Amazon's New PayPhrase Has Definite Shakeup Potential

Amazon on Thursday (Oct. 29) introduced Amazon PayPhrase, the first real acceleration of E-Commerce checkout in years, ever since one-click. But PayPhrase does one-click one better. Once set up, it allows shoppers to choose their own short phrase, which is then coupled with a password. After that, PayPhrase allows for purchases right from the product page. Amazon is pushing the very small group of retailers that have agreed to use Checkout By Amazon—including DKNY, Jockey, Patagonia, Buy.com, J&R Electronics and Car Toys—but the beauty of the rollout is that it fundamentally accelerates Amazon direct purchases by removing several key steps.

"Amazon.com customers can use their PayPhrase for express checkout wherever they see the PayPhrase button: on sites across the Web and on Amazon.com. Customers on Amazon.com simply find the item they want, type their PayPhrase into the PayPhrase button on the product’s page and click to instantly preview the total cost of their order, including shipping and tax," said an Amazon statement. "No need to 'Add to cart,' 'Proceed to checkout,' sign in or type in credit card information. If the customer is satisfied with their order, they enter their PIN to complete the order."

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