LONDON—PayPal Inc. expanded its “Text 2 Buy” program with an offering that allows users in the United Kingdom to purchase magazine subscriptions and consumer electronics over their phones.
Dutch software developer Mowave Inc. is powering the service, which offers a range of goods advertised in the U.K. versions of Maxim and Stuff magazines. Users can text in a keyword and confirm the transaction to have goods shipped to their home—with the costs billed through PayPal.
“Readers will always have a mobile close by when they’re leafing through a magazine, and the phone can immediately connect the printed page to the wider digital universe in a very personal way,” said Andy Schachtel, president of Mowave. “This service is an important step in introducing consumers to the potential of mobile commerce.”
PayPal, which is owned by eBay Inc., expanded its digital payment service to mobile earlier this year, but the company has yet to gain traction among U.S. wireless users. Cingular Wireless L.L.C. prohibits direct-to-consumer vendors from accepting PayPal or credit card payments; other U.S. carriers are also looking to restrict third-party payments, which often leave operators cut out of the revenue chain.