Google to Launch Online Payments with GBuy; Peppercoin Eyes Small-Payments
is underway in the online payments world, as new payments options emerge.
Credit cards accounted for over 90%
of online payment volume in 2000, but will only account for a minority
of e-commerce dollar volume by 2009. Alternative online payments will
account for 26% of e-commerce volume by 2009, according to Celent.
According to Wall Street Journal, Google is set to introduce a test version of its GBuy online-payment service as early as this week. The service would challenge eBay’s PayPal online-payment service and others.
According to The 2006 State of Retailing Online, the ninth annual Shop.org study conducted by Forrester Research, Inc. of 174 retailers, 2006 online sales (including travel) are expected to rise 20 percent to $211.4 billion. Sales excluding travel will reach $138 billion.
|Others also see big promise in the online-payments market. In an interview with Red Herring, Mark Friedman, president and chief executive of Peppercoin, sees huge potential in the small-payments market. TowerGroup sizes the cash transaction market as $1.3 trillion. Peppercoin focuses on payments of $25 and under for online, mobile, and point-of-sale transactions. The company raised $4.25 million in its first round of institutional financing in 2003 from Pod Holding and private investors, and $8 million in a second round of institutional financing in 2005|