PayPal was founded in 1998 as a new internet currency to replace the US dollar. It grew significantly after being acquired by eBay in 2002. PayPal's annual revenue has increased from $0.2 billion in 2010 to over $10 billion in 2017, while annual payment volume and number of payments have also sharply increased during this period. PayPal now faces competition from other digital payment companies but expects long term success if it remains attractive to business partners and consumers.

1. Sawit Trisirisatayawong
PAYPAL COMPANY PRESENTATION

2. WHY PAYPAL
Most preferred methods
of online shoppers worldwide
Founders & Early Members Upcoming Events
2
nd

3. PROBLEM/PERSONA

4. COMPANY PRODUCT
Initial Aim: To create new internet currency to replace the US dollar

5. PRODUCTS

6. COMPANY FINANCIALS
0.
2.
4.
6.
8.
10.
12.
14.
2010 2011 2012 2013 2014 2015 2016 2017
PayPal Annual Revenue
Annual revenue in billion U.S. dollars

7. COMPANY FINANCIALS
0.
50.
100.
150.
200.
250.
300.
350.
400.
450.
500.
2012 2013 2014 2015 2016 2017
Annual Payment Volume
Payment volume in billion U.S. dollars
0.
1.
2.
3.
4.
5.
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8.
2012 2013 2014 2015 2016 2017
Annual Number of Payments
Net number of payments (in millions)

8. COMPANY FINANCIALS
0.
50.
100.
150.
200.
250.
300.
Q1
'10
Q2
'10
Q3
'10
Q4
'10
Q1
'11
Q2
'11
Q3
'11
Q4
'11
Q1
'12
Q2
'12
Q3
'12
Q4
'12
Q1
'13
Q2
'13
Q3
'13
Q4
'13
Q1
'14
Q2
'14
Q3
'14
Q4
'14
Q1
'15
Q2
'15
Q3
'15
Q4
'15
Q1
'16
Q2
'16
Q3
'16
Q4
'16
Q1
'17
Q2
'17
Q3
'17
Q4
'17
Q1
'18
Q2
'18
Q3
'18
Active Registered Account
Active registered accounts in millions

9. BUSINESS MODEL
Transaction Revenue Other Value Added Services

10. PAYPAL FOUNDERS
Peter Thiel Max Levchin Luke Nosek Ken Howery

11. PAYPAL MAFIA

12. COMPANY HISTORY
Public launch of product
December
1998
September
1999
February
2002
July
2002
September
2013
July
2015
Established as Cofinity by
Max Levchin, Peter Thiel,
Luke Nosek, Kevin Howery
Company’s Initial Public
Offering
Acquired by eBay Split off from eBay
Acquired Braintree (Venmo)

13. SECRET SAUCE
TimingSimplicity

14. COMPETITION
0 20 40 60 80 100
Other
2Checkout
Skrill
Neteller
Masterpass
Venmo
Google Wallet
Apple Pay
Amazon Pay
PayPal
Most popular online payment services
Share of respondents

15. COMPETITION
Peer-to-Peer
Transfer
Online
Payments
In-Store
Payments
Wallet Store Loyalty
Cards
PayPal ✓ ✓ ✓ ✓
Apple Pay ✓ ✓ (limited) ✓ (limited) ✓ ✓
Google Pay ✓ ✓ ✓(limited) ✓
Amazon Pay ✓ (limited)

16. UPCOMING EVENTS

17. PREDICTIONS
Success*
Possible short-term impact from end of agreement with eBay
Long-term success depends on ability to remain attractive to
partner platform

18. REFERENCES
1. Thiel, P. (2014). Zero to one: Notes on startups, or how to build the future. London: Virgin Books
2. https://www.fool.com/investing/2019/01/19/paypal-is-fully-prepared-to-lose-ebays-business-ne.aspx
3. https://techcrunch.com/2018/01/31/paypal-sees-24-revenue-growth-in-its-latest-quarter/
4. https://money.cnn.com/2018/02/01/technology/paypal-ebay-payments-split-adyen/
5. https://www.pymnts.com/in-depth/2015/throwback-thursday-paypals-biggest-days-in-history/
6. https://blog.warstory.co/how-paypal-used-robots-to-acquire-users-in-the-early-days1-7042326ec8ff
7. https://www.telegraph.co.uk/technology/11106473/The-PayPal-Mafia-Who-are-they-and-where-are-
Silicon-Valleys-richest-group-of-men-now.html
8. https://medium.com/platform-thinking/how-paypal-and-reddit-faked-their-way-to-traction-
9411fb583205
9. https://www-statista-com.proxy.lib.umich.edu/statistics/218493/paypals-total-active-registered-
accounts-from-2010/
10. https://www-statista-com.proxy.lib.umich.edu/statistics/419778/paypal-annual-payments/
11. https://www-statista-com.proxy.lib.umich.edu/statistics/419783/paypals-annual-payment-volume/
12. https://www-statista-com.proxy.lib.umich.edu/statistics/382619/paypal-annual-revenue/