About a year ago, Mastercard and Paypal managed to generate some waves by burying the hatchet and working together to make mobile and digital payments more widely accessible to consumers online and offline.
That partnership is reportedly getting an upgrade with an announcement as of today that the two firms have expanded their partnership in the Asia Pacific region in their ongoing joint efforts to bring more consumers to digital and mobile payments channels worldwide.
The deal will make it easier for Asia Pac consumers to use PayPal as an option at a physical point of sale while allowing enabling Masterpass for Braintree merchants in the region.
The two firms will also work jointly to leverage Mastercard’s new payment flow technologies in the hopes of increasing value to Mastercard cardholders, financial institutions, and PayPal customers.
PayPal consumers and small businesses across Asia Pacific will additionally pick up the ability to cash out funds held in their PayPal accounts to a Mastercard debit card.
“We’re excited to extend our long-standing partnership with Mastercard into Asia Pacific,” said Rohan Mahadevan, Chief Executive Officer, PayPal Pte Ltd and Senior Vice President, APAC, PayPal Inc. “Our partnership will continue to drive innovation, accelerate the move to digital payments, and improve payment experiences for our mutual customers in the region, unlocking the potential to millions of customers to more freely spend and move their money.”
The collaboration will also streamline consumers' efforts across the digital ecosystem — consumers will be able add Mastercard-branded cards into PayPal from their banking apps. The partnership will also allow consumers to choose Mastercard as their default payment method to allow for quick and easy check-out.
PayPal will get to expand its presence at the point of sale by utilizing tokenization services from Mastercard.
“Whether paying in the physical or digital world, consumers want to see the familiar Mastercard brand from their chosen issuer,” said Rama Sridhar, Executive Vice President, Digital and Emerging Partnerships, Asia Pacific, Mastercard. “This expansion of our partnership with PayPal reinforces our commitment to our cardholders in the region to deliver the simple, speedy and secure payment experience they’ve come to expect from Mastercard. Furthermore, the agreement provides a number of joint growth opportunities that will advance Mastercard and PayPal’s shared vision to offer consumers greater choice and flexibility to pay and move their money.”