Amazon has introduced “Login and Pay with Amazon”, a mobile payment system designed to get more online stores using the largest online retailer as a clearinghouse for transactions. Via the video, which you can see below, Amazon is positioning itself against the likes of PayPal for your dollars, and the loyalty of retailers.
Touting their 200 million-plus accounts, Amazon is trying to appeal to a retailers’ better judgement: simply use Amazon, and customers will trust the transaction. Going through Amazon also allows retailers to track transactions, offer special discounts, and trace orders and shipments.
Amazon is also using mobile shopping as a platform for their service, noting that it can be used on any device, anywhere, at any time. By asking retailers to use their online payment system, Amazon is attempting to become more than a destination site for online shopping -- they want to be online shopping.
Of course, incumbents like PayPal and (to a much lesser extent) Square will do their best to keep business, but this is a massive move by Amazon. Creating profiles at various retailers is a bit cumbersome, and with 200 million accounts in-hand, Amazon presents a very strong case. They also have the ability to offer products on their site, which is visited by millions daily.
VIA: The Verge