PayPal has introduced a method of paying for goods using QR codes so that customers won’t need to use the point-of-sale terminal in a shop at all.

The payment method is being introduced to 28 territories around the world as a response to the Covid-19 pandemic and aims to enhance safety for retailers and customers by eliminating the need to use a card terminal.

In essence, the retailer, whether a supermarket or a local coffee shop, a hardware store or an off-licence, generates and prints a QR code which can be displayed at various points in the shop, or placed on the table with a food and drink order. 

The customer, who must have a PayPal account and wallet, points their phone camera at the code, enters the amount of the bill, and sends the cash to the retailer’s account using their PayPal app.

Senior vice president John Kunze said: “We know that in the current environment, buying and selling goods in a health-conscious, safe and secure way is front of mind for many people around the world. As the coronavirus situation has evolved, we have seen a surge in demand for digital payments to transition to include new in-person environments and situations. 

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“The rollout of QR codes for buyers and sellers not only incorporates the safety, security and convenience of using PayPal in person, but also takes into consideration ongoing social distancing requirements, even as we start to see some restrictions lifted around the world.”

Global merchant services VP Maeve Dorman (pictured) added: “Covid-19 has changed the shopping experience. Not only do people need security and convenience, they now need to be able to sell and buy in a way that is quick, safe and involves limited social contact. Digital payments, and this QR code functionality, allow for this and could be the means through which small Irish businesses survive during the crisis and potentially thrive in the future.”

As well, PayPal will not charge its standard transaction fee on any transaction using the new QR code system. 

Sellers can minimise physical interactions with their customer, while also limiting the customer’s interaction with checkout technology. There is no technology to touch or purchase – just aim a smartphone camera at the QR code, whether printed or shown on another screen.

The customer goes to their PayPal app, clicks ‘Send’ and then taps the QR symbol in the top right-hand corner. The camera opens to scan the seller’s QR code and the customer follows the prompts to complete the transaction.

Full details on how retailers can set up the system are available on the PayPal website here.