Paydirect and paypal in Germany

Paydirect and paypal in Germany

Fintech

Paydirekt is the German banks’ response to Paypal. The online payment service was launched at the end of 2015. Thus, it has been live for approximately one year now.

Details

  • Author: Frederik Gronwald
  • Appeared: 25.10.2016
  • Category: Fintech

According to data provided by the strategy consulting company LSP Digital and the Statista Market outlook, the first year of operations does not necessarily look like a success story. Having approximately 650,000 users and ownly 240 affiliated dealers, Paydirekt is quite a niche player in Germany. The service has the typical “chicken-egg-problem”: Customers require a significant number of affiliated dealers whereas these dealers will only connect if Paydirekt can provide a critical mass of active users. Moreover, Paydirekt can only be used in Germany whereas Paypal can be utilized in 201 countries worldwide. According to this, there is little evidence that Paydirekt will become a noteworthy competitor of PayPal.

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Contact

Address

LSP Digital GmbH & Co. KG
Johannes-Brahms-Platz 1
20355 Hamburg
Germany

Contact

E-mail: contact@lsp.de
Phone: +49 40 28 48 41 750
Fax: +49 40 28 48 41 799