PayPal's CFO stated on December 5, 2024, that the company is looking to create a more profitable unbranded payment business line by targeting higher pricing for its Braintree services. This strategic shift prioritizes margin expansion.
The move is part of PayPal's broader strategy under CEO Alex Chriss to focus on profitable growth, even if it means shedding some lower-margin volume. This approach aims to optimize the financial profile of its enterprise relationships.
By adjusting pricing for Braintree, which handles credit card processing for large merchants, PayPal seeks to enhance the profitability of its unbranded payment offerings. This could lead to improved financial performance in the long term.
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