up with their paypal accounts frozen or blocked through fraud/misuse and as it takes ages to unblock them often don’t bother, thus are unable to use paypal.
    c) Lots of people hate paypal as a company.

  25. ebuyerfb on September 20th, 2008 3:23 am

    if I don’t have my card on me, or have PP balance I want to use, offering PayPal might win you a sale that you’d lose if you made me get up off my bum and go find my wallet to pay you.

    That is the one great thing about PayPal. However I got tired of locating my wallet so I just memorized the number. I don’t know how it is over there but here it is usually 16 digits + expiration + security number. That is only 23 digits.

  26. ebuyerfb on September 20th, 2008 3:27 am

    @ #23

    I don’t think German buyers like Paypal very much, this is not the first time that this kind of thing has happened.

    Even eBay Germany doesn’t trust PayPal.

    http://www.tamebay.com/2008/06.....aypal.html

  27. northumbrian on September 20th, 2008 8:12 am

    cant understand why any buyer would even consider paying in any other way than with paypal,

    they just about execute sellers if the item does not arrive or is not as described
    any buyer who pays via bank transfer is daft
    you have got their dosh then

  28. northumbrian on September 20th, 2008 8:18 am

    when I buy on ebay
    the fact I can use paypal and the security it offers is more important to me than the sellers feedback
    I know my money is as safe as it can be,
    may be that is why paypal suffers such vitriol from sellers

  29. northumbrian on September 20th, 2008 8:22 am

    though as a seller their spanish inquisition attitude pees me off

  30. Jimbo on September 20th, 2008 9:50 am

    PayPal is great for eBay but there are a few of things I don’t like.

    As a seller: The poor leval of phone support, eCheques, The way disputes are handled.

    As a buyer: That you have to link a bank account (after a certain spend). That payment defaults to “PayPal balance”.

    For a large value transaction I would always feel safer using a credit card (especially in the present financial climate).

  31. northumbrian on September 20th, 2008 11:05 am

    “For a large value transaction I would always feel safer using a credit card (especially in the present financial climate).”

    eh?
    half the buggers are flapping about like fish out of water, not able to finance their lending

  32. Whirly on September 20th, 2008 11:54 am

    Paypal is great for buyers when things go wrong and bad for sellers when things go wrong.

    If I could use paypal to make a big purchase like a car etc I would, simply because if the slightest thing went wrong with it I could put the fear of god into the seller in 5 seconds flat. The guys who sell on eBay motors and offer Paypal are stark raving bonkers.

  33. Sue Bailey on September 20th, 2008 12:09 pm

    #32: I *did* use PayPal to purchase a car – Mr Biddy went to see it, phoned me and said “yeah it’s fine, pay the guy”. Even though it was straight off my debit card, it came up as an echeque because it was so much more than my usual amount spent with PayPal. How embarrassing was that.

    Fortunately for us, the buyer was a very sweet newbie, was utterly impressed that someone with a zillion feedback was buying his car, and said he trusted it would clear. Thank goodness it did!

    In the future, I might pay with a bankers draft or cash, I think :-D

  34. Jimbo on September 20th, 2008 12:38 pm

    I wonder what would have happened if I had bought an XL holiday with PayPal?

  35. northumbrian on September 20th, 2008 1:10 pm

    the same as the poor sods that paid with credit card and were not covered thru ATOL

  36. Jimbo on September 20th, 2008 1:41 pm

    Credit Card purchase are automatically protected by the Consumer Protection Act,

  37. FenLex on September 20th, 2008 1:55 pm

    Credit card purchases are indeed protected, though via the Consumer Credit Act (not the Consumer Protection Act).

    That does NOT necessarily apply to purchases (even credit card funded ones) made via PayPal.

  38. Board_Surfer on September 20th, 2008 2:09 pm

    The folk that sell cars and take paypal are actually very smart

    vehicles are excluded from PP’s buyer protection.

  39. northumbrian on September 20th, 2008 2:34 pm

    Credit card purchases are indeed protected, though via the Consumer Credit Act .
    yeah yeah,
    and you cant speed, and you cant park on double yellows
    garages dont over charge, restaurants only ever serve fresh food

  40. FenLex on September 20th, 2008 4:43 pm

    39 – I meant the emphasis of what I was saying to be on the fact that a buyer using PayPal probably forfeits what protection they would otherwise have by using the very same credit card.

    It is something that PayPal don’t exactly publicise and is, to my mind, an accident waiting to happen.

    But, put it this way, I wouldn’t pay for an airline ticket with PayPal at the moment.

  41. Super Max on September 20th, 2008 7:38 pm

    Like north says, most of these guarantees are pretty worthless, but I’m more prepared to trust the consumer credit act’s protection of all purchases over 100 with my credit card more than I am paypal’s.

    And believe me i don’t trust my bank much, and i trust paypal less.

    (as an aside it was quite funny going into a Halifax branch on Thursday to pay a few thousand in and going to the cashier ‘bet I’m the first person you’ve seen today paying money in’)

  42. northumbrian on September 20th, 2008 8:38 pm

    banks, credit card companies, online payment providers
    little difference with any of them , most are legalised bandits,
    they hide behind small print and legal teams,
    there only purpose is to get as much of your dosh as they can

  43. Super Max on September 21st, 2008 6:02 am

    #42 north, I just wish i could open a bank, its always looked like a license to print money to me, even the banks going bust the guys at the top have made millions in bonuses.

  44. FenLex on September 21st, 2008 9:47 am

    43 – In Scotland and Northern Ireland, banks DO have licenses to print money, which is why LloydsTSBScottishWidowsCheltenham&GloucesterHalifaxBankofScotland will be putting up a brass plate on The Mound in Edinburgh!

  45. Ian Ferguson on October 2nd, 2008 7:27 pm

    I received one of these doormats yesterday. Unfortunately for PayPal’s marketing team, I was scammed through PayPal a couple of years back and haven’t forgiven them for the lack of customer service I received… so I’ve posted pictures of the Unwelcome mat and had a little rant here.

    If anyone wants it, I’m open to offers. Just don’t expect to pay me through PayPal…

  46. Ian Ferguson on October 2nd, 2008 7:31 pm

    I just posted here but it was marked as spam and rejected :(

    Anyway: I received one of the Unwelcome doormats yesterday. Unfortunately for PayPal, I have a bit of a grudge against them after being scammed one too many times, and receiving a complete lack of customer service.

    I have posted pictures of the mat and had a little rant here:
    http://ianferguson.blogspot.co.....-your.html

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