American Express Creates Its Own Version Of PayPal: Amex Express Checkout

amexIt might be hard for one to argue that there’s a lack of options when it comes to digital wallets and mobile payment systems. The list that includes among others Apple Pay, PayPal, Google Pay, and Square is getting longer as American Express announced today that it would make a foray into the increasingly crowded sector with Amex Express Checkout.

TechCrunch reports that Amex is launching a new system similar to PayPal that allows cardholders to pay for products and services online by simply entering the password they already use to access their accounts.

The feature, which went live in the U.S. today, is starting with a select group of retailers including Gap, Hulu, Cole Haan, Sabon, 1-800-FLOWERS.com, Ticketmaster and Avis Car Rental.

Much like with PayPal, Amex Express Checkout transfers an account holder’s information to the merchant through a system that autofills details in real-time for select transactions. Users simply input their Amex account password to confirm the purchase.

Amex executive vice president for digital partnerships, Leslie Berland, tells TechCrunch that the credit card company made the decision to create Express Checkout after realizing consumers were ditching their traditional wallets in favor of digital ones.

The company developed the new system simply by building on their existing service that allows card members to make online payments through the Amex website.

In order to push out the new service to customers, Amex announced it would partner with mobile payment company Stripe to create automated integration. That means merchants that already use Stripe’s API can click a box to add the Express Checkout option.

Berland tells TechCruch that even though the company is setting out with its own system, it won’t be abandoning its partnerships with others, including Apple Pay.

“We’re partners with Apple Pay and our customers love Apple,” she said. “What they are doing at the point of sale is very exciting and we want to be a part of it. And when we talk more broadly we are comfortable and excited to be with all wallets, not one exclusively. We will have to see how merchants integrate them and what consumers want. For us it’s all about differences and differentiation in the future.”

Amex Negs Digital Wallets To Build Its Own Checkout, Pairs With Stripe To Spread It Wide [Tech Crunch]