PayPal is taking its offline strategy to Australia, offering customers at several merchants the ability to pay for purchases using their PayPal accounts and their faces.

In a post on the company's blog, PayPal VP and managing director for Australia and New Zealand, Jeff Clementz, said the cardless and cashless payment option brings PayPal's vision for the digital wallet to Australian retail for the first time.

The solution looks very similar to the Square Wallet; it allows customers to check into a merchant's location so the counter employee can see their picture on the screen of a point-of-sale terminal. The associate then selects the customer's picture and the charge is placed on the customer's linked PayPal account.

A video of the PayPal solution is below:

Clementz said that by using the app, merchants can provide personalized service to regular customers and also reward them with loyalty programs. Additionally, retailers can connect with individual customers and recognize repeat visits and loyalty.

Meanwhile, customers get a convenient and quick payment option, Clementz said.

The PayPal solution expands on the Square Wallet concept in that it integrates with existing point-of-sale solutions from major providers like MICROS and Kounta through PayPal Here APIs. PayPal Here is the company's recently released mobile POS solution.

Upon integrating the solution, PayPal's millions of account holders in Australia are immediately enrolled and can pay at participating retailers using PayPal.

PayPal said four small retailers in Australia will pilot the solution with more partners coming online in the next few weeks and months.

For more stories like this, visit the POS research center.

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