PAYPAL UPDATES iPHONE APP

Tucked away in an annoucement for a slew of other things like a new micropayments product and an apps platform for business, Paypal had an interesting nugget. A new version of its popular iPhone app that allows users to find businesses near their immediate location that accept PayPal as a form of payment. Launching in San Francisco initially, the feature encourages merchants to attract nearby customers to their stores by posting deals and promotions to the app as an incentive for customers to visit their businesses.

Customers can search by category and location, and find and select stores, services, or special offers. Users can pick up the goods or services in person, but pay the merchant using their PayPal app. Users can also use tags from Bling Nation, a startup that has partnered with PayPal to use the startup’s mobile payment chips to deduct funds from a PayPal account.

One of the big selling points around using PayPal for merchants is the ability to offer deals as an incentive to drive buyers to a store or restaurant. Whether it be Groupon-like daily deals or just ordinary coupons, there’s no doubt that deals do help drive online to offline sales. [TechCrunch]