Amazon Takes Aim at 'Guest Checkouts' with Login-and-Pay Service

Amazon.com Inc.'s new "Login and Pay with Amazon" is designed to let merchants accept payments from online shoppers without requiring them to create a dedicated account.

The goal of the service is to replace "guest checkouts" — which allow consumers to buy things online without creating a lasting relationship with the merchant — with an Amazon service that lets merchants recognize repeat customers. Login and Pay with Amazon builds on the existing Amazon Payments service, which lets merchants accept payments from the cards already linked to users' Amazon.com account.

"Amazon has more than 215 million active customer accounts," said Tom Taylor, vice president at Amazon Payments, in a press release. "Login and Pay with Amazon enables companies to make millions of our customers their customers by inviting online shoppers with Amazon credentials to access their account information safely and securely with a single login."

Amazon provides software widgets and toolkits to allow merchants to embed its new payments technology with their websites. The new Login and Pay with Amazon service allows merchants to provide order tracking, purchase histories and other information to returning customers.

"So far, the consumer adoption rates that we've been seeing with Amazon Payments have exceeded our expectations and we're excited to see the results once we start offering our customers the bundled solution of Login and Pay with Amazon towards the end of this year," said Ash ElDifrawi, chief commercial officer at Gogo, in a press release. Gogo provides Internet services on airline flights.

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