Amazon’s Purchase with Prime program, allowing Prime members to purchase electronics from third-party retailers using their Amazon login credentials, is expanding its payment options with the addition of PayPal.
As of now, Amazon enables Prime customers to utilize PayPal for checkout on websites incorporating the Buy with Prime API. Starting next year, Prime members will have the ability to link their Amazon account to a PayPal account, allowing Prime benefits to automatically apply whenever they shop using PayPal.
Retailers that participate in Purchase with Prime, a programme introduced in April 2022, can outsource the responsibility of ensuring seamless purchases to Amazon itself. The reality is that Amazon demands manufacturers’ retailers stock products in its own warehouses. Essentially, rather than replacing payment methods like Store Pay and Apple Pay, Buy with Prime offers an entire e-commerce experience within a single checkout button.
According to Amazon, the pace of growth for its Purchase with Prime offering is accelerating rapidly, with prominent brands such as Dollar Shave Club and IZOD joining the ranks to supply this service. According to the company, purchases made through Prime membership have increased by a substantial 45% compared to the same period last year. Furthermore, an additional 50% of Prime users have taken advantage of the “Purchase with Prime” benefit over the past 12 months, relative to the corresponding timeframe in the preceding year.
Despite Amazon’s upbeat portrayal, some sources counter that Purchase with Prime, while growing, remains a niche endeavour. According to Market Pulse’s Juozas Kaziukėnas, the requirement for manufacturers to send their stock to Amazon remains a substantial hurdle to entry; similarly, Shopify initially hesitated in offering the “Purchase with Prime” option at its storefronts.
Amazon has unveiled multiple enhancements to its Purchase with Prime offering, complemented by real-time inventory estimates featured in TikTok ads for participating retailers, as well as a streamlined checkout experience allowing customers to purchase products both with and without Prime benefits through Shopify stores.