Amazon just pulled one hell of a fast one on the e-commerce world, and no one saw it coming. Ready for this? They’re bringing PayPal into the fold. Whaaa?

(Source: Giphy) 

Yup, you heard dat right. Elon Musk and Peter Thiel's early year brainchild (the OG of online payments), is now being integrated into Amazon’s “Buy with Prime” service. Because, you know, why not?

(Source: Tech Crunch) 

For starters, let’s back up a quick second. In case you’ve been living under a rock or you just don’t give a sh*t. Buy with Prime launched in 2022, and it’s been quietly creeping up in the U.S. e-commerce scene, like a forgotten subscription service that suddenly starts charging you again. 

The whole point? You get to use your Amazon Prime account to shop on third-party websites and still juice those Prime shipping perks like it’s the glory days of 2015. And guess what? Apparently, people are really into it. Buy with Prime orders have jumped over 45% year-over-year because, of course they have. Meanwhile, the number of merchants signing up to let Amazon take over their checkout process has ballooned by 25%. In other words, this thing’s got some serious legs, and Amazon’s milking this baby for all it’s worth.  

(Source: Giphy) 

But, but, but…  Now this whole experience is getting a jolt of the good stuff with Paypal being incorporated into the Buy with Prime checkout process. Meaning, starting now, shoppers can use Paypal to splurge on websites that include Amazon's streamlined Prime benefits. 

Whereas, by 2025, Amazon plans to roll out an even deeper integration, where you can link your Amazon and PayPal accounts. This means you get your Prime benefits automatically slapped onto any PayPal purchase made through Buy with Prime. Because obviously, Amazon isn’t satisfied until they’ve got their yacht sized tentacles in every friggin pot. 

(Source: IBD) 

Of course, on the surface, this may not seem like a big deal since Paypal has definitely had a presence on Amazon’s interface for some time. However, Peter Larsen, VP of Buy with Prime and Amazon Multi-Channel Fulfillment (Goodness, what a title), said it best when he stated, “Both services have seen significant growth over the last year, and we’re delighted to add to the momentum and partner with PayPal, Google, TikTok Ads, and Shopify to give brands even more options to grow their businesses.” 

The opportunity? Amazon is on every corner of your biggest expense (think, wife/husband or kids) online experience. Whether they are doom scrolling on TikTok, surfing through Google, or visiting random Shopify websites from clickbaity Instagram ads - Amazon will be right there utilizing PayPal to siphon your money. 

(Source: Giphy) 

Translation: Amazon and PayPal are about to become the Bonnie and Clyde of e-commerce, and they’re dragging everyone else along for the ride.

Naturally, this move is already shaking up Wall Street as Mizuho Securities is waving the PayPal flag, sticking the company with an Outperform rating and a price target of $90. Analyst Dan Dolev didn’t mince words, calling it a “significant first step” for PayPal to finally collaborate with Amazon. Meaning, this = huge. Because as we all know, when Wall Street starts getting hyped, there’s definitely momentum that follows… especially in the short run. 

(Source: Investing.com) 

Additionally, this PayPal move comes at a time when Amazon is doubling down on its quest to own every aspect of your online shopping experience. They’ve been beefing up their Multi-Channel Fulfillment service, which now serves over 200,000 U.S. merchants.

And just because they can, they integrated ReturnGo last fall to make returns even easier for merchants. Because why not make it even simpler for people to buy crap they don’t need, only to return it two weeks later?

(Source: SupplyChain Dive) 

So clearly, this is all a part of Amazon's core grand plan: Make shopping easier and more addictive for both consumers and merchants, while making sure no one else has a chance to compete. And spoiler alert: it’s working.

Merchants using Buy with Prime have seen a juicy 16% increase in revenue per shopper. Not too shabby. Oh, and during this year’s Prime Day orders for Buy with Prime merchants spiked by a ridiculous 300%. Yeah, you read that right—300%. Let that sink in this Saturday, while you wonder why your local indie shop can’t stay open.

(Source: Giphy)

So, in the end, what’s the takeaway here? Well, obviously Amazon isn’t F’ing around. By linking up with PayPal and expanding Buy with Prime, they’re setting the new standard for online retail. Convenience? Check. Speed? Double check. More payment options? You bet your friggin a$$. 

Plus, let’s not forget Amazon is still Amazon. They’ve got the data, the logistics, and the infrastructure to back all this up. Partnering with PayPal is just their latest way of squeezing the rest of the world for all the money they have with the message being as clear as ever: Amazon’s still the king, and everyone else is just trying to survive in their shadow.

(Source: The Street) 

In the meantime, you know the drill: Keep an eye on Paypal and Amazon as we head into next week's trading. This is a major catalyst that could definitely impact prices for both these stocks… so act accordingly. 

And as always, stay safe and stay frosty, friends! Until next time…

Stocks.News holds positions in Amazon as mentioned in the article.