PayPal revolutionized online payment and broke the ice for future online transactions. It is an online payment system that allows users to send money to each other and businesses through the web or a mobile device. PayPal also supports credit card and bank transfers and allows users to transfer funds to and from their bank accounts. Additionally, users can use PayPal to make purchases online, receive payments and even conduct business transactions. The company also offers protection against fraud and identity theft and buyer and seller protection. PayPal is currently accepted in over 200 countries and regions worldwide and is available in 25 different currencies.
Furthermore, PayPal allows users to set up recurring payments, which can be extremely helpful for businesses. Finally, PayPal allows its users to access their accounts from anywhere in the world, making it easy to conduct transactions anytime and anywhere. To learn more about PayPal, keep reading the following statistics.
Since September 22, 2022, PayPal has been the global leader, with around 42% market share of online payment processing software technologies.
PayPal is one of the world’s largest internet payment companies. The company is a payment processor for online vendors, auction sites, and commercial users. PayPal’s services give people access to transfer money online by granting the possibility to transfer funds electronically between persons and enterprises. It charges a fee in exchange for benefits such as one-click transactions and password memory.
PayPal Competitors’ Shares in the Global Market
|Company||Global Market Share|
|Shopify Pay Installments||13.50%|
In the U.S., PayPal’s market share is 59.63% of all online payment processing technologies.
(Source: Wall Street zen)
Paypal is the sole leader and almost in league with its own. More than half of the market share belongs to PayPal in the United States. In second place is Stripe, with a market share of 14.49%.
PayPal Competitors’ Shares in the U.S. Market
|Company||Market Share in the U.S.|
How Much Is PayPal Worth?
In 2021, PayPal’s estimated total value was $237.37 billion.
(Souce: Buy bitcoin worldwide)
PayPal was last evaluated on November 12, 2021.
Paypal shares price hit its highest peak on February 16, 2021, at $304.79.
(Source: Market Screener)
In its beginning in 2002, PayPal Holdings Inc held its IPO at $13 per share. During the pandemic, the share dropped to $86 per share, but in 2021 recovered, and according to Market Screener, now it is at $274.14 per share.
In December 2022, the estimated market cap of PayPal was $78.95 billion.
(Source: Companies market cap)
The estimation was last done in December 2022. By market cap, PayPal takes 159th place in the list of the world’s most valuable companies. As we can see from the table, the market cap of PayPal in 2020 reached its peak; in 2021, it still held high numbers, but in 2022 it decreased significantly. The table below shows data for the estimated market cap at the end of each year from 2015 to 2022 and the change year on year.
|Year||Market Cap, billions||Change|
PayPal Revenue Growth
PayPal reported record revenue of $25.4 billion in 2021.
As we can see from the table, there is steady growth from year to year. The revenue in 2021 is 3.9 billion, higher than $21.5 billion a year earlier in 2020. $9.9 billion is the increase in PayPal’s revenue from 2018-2021. Below is the table data for PayPal’s revenue from 2018-2021.
|Year||PayPal Annual Revenue|
For the first three quarters of 2022, PayPal generated $20.14 billion in revenue.
The numbers show a 9.1% increase in revenue compared with the first three quarters of 2020, with revenue of $18.45 billion. The company’s improved performance was driven by solid revenue growth, cost discipline, and a lower effective tax rate.
In the third quarter of 2022, PayPal’s net revenue increased by more than 10% compared to the Q3 of 2021.
According to Statista research, PayPal’s revenue in the third quartal of 2022 was $6.81 billion compared to $6.18 billion in the third quartal of 2021. Since online consumers discovered mobile shopping possibilities, more people have started using them, and PayPal wisely used them to their benefit.
PayPal’s revenues are predicted to grow 9.59% per year, much faster than the U.S. market average of 6.67%.
(Source: Wall Street zen)
According to Wall Street analysts, PayPal’s revenues are expected to grow. There is a consensus that PayPal shares are a strong buy, with a one-year price target of $114.00 by November 2023. They predict that the highest price share will be $180 and the lowest price share will be $75.
How Many People Use PayPal?
There are currently 432 million active PayPal accounts.
PayPal is a trusted, secure, and convenient way to send and receive money online, and it also provides a host of other services, such as merchant services, payment processing, money transfers, and more. It is straightforward to set up an account, and payments can be made in just a few clicks. It is also widely accepted by merchants and customers worldwide, making it one of the most popular digital payment solutions.
There were 426 million active PayPal accounts globally in 2021.
The number of active PayPal accounts in 2021 grew by 13% compared with 377 million active accounts in 2020.
75% of Americans have PayPal accounts.
(Source: Investments & Wealth Institute)
A recent study showed that PayPal is American users’ primary choice for digital payments. 27% of respondents answered that they use Cash App, 26% – Google Pay, 22% – VISA Checkout, 20% – Amazon Pay, and 19% – Apple Pay. With 25% of American respondents stating they use Venmo, it is clear that it only adds to PayPal’s success since Venmo has been a part of PayPal since 2013.
81% of U.S. millennials and 79% of Gen-Xers utilize PayPal.
(Source: Investments & Wealth Institute)
Compared to Cash App, only 42% of millennials are its users, which means that PayPal is still ahead of the competition.
PayPal User Growth
In the first three months of 2022, PayPal accepted 2.8 million new users.
(Source: Money Zine)
From April to June 2022, PayPal added 0.4 million. PayPal’s users are growing from quarter to quarter; however, the second quarter of 2022 had the lowest user growth since 2010.
Number of PayPal Users Worldwide from Q1 2018 to Q3 2022
|Number of Users in 2018||Number of Users in 2019||Number of Users in 2020||Number of Users in 2021||Number of Users in 2022|
|Q1 – 237 million||Q1 – 277 million||Q1 – 325 million||Q1 – 392 million||Q1 – 429 million|
|Q2 – 244 million||Q2 – 286 million||Q2 – 345 million||Q2 – 403 million||Q2 – 429 million|
|Q3 – 254 million||Q3 – 295 million||Q3 – 361 million||Q3 – 416 million||Q3 – 432 million|
|Q4 – 267 million||Q4 – 305 million||Q4 – 377 million||Q4- 426 million||n/a|
PayPal Users By Country
PayPal is available in more than 200 countries and supports 25 currencies.
50 countries in Africa are using PayPal as an online payment method. South, North, and Central America has 47 states where Paypal can be utilized. The Asia Pacific region has 41 countries where PayPal can be used as an online payment method. In Europe, PayPal is available in 49 countries.
According to Built With, the U.S. has the highest usage of PayPal, with 943,373 websites.
(Source: Built With)
The second place in PayPal usage is the United Kingdom, with 280,775 websites. Germany is in third place with 269,231 websites that use PayPal, closing in second. Below is the table data of PayPal usage by country, selecting the top ten.
|Country||Number of Websites Using PayPal|
|The United States||943,373|
|The United Kingdom||280,775|
Data on PayPal users by country shows that 92% of online consumers in Germany use PayPal for their online shopping.
As we can see from Statista research on PayPal users by country, the top of the list is dominated by Europe countries, except Australia, which is taking up the third place with 84% of online consumers preferring to pay with PayPal. The United Kingdom is second on the list, with 88% of online consumers using the PayPal platform for their internet purchases. Interestingly, PayPal in Europe is used for payments; only Germany, Austria, and the UK use the platform to pay in restaurants, stores, or other post terminals.
|Country||Restaurants, stores, or other post terminals||Percentage of online users of PayPal|
How Many Transactions Does PayPal Process a Day?
41 million transactions are done through the PayPal platform on average per day.
The number of daily transactions increased by 20.58% compared to 34 million transactions processed daily in 2019. An astonishing number of transactions prove the wide usage of the PayPal platform worldwide and its enormous influence in the online digital payment market.
How Many People Work at PayPal?
PayPal has had 30,900 employees since 2021.
PayPal also created a new Career Pathways program to support career growth and development by providing employees with personalized coaching and development resources tailored to their individual career goals. This includes providing employees access to an online career portal, 1:1 mentorship, and specific activities for further skill development.
Overall, their goal is to provide the employees with the resources and support they need to excel in their current roles and build successful careers at this company. With these initiatives, PayPal believes it can foster an environment that encourages learning, growth, and innovation.
43.7% of all PayPal employees worldwide are women.
Through recruitment and retention efforts, PayPal is furthering its commitment to diversity, inclusion, equity, and belonging. The company actively seeks out diverse candidates for open positions and ensures that candidates from all backgrounds are represented in their hiring process. PayPal is also expanding its recruiting efforts to target underrepresented groups and ensure that its talent pool reflects the diversity of its company and the communities they serve.
PayPal has a 56% diverse workforce representation.
This culture creates an environment of trust and respect that allows employees to reach their full potential. PayPal also strives to ensure that employees are supported and empowered to contribute to the company’s success. Through its benefits, rewards, and recognition programs, PayPal ensures its employees are rewarded for their hard work and efforts.
PayPal has remained a leader in the industry due to its ability to stay ahead of the curve. This is seen in its investment in new technologies, such as artificial intelligence and blockchain, and its focus on increasing user convenience. PayPal has an established reputation for providing secure payments and protecting customer data. Its customer service is also highly rated, which helps to ensure customer satisfaction. With all these factors working in its favor, PayPal will likely remain the leader in the digital payments industry for many years.
What percentage of transactions are PayPal?
PayPal accounts for 14% of all U.S.-based online transactions.
In the first quarter of 2022, PayPal further increased its transactions to 5.61 billion transactions. This growth is attributed to the increased demand for online payments from businesses and consumers. As the global economy continues to recover from the pandemic, more businesses are turning to online payment methods, and PayPal is meeting this demand with its wide range of payment solutions. The company has also seen an increase in user engagement and usage of its services. In Q4 2021, PayPal reported that total payment volume (TPV) grew by 37% year on year, and total active accounts grew by 20%. This growth reflects the increasing number of people turning to digital payments as the pandemic continues to disrupt traditional payment methods.
Who is PayPal’s most significant competitor?
Stripe might be PayPal’s most significant competitor now. It is a valuable alternative to PayPal, and in 2021 it was estimated at $95 billion. Stripe offers advantages like international payments, fast transfers, and secure payment options. It has many customer payment options, including Visa, Mastercard, American Express, Discover, and Apple Pay. Stripe also allows businesses to accept cryptocurrency payments and provides features such as fraud prevention, chargeback protection, and automated invoicing. Furthermore, Stripe has a wide range of integrations with leading eCommerce platforms, making it one of the best alternatives to PayPal. Aside from Stripe, Google Pay, Apple pay, and Payoneer are good alternatives for PayPal and are among the most popular digital wallets.
Does PayPal have a promising future?
PayPal’s focus on e-commerce will likely pay off in the long run. As more and more shoppers begin to prefer the convenience of online shopping, PayPal will be well-positioned to capitalize on this growing trend. Additionally, the company is already seeing strong growth in international markets, which suggests that its strategies could also be successful in other regions.
In 2020 and 2021, PayPal rose due to e-commerce growth and online consumer spending. However, this year, according to Motley Fool, PayPal shares have declined. The company is also making strategic moves to position itself as a digital payment leader. It recently acquired Honey Science, a digital coupon and loyalty platform, and has been expanding its digital wallet capabilities. However, it is essential to remember that past performance is not a reliable predictor of future performance. Even if PayPal’s share price experiences a bull run in 2023, there is no guarantee that it will reach a 20% gain. The stock market is inherently unpredictable and can be subject to significant price swings in the short term. Therefore, investors should understand the risks involved before investing in any stock. Despite the stock market turmoil, PayPal is still a strong company with a vast market opportunity. It is worth watching as it continues to make moves to capitalize on its potential.
Investments & Wealth Institute