Getting Paypal out of the
performance plateau.

PayPal is a global digital wallet-based e-commerce payments provider. Established in 1998, PayPal is one of the world’s largest internet payment companies and as of 2013 has moved $180 billion in 26 currencies across 193 nations and generates revenues of $6.6 billion.


PayPal was seeing a plateau in the activation of new customers and a decline in the frequency
of usage of their products among their target audience in the Asia-Pacific region. Xerago was
brought on board to identify possible causes and to make recommendations to counter this.


Xerago’s analysis
of the Marketing operations revealed the following.

  • No personalized customer campaigns or offers were being run
  • Campaigns were required to be run across the Asia Pacific at various
    region-specific timelines
  • Although PayPal possessed IBM Unica, its capabilities were severely
  • PayPal’s audience was predominantly categorized under consumers
    and business (merchants)

Xerago realized that the key to PayPal’s success lay in reaching out to customers and merchants through
personalized, one to one offers run on multiple channels including email and SMS. The entire campaign would
have to be structured around a tight campaign strategy to ensure a relevant and timely delivery across various
places in the APAC.

Xerago’s consultants worked with PayPal’s Marketing teams to architect the marketing turnaround, and helped set up
several segmentation rules for both customers and merchants. After a careful study of the vintage and transaction frequency
of PayPal’s customers and merchants, Xerago identified about 18 customer segments – Inactive, Active,
Churned etc. and 23 Business (Merchant) segments including High Volume, Low Volume, Churned etc.

Xerago created a detailed campaign process documentation and workflow that ensured an efficient running of
campaigns across all countries in the APAC region. Xerago ensured that all responses are captured correctly and
created a closed loop marketing capability at PayPal.

Xerago also created several campaigns that would run on its own based on seasonality and the sensibilities of the
financial payments vertical. Apart from this, triggers which would sift through financial transactions and identify
campaigns, were set up. All these new campaigns were allied with PayPal’s brand and communication strategy. Xerago
streamlined the entire campaign development, scheduling and execution process using existing marketing
investments in Unica and associated tools.

Jump-starting marketing velocity, Xerago helped PayPal create at least 25 ad-hoc campaigns and 5 behavior-
triggered campaigns which were rolled out every quarter.

Additionally, Xerago identified and suggested on-the-ground improvements for streamlining the efficiency of
campaign operations across automation, direct mail and Mediaplex.


  • IBM Unica Campaign 8.5
  • IBM Marketing Platform
  • MediaPlex


Over 200 campaigns were designed and executed. PayPal saw higher ROI and increased
customer activation.

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