PayPal introduces new AI-driven products and features
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Online payments giant PayPal recently unveiled a host of brand-new AI-powered features for the new year. However, the revelation of the plans to launch the tools did not convince the market of the company’s rise in value.
In fact, instead of growing, its shares saw another 4% drop in afternoon trading soon after the new features were announced.
PayPal to bring new AI-powered tools
PayPal’s new plans were unveiled by the company’s equally new CEO, Alex Chriss. Chriss announced six new innovations that would revolutionize commerce, according to the statement. The idea is for PayPal to use AI to make its service more personalized for both consumers and merchants, and make it easier and more pleasant to use.
One of the new features is called smart receipts, and it will use artificial intelligence to make predictions regarding the shoppers’ potential interests. It would then make recommendations at the shoppers’ favorite merchants’ stores based on past purchases. Apart from the personalized recommendations, the merchants will also be able to use the feature to provide cashback offers on this receipt.
AI will also allow the platform to provide merchants with the ability to reach customers based on what they bought on the internet – not just in their own store – down to the stock-keeping unit and the individual product that they might want to buy.
What else is PayPal about to launch?
Furthermore, the company is also preparing to roll out a one-click checkout guest experience. The new feature is known as the Fastlane, and it will not require a username or a password. Users won’t even have to share their credit card with businesses. Meanwhile, the feature will work with any company all over the web.
Chriss commented further, stating that PayPal is introducing six new innovations that will not only solve real customer pain points but also severely change the world of payments and commerce. While this is quite a statement, it is clear that Chriss and PayPal feel confident that they can deliver on this promise.
Unfortunately, it appears that the public is not yet convinced, as evidenced by the payment giant’s drop in share price, which went down by another 4% in afternoon trading after the announcement was made. Compared to January 2023, this brought the company’s stock down by over 20%.
At the time of writing, 11 AM EST on January 29, the company’s share price sits at 62.45, but that comes after the firm saw a strong recovery over the weekend, which continued with the arrival of Monday.
