News Feature | October 15, 2013

Amazon Launches "Login And Pay With Amazon"

Anna Rose Welch Headshot

By Anna Rose Welch, Editorial & Community Director, Advancing RNA

Amazon’s online presence grows, while partner sites gain more customers


Amazon recently announced its new “Login and Pay with Amazon” service at Money 2020. This service enables partner sites to include a “pay with Amazon” payment button next to PayPal and credit card options at the end of the online checkout process. With this new service, Amazon has eliminated the often-daunting task of starting a new customer account online. Consumers now have the ability to quickly login with their Amazon credentials and complete their transaction with just a few clicks of the mouse.

This process also guarantees that partner sites will start seeing fewer “guest checkouts,” while Amazon will also capture a larger amount of online sales.

The new service is another step in Amazon’s recent attempts to advance payment services and expand its login system, putting it in direct competition with ebay’s industry-leading PayPal. Originally, Amazon’s payment services directed users to Amazon to authorize one-time or recurring payments. However, within the past year, Amazon has also launched its “Login with Amazon” feature, which granted customers on other sites, games, and apps the ability to login using his/her Amazon ID. Now, with the new “Login and Pay with Amazon” service, customers will be able to login to a partner site and authorize payments using their Amazon credentials.

One of Amazon’s initial partners in this venture is Gogo. So far, Gogo’s chief commercial officer states that using Amazon’s new service is providing Gogo customers easier alternatives to paying for Internet access — a service many Gogo users were craving, according to the company’s research.  Gogo is not the only company to report happier consumers. Other companies such as Zappos and Woot also report new and returning customers are choosing to sign up using their Amazon logins twice as often as other social logins.

According to Tom Taylor, Amazon’s vice president, “Login and Pay with Amazon enables companies to make millions of our customers their customers by inviting online shoppers with Amazon credentials to access their account information safely and securely with a single login.” With at least 215 million “active accounts,” Amazon is second in numbers of customer accounts only to Apple, with over 575 millions accounts on file. This new offer stands to give partner sites a better chance at building a larger and more loyal customer base, and a better grasp at maintaining customer profile and order information. At the same time, it positions Amazon as a player in the online payment space, which has long been dominated by rival ebay.

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