Feb 7 Amazon.com Inc on Tuesday said
its payments business processed nearly twice as much money in
2016 than it did the year prior, as the e-commerce giant
launched the unit in more countries and for a wider range of
The service, Pay with Amazon, lets shoppers use their Amazon
accounts instead of filling in their credit card information to
make purchases on another organization's website.
The world's largest online retailer did not disclose how
much money in total it processed but said the average purchase
was $80 in 2016, down from $84 in 2015.
Seattle-based Amazon started the service in 2013 after
several earlier attempts in the payments space, and it competes
with PayPal Holdings Inc, Apple Pay and
The number of customers who have tried Pay with Amazon since
its inception increased to 33 million in 2016 from 23 million
the previous year, Amazon said in a news release. Amazon takes
a 2.9 percent cut for U.S. transactions, plus a 30-cent
authorization fee, according to its website.
The service is another way Amazon is profiting from its
trove of customers' credit card and shipping data, along with
its marketplace platform that lets third-party sellers reach
Amazon shoppers. Amazon said it expanded the payments business
into France, Spain and Italy in 2016.
(Reporting By Jeffrey Dastin in San Francisco; Editing by