I am not sure what you mean? I can't imagine any way that paypal would reduce sales? The more payment options you offer the better..
There are still people that arent familiar with paypal. With that being said, I am completely familar with them and use then an a regular basis but if I were to go to a site that only uses paypal as its method of payment, I'm reluctant buy from said company. In the end it has nothing to do with paypal directly but since the company cant process credit card orders directly it just looks unprofessional. Perhaps I've just seen to many fly-by-night companies and scammers.
Thats quite easy to figure out. You got a Potential Customer on your site willing to shell out money using his Credit Card. But alas your site don't accept Credit Cards. What happen next is you lost a sale. Case 2: If your product can be purchased by global users then you should know that Paypal is not supported in quite a number of Countries. You will lose sales of all those potential customers coming from Non Paypal countries.
On my website I offer two methods of payment, one with credit card and the other one with Paypal. Some customer just feel more confident when the can pay with Paypal, because they are protected. So, I think that paypal increase the potential of sales, more possibility of payment = more money in.
Not all countries allow or support the use of Paypal. - Which would lead to the loss of some customers... But, if Paypal doesn't want to deal with them, then I surely don't want to deal with them....
Really disagree I would rather pay through secure paypal then enter my credit card details directly into a website! You know you are paying with safty when using paypal, how do i know when I enter my credit card details they are not being recorded by the website. Paypal always
paypal could be a pain in the ass as you could get a high amount of chargebacks even selling virtual goods.
Credit card processing can be fairly expensive, especially for companies that are trying to start up without investors or taking our loans. I would be far happier to pay with Paypal than to hand over my credit card numbers to an online company.
Some people feel that anyone can use PayPal so people that use PayPal to sell might not be as reputable as companies that use Credit Card processing.