Walmart Canada launches PayPal payment option

Dive Brief:

Walmart Canada now has PayPal as a payment option on Walmart.ca, the retailer announced last week.
Customers who pay with PayPal at checkout can buy their goods with their bank account, Visa debit card or credit card linked to their PayPal account, the company noted in its statement.
Walmart Canada is the first Canadian retailer that sells groceries to offer PayPal as a payment option, per the company's statement. The same announcement highlighted a new PayPal-commissioned survey, which found that 30% of Canadians are shopping online for groceries during the pandemic.

Dive Insight:

Before the COVID-19 pandemic disrupted retail, Walmart had already made strides in payment options here in the U.S. The retail giant partnered with Capital One last September to launch two credit cards, teamed up with Green Dot in October to continue offering prepaid cards through 2027 and debuted a cashierless Neighborhood Market store in January.

The retailer has also introduced some additional shopping options during the pandemic in the U.S., including providing contactless options for in-store, pickup and delivery and introducing a special pickup hour for at-risk customers to shop safely during the coronavirus outbreak.

Based on its announcement, the PayPal option is meant to give Walmart Canada customers another secure payment choice now that more customers are shopping online. Prior to the pandemic, 19% of Canadian consumers reported engaging with online grocery shopping, according to a PayPal commissioned survey. However, a more recent survey involving the company revealed that close to one in three Canadians are now shopping online to buy groceries. Additionally, the same survey found that 81% of respondents said they anticipate shopping online "the same amount or more" in the coming months.

"In the current climate, we understand that shopping online for groceries and other everyday essentials is the need of the hour," Paul Parisi, PayPal Canada president, said in a statement.

Walmart has recently seen a spike in app downloads, but it isn't alone. As consumers shift their spending to essential items, other grocery apps have also seen an increase in downloads.