A survey was conducted by JPMorgan which shows that PayPal is more dominating than Google Checkout. The survey was done for knowing the online spending behavior of the consumers. It shows that although Google Checkout has been adopted by 6% consumers in its first year but the adoption rate of PayPal is far ahead at 42%. Again 44% users of PayPal have had 'good' and 'very good' service experiences but only 19% users of Google Checkout experienced such kind of services.
This means Google needs to work on its payment operations. Another major finding of the survey is:
PayPal Maintains Its Leadership Position. PayPal’s 42% penetration rate in 2006 was 7x that of Google checkout. Additionally, 43% of respondents indicated that they would continue to prefer PayPal over Google Checkout, compared to only 2% that reported the inverse. Finally, PayPal maintains superior brand awareness over Google Checkout. More than 56% of the respondents in our survey reported having no familiarity with Google Checkout. We think Google will need to continue aggressive promotion in 2007 to increase product visibility.