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Having just launched earlier this month, PayPal Holdings Inc.’s Fastlane checkout has lined up processor and competitor Adyen NV as a partner. Designed to accelerate guest checkout flows, Fastlane is meant to help e-commerce retailers boost their conversion rates.
Reducing friction in the guest-checkout process can help boost conversion rates for e-commerce merchants, PayPal says. Increasing conversion among consumers using guest checkout is important, as many online shoppers prefer to check out as a guest even if they have registered an account with the merchant, according to PayPal. Fastlane can help convert shoppers more than 80% of the time while reducing time to check out by 32% compared to a traditional guest checkout, based on PayPal internal data from this spring.
Fastlane also uses a so-called accelerated checkout model because shoppers can save the card and shipping information, which can be prefilled on subsequent transactions
Though Amsterdam-based Adyen does not disclose discrete merchant data, its North American revenue in the first half of 2024 increased 30% year-over-year, making it the processor’s fastest-growing region again. Some of its U.S. clients include sporting-goods retailer Scheels, Crate & Barrel, and Pet Supplies Plus. Adyen opened a U.S. office in 2012.
PayPal says Adyen’s customer base is ideal for Fastlane. “This strategic partnership aligns with our goal to make PayPal available everywhere customers shop globally,” Alex Chriss, PayPal president and chief executive, says in a statement.
The two payments companies have had various partnerships, including Adyen offering PayPal, Venmo and PayPal’s buy now, pay later financing. In 2023, Adyen became the acquiring bank for global payments platform Klarna AB in North America, Europe, and Asia.
