 Live from Las Vegas, it's theCUBE, covering Magento Imagine 2019, brought to you by Adobe. Welcome back to theCUBE Live from Las Vegas. Lisa Martin with Jeff Frick. We are coming to you from Magento Imagine 2019 with about 3,500 or so folks here, big community, big open source spirit. We're very pleased to welcome from the keynote stage Jenny Chang VP at PayPal. Jenny, welcome to theCUBE. Thank you, thanks for having me, Lisa. So really enjoyed your keynote this morning, and we'll get into a lot of those specifics, but just looking at Magento Adobe, this evolution of e-commerce that's really driven by consumers. We want to have everything right on our phone as easily as possible, and we went out lightning fast. Talk to us about what you've seen this evolution of e-commerce and where we are today. Yeah, it's been a fascinating journey to watch us move from point of sale, move from brick and mortar to online and engaged. And I think as part of that, you think about the amount of time you spend on your mobile phone. It's not surprising that most sites, 50% of the visitors on that site are on their mobile devices, and they're staying longer. Maybe you're killing time, right? Waiting for your husband to finish something or your child to come out of class. And so we naturally tend to get on our mobile phones and we look for things to do. So that engagement on the mobile phone, it becomes absolutely critical. And what's been fascinating as part of the conference, we've been sharing some early results about mobile optimization. And what we're finding is even though engagement is going up from a mobile phone, the revenue is not there. It's a big gap. Yeah, there's a big, big gap. And you look at that and you think, well, I need to figure out how to actually convert some of these people are coming to my website. So we've been partnering with a lot of the SI community here, really interested in trying to understand best practices. And it's been a fun process for almost the last year. Things that you would think would help conversion don't necessarily help. And then the very interestingly enough, other things that you may have said, well, that seems unnecessary or busy on my mobile phone are actually improving conversion. So we've been really just sharing our early results and really encouraging everyone to participate. It's free. And we want to do is really come up with best practices and really help everyone essentially convert more and get more revenue. There's two things that strike me as you say that. One is just the behavior of a mobile phone interaction is so different. As you said, it's often when you're waiting. You're waiting in the grocery store line. You're waiting to pick up your kid, you're waiting. So it is a much more kind of frequent fast in and out, which we keep hearing, right? You need to connect with people over time in multiple ways. But the other thing when you say the conversion is actually not as high as you would expect, but at the same time we're hearing now that content is so much, so important and having things that aren't directly commerce to drive your engagement with that client in the way of content and forums and other things. I wonder if maybe that's why the conversion is there. You're getting them there, which is great. They're hanging out longer, which I'm sure is a terrific metric. So maybe they're not converting because they're engaging with that other content or more engaging with the brand. What did you see? Well, it's a combination of a couple of things. And one of them to your point is, for better or worse, you're easily interrupted when you're on your mobile phone too. That's true. So when we have you, how can we quickly get you past that point of checkout, right? And I think part of that is as you know, if you're like me, I will fat finger and have a difficult time typing on my mobile device. So one of the things we talk a lot about is removing that friction. So how do you make it really easy, right? So if you're able to store your credentials, if you're able to make it simple to check out, right? That's ultimately the goal for a lot of our merchants here, which is when we've got you, we've got to capitalize on your attention right at that moment in time and make it super easy for you to convert. One of the things that's been interesting about the optimized kind of mobile optimization results we've seen is that what we're finding is that a lot of people, what they're looking for at that point of engagement is coupon codes. And you'll get distracted. You'll think, well, I'm going to buy that, but maybe I need to go look for a coupon code. Go back to my email, maybe they sent it. And so, you know, so there are a lot of interesting ideas that we're having as a community to share. How can we do that? How can we make sure maybe you get your coupon code, but you don't click off and disappear and maybe forget to come back? I'm notorious for doing that. I'm also notorious for putting something in my shopping cart, getting distracted and walking away. And so I think a lot of it is looking at these various ways to make sure you are back and engaged. And I think this is a big part of where the journey will go with e-commerce going forward. I think we'll be looking at now that we've got your eyeballs, now that we've got your time. How do we convince you this is going from a browse mode to a actual shop mode? Right, creating more shoppable moments as Magenta's marketing material says. But also to your point about simplicity, probably for even any generation is, it's basic marketing. Don't deliver a great piece of content and have a hyperlink in the first sentence that's going to take your audience somewhere else. In the experience, use enough of my data. What do you say, enough of the data to where it goes from creepy to- To magic, right? Right, right, right. If it works, it should be magic, right? But I already bought the tent. Now I need a sleeping bag. Don't keep sending me tent ads, right? Right, but that simplicity is sort of in-app, inexperience, consistency is really key. Otherwise to your point, at your point, we're doing this often while we're doing something else. So there's a lot of multitasking going on. Make it easier, but also use the data with these systems that you're integrating with to know exactly about a tent. I don't need one, but I might need these other things. Right, right. And I think that's really where things are moving with artificial intelligence and machine learning. We're trying to understand you as a shopper and be able to predict, right? What else? You know, so you've gone from the tent. Now maybe it's time to get a little, you know, camper. Maybe that's your next step up. Maybe you move into an RV. Who knows, right? So I think there are evolutions to that buying experience. The other evolution, which PayPal is at the very beginning was the alternative payment methods, right? Not just your basic credit card or cash. And I don't know if a lot of people know that you guys have Venmo, which if you have kids, you know, if you don't have young kids, you probably don't know what Venmo is. But I wonder if you've got a take on, you know, as these alternative methods to buy come up. But then we're also surrounded with alternative financing types of platforms where they're not using traditional FICA scores. They're not using kind of a traditional apply, get approved process. It's really dynamic on the financing side as well. Yeah, and to your point, so PayPal, one of our best kept secrets I like to say is that we have both Braintree and Venmo as part of our overall services. And then even broader than that, what we've done is packaged up the ability to really think about alternative payment methods based on what region you're at as well. Because depending on where you are outside the US, you might actually use a completely different payment method. And I think for us in the US, we're not as familiar with some of these other payment options. And what it does is it really allows for a lot more cross-border trade as well for our merchants as they look and offer kind of what is most relevant to, again, get you to go from browse mode to actually checkout mode and to get to that actual conversion piece. So that's one of them. And then I would say just generally on the credit comment, we actually credit at PayPal as well. And what we're always looking at is, what are other ways we can help people finance and really kind of work through the evolution of payments? I think some of the statistics that you've probably heard related to savings in the US especially is a bit staggering. We have, on average, the majority of people have less than $400 in savings, so one paycheck away. And the reality is it's tough. That's really, really tough. And so I think to be able to have a source of credit where you could bridge that gap and to your point not have to go through the entire kind of credit process necessarily, I think having those options are always good. Talk to us about what you guys are doing with Walmart. You showed that in your keynote this morning that it was very interesting from a collaboration and a partnership standpoint. I'm very passionate about this because PayPal overall has a mission of democratizing financial services. And I think we're very fortunate being in high tech and being in the situation we are, where we're able to not be intimidated necessarily by all this new technology and all the different options out there. So the partnership with Walmart was at the end of last year and it really was looking at how do we get people access to their PayPal dollars easier, faster? And we continuously see this divide between the digital and the physical realms of accessing money. And so we opened up an option partnering with Walmart for the US, which is it's really easy. Your PayPal app, you bring up a unique barcode, you can go into a Walmart store and essentially like a debit card, debit it out of your PayPal account and the Walmart cashier hands you the cash, which is super convenient again and an easy way to get to your money if you need something immediately. So I'm really excited and proud of that. So you said you launched that last year. Yeah. Talk to us about some of the data, the market data that demonstrated that this was a good direction for PayPal to go in to be able to open up this as the ability to give people more access to their dollars, whether they're online or in physical locations. Yeah, I think it's one of those overall statistics we look at a lot because we're really looking at continuously bridging our open two-sided network. We've got this great merchant base, 21 million merchants. And then we're at almost round track to be almost 300 million consumers. And when we look at the consumer side and you think about Venmo, you think about PayPal, we really started as a peer to peer right now. Oh, I owe you 20 bucks for dinner last night. Let me PayPal you that money. Let me Venmo you that money. And at some point the question becomes, well then how do I easily access my money? How do I make sure that I have access to it again, not just digitally, but physically? And I think when we're looking at those realms, we're looking at more options to give people that ability that if they need to get to that cash quickly, they can get to it quickly. They don't need to worry about getting to a bank. I think the reality is it's easier to get to a lot of Walmart stores in the US than it is necessarily to every bank out there. And so I think we're constantly looking at where can partnerships really add value to our overall customer base. And as I mentioned this morning's keynote, I love when partners really can work together and it becomes truly a little bit of a trite saying, pedal one plus one is greater than two scenario. And I think when you can do that, it adds so much value to both sides of the equation. And that's what's really exciting for me. That's why I love partners. But also giving cut consumers choice, where I think this morning in your keynote you showed this cute picture, daughter approved, of your girls 10 years ago and then today. And 10 years ago, you couldn't just go in and app and order groceries. Or you were saying when, you know, your mom would have to go multiple stores to get what you want and now we can get it so easily. But there's also this sort of interesting dynamic where people still want to have that physical interaction depending on the type of product or service. So being able to give customers that choice of being able to transact it through the app or online or being able to access their money, for example through Walmart. I mean, oftentimes if I'm running out running errands and I don't have my wallet and I know, all right, I know the stores, I can use certain payment methods from my phone and that's great because I have that choice and that's something that seems like PayPal is working to facilitate is meeting consumer demand where it is. Yeah, and I think that's the reality of where we live right now, which is our customers want us there at that point of engagement. So don't make me necessarily come to you. I would like you to come to me. And for better or worse, it is a little bit of the overall experience that they're looking for, which is to say, I've got my favorite places to either shop or engage on my mobile device. So make it easy for me. And I think that's ultimately what we're kind of looking for. I know as a working parent, I'm always looking for convenience and I've said I'm going to write a book on convenient parenting because I think it's worked for me. That would probably be a best seller. I think parents of humans are canines. I think we could all use that convenience factor. I've got a furry child as well, so yes. I'm curious what we're going to see in the next year or two with that conversion of actually enabling an organization to not just have a great mobile experience, whether it's with like progressive web apps that they were talking about this morning, but it's one thing to have a great mobile experience. It's a whole other thing to convert that to revenue. So be curious to see with partnerships with PayPal, for example, with Beno, how merchants of any size are actually able to start increasing conversion from visitor to revenue. Yeah, and I mentioned it as part of what we're doing with what we're calling smart payment buttons. And I think that smart payment button concept is really again, focused on giving you options to check out with whatever's easier for you, but also looking to say, let's make it easy. So how do you do that without having to type everything again? Because if you're an avid online shopper like I'm at, it becomes tiresome to feel like you have to sign up at every website or you have to enter all your shipping information again, your payment information. And so I think it's really looking at, how do we give you that digital wallet access so that you have the ability to make it easy? Yes. And I think that's ultimately what we're kind of all looking for is how do you make it convenient, easy for me to do what I want to do and do what I have to do? Spend more of my money. Well Jenny, thank you so much for joining Jeff and me on theCUBE and talking about what you guys are doing at PayPal with your partners with Magento, et cetera. It's very interesting and we look forward to seeing great things to come. And that book is about online community parenting. Yes, watch out for it. I'd like an advance copy. Thank you. Thank you. Our pleasure. Okay. For Jeff Frick, I'm Lisa Martin live. TheCube is live at Magento. Imagine 2019 from Las Vegas. Thanks for watching.