Venmo shouldn’t be limited merely to make and share payments to your friends, you can pay for your favorite apps as well. Operated by PayPal, Venmo is a free digital wallet that has become a payment platform after it opened up its API to third-party apps and services.
Venmo loaded with amazing and simple features. Users can pay for event tickets, gourmet meals, and many new users, partners and features available soon. Just like paying to shop, Venmo enables users to pay inside other apps using the service. Even, paying through a Paypal button on a website is also possible.
The first major attempt is represented by this feature to monetize Venmo that came into eBay’s business through its $800 million acquisition of Braintree that owns Venmo in 2013.
How Users Can Make Payment with Venmo?
Those people, who are familiar with PayPal, can easily make payment with Venmo when they are shopping. Users won’t need to plug in their credit card info when purchasing in an application instead, they have to sign-in and pay with their Venmo account.
According to Quartz, this feature will roll out to PayPal merchants eventually and Venmo is probable to control the relationships of PayPal subsidiary Braintree that processes payments for some of the most popular apps like AirBnB, Uber, and Stubhub.
Before Venmo announced news about its open API, the news was broken by Quartz by saying it is planned that the Venmo feature will be rolled out to the PayPal’s existing base of merchants. If that was true, then it would boost its scope and possibly turn it into a mobile-era PayPal. Of course, there is huge competition in the mobile market.
PayPal itself has mobile-centered products, having PayPal.me, peer-to-peer app. On another side, Snapchat and Facebook Messenger are the popular messaging applications that used by Venmo, offering a payment solution. Moreover, there is Android Pay, Apple Pay, and Samsung Pay too as payment solutions and integrations.
Stock Price Rose When Venmo Opens Its API For All
Venmo also shows the popularity of payments. It raised 202% more than the past year and processed $2.1 billion in transactions in the 3rd quarter of 2015. However, the profit margins for money transfer services are awfully thin, and technology is creating the act of sending money a commodity. Undeniably, the stock price of PayPal grew around 6% in after-hours trading on Wednesday and the firm’s revenue rose 17% year-on-year in Q4 2015.
Do you have an idea of Mobile Payment System or want to integrate payment system in your existing app?
Space-O Technologies has developed payment app Ftcash that aims to make payment through mobile wallets, debit and credit cards for your daily utilities. ftcash also won PayPal’s Start Tank incubation challenge. Recently, ftcash got funding of US $5 Lacs from investors to expand their app’s functionality.