Yesterday the business world saw two different deals take place between companies. PayPal and J.P. Morgan Chase came to a deal regarding expanded mobile payments, with the two rivals teaming up to get the deal done. Meanwhile, Sears and Amazon came to an agreement regarding Sears' well-known Kenmore Brand being sold on the dominant online retailer's website.
PayPal and Chase come to a deal
PayPal and J.P. Morgan Chase & Company, two of the most well-known companies that provide mobile wallets for customers, have announced terms of a deal they have struck.
Now, the two companies will be partners, as well as competitors, in the mobile wallet market. The deal is believed to help broaden J.P. Morgan Chase's smartphone application called Chase Pay service, which it launched in 2016 to increase the usage of its credit and debit cards in brick-and-mortar stores, as well as online.
For PayPal, the agreement will make it easier for their customers to load their Chase cards into their application, letting them use their Chase rewards points to buy good and services through PayPal. As part of the deal, J.P. Morgan Chase customers can now use PayPal to pay in retail stores. PayPal will also add support for Chase Pay as a payment method for merchants via Braintree.
The deal between the two companies is not expected to be fully rolled out until sometime next year.
Sears to sell Kenmore products on Amazon
Struggling retail chain Sears Holdings Inc has struck a deal with everyone's rival, Amazon, involving its Kenmore Brand of appliances. This deal marks the first time that Sears has agreed to sell any products directly through Amazon, as previously they were only available through third party sellers on the site.
The deal between the two companies includes sales of Kenmore appliances combined with home service offerings from Sears.
The move should hopefully give a boost to Sears, as it will give the retailer a new chance to broaden its reach to the millions of Americans who spurn brick-and-mortar stores to shop exclusively online. For online giant Amazon, they will get a new offering in their ever-expanding market for appliances.
Apart from closing a number of stores recently in an effort to shed costs, which saved more than $1 billion, Sears also sold its Stanley Black & Decker brand to Craftsman earlier this year for roughly $900 million. It will be interesting to see what happens next.
