PayPal is extending its offline payment strategy to the pump. Gilbarco Veeder-Root, a provider of point-of-sale solutions for convenience stores and gas stations, has announced it's integrating PayPal's digital wallet into its equipment. Over time, Gilbarco said, it will add other PayPal solutions into its suite of media and merchandising applications.

"Our customers recognize PayPal as a global leader in digital payment, and we are excited to work with them on this innovative solution and to collaborate on a number of other retail initiatives," said Mike Schulte, president of Gilbarco North America. "The PayPal mobile solution will be a cornerstone of our suite of retail applications."

For its part, PayPal said the deal means that its solutions could be deployed in thousands of new locations.

"We want to help consumers save time and money, while helping the convenience store industry drive loyalty in the store and at the gas pump," said Don Kingsborough, vice president of retail services for PayPal.

The deal with Gilbarco is another in a string of partnerships PayPal has pursued in the past year to move from being an online payment processor to being a player in the offline payment space. PayPal, owned by eBay Inc., has signed similar deals with retail POS-maker Ingenico and card brand Discover. 

Gilbarco Veeder-Root is based in Greensboro, N.C., and provides payment and point-of-sale technology to 19 of the 20 largest convenience store chains in the U.S. 

Read more about retail.