Final Design
+20%
sign-up conversion
We simplified the CIP process with clearer steps and fewer distractions to help more customers complete onboarding without dropping off early.
+30%
in app-activations
A redesigned activation flow with intuitive guidance and real-time progress reduced confusion and shifted customers away from phone-based activation.
-25%
IVR login-related calls
We removed clutter and clarified CTAs on the home screen, helping customers log in or sign up without needing additional support.
100%
key flows tracked
By integrating Quantum Metric early, we ensured our team could track sign-ups, activations, and engagement in real time to inform future improvements.
User Testing
After wireframing and prototyping, we conducted multiple rounds of user testing to validate our design decisions and ensure the revised onboarding flow addressed key pain points. The focus was on usability and clarity of messaging, especially around card activation and the connection between the prepaid card and PayPal.
We tested the new flow with 5 participants who actively use prepaid debit cards, focusing on:
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Clarity of Card Activation: Could participants understand the difference between “Activate Card” and “Link Activated Card”?
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Onboarding Flow Expectations: Did the sequence of creating an account, activating the card, and linking with PayPal feel intuitive?
"Replacing my expired card, linking it to my account, and loading funds was way too inconvenient."
Opportunity Defined
A significant portion of PayPal Prepaid customers were activating their cards by phone instead of through the app. This behavior created a critical gap in engagement, limited feature adoption, reduced data capture, and lowered overall Lifetime Value (LTV). The onboarding flow was underperforming and holding the product back.
Where customers got stuck
Activation confusion
Users struggled to navigate between account creation and card activation, leading to frustration and abandonment.
Outdated design
The platform’s visuals were inconsistent and outdated, creating a lack of trust and a poor user experience.
Unclear messaging
Copy was often vague or overly technical, making it hard for users to understand what to do next—resulting in more drop-offs.
Let's understand why users drop-off
To uncover the root causes of onboarding drop-off, we conducted a full platform audit. This included a heuristic evaluation of the existing flow, paired with analysis of user feedback, surveys, and support complaints. Our goal was to identify what was blocking users from completing activation and where the experience was falling short.
Data-Driven Insights
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80% of user issues were tied to onboarding, confirming it as the largest barrier to app adoption and activation.
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Users who activated their cards in-app had a 50% higher lifetime value, highlighting the long-term payoff of an improved onboarding experience.
Introduction
PayPal's Prepaid Debit, a flagship product generating $30M in ARR, was facing a decline in app acquisition and engagement, particularly during onboarding. This was directly affecting product performance and profitability.
To address this, we redesigned the onboarding experience to reduce drop-offs, boost in-app card activations, and improve satisfaction. The result: higher engagement, stronger loyalty, and a measurable lift in activation and retention.
$30M
ARR Product
+50%
IVR Activation
20%
Onboarding drop
Boosting Sign-Ups and Activations for PayPal Prepaid
Timeline
5 months
Platform
Responsive web and app
Role
Lead Product Designer
Hypothesis
Less Noise, More Clarity
Streamlining the logged-out screen with fewer distractions and clearer sign-in messaging will boost clarity and reduce IVR calls by 25% within 6 weeks.
Clear Steps, More Activations
Simplifying activation with clearer steps, real-time feedback, and a progress bar will increase activation rates by 30% and reduce support calls by 20% within 3 months.
Faster Sign-Up, Fewer Drop-Offs
Simplifying the CIP flow with clearer instructions, fewer steps, and a progress bar would increase sign-up conversion by 20 percent and improve satisfaction within 8 weeks.
Where ideas took shape
To address the identified challenges, we conducted brainstorming sessions and explored various design concepts. Key areas of focus included:
Approach 1: Account First
Given the unique onboarding experience involving both in-store purchases and digital activation, we explored the possibility of an account-first approach. This model would allow users to establish their account and basic information before proceeding with the more complex steps of CIP/KYC and card activation.
Rationale: By separating the account creation process from the verification steps, we could minimize upfront friction and encourage more users to complete the initial stages.
Potential Benefits: A simplified initial step might encourage more users to complete the onboarding process and activate their cards leading to increased conversion rates.
Challenges: Significant development time, potential disruption to existing users, and increased risk of introducing new errors.
Approach 2: Optimizing Existing Flow
For this approach, we aimed to optimize the current flow by revisiting the Customer Identification Program (CIP) and Know Your Customer (KYC) guidelines and enhancing the onboarding process through improved UX elements. This involved keeping the existing flow structure intact while introducing features designed to make the experience more intuitive and user-friendly.
Rationale: Refining the current flow while incorporating enhancements could provide a more targeted solution.
Potential Benefits: Faster implementation, reduced disruption to users, and a more focused approach to addressing specific pain points.
Challenges: Limited scope for radical changes, potential for missing opportunities for innovation.
Chosen Approach and Rational
After evaluating both approaches, we decided to proceed with Approach 2—optimizing the existing flow while enhancing the onboarding process with improved UX elements. This decision was driven by several factors:
Balancing Familiarity and Improvement
We kept the existing structure to reduce disruption and confusion, building on what users already knew while addressing key pain points.
Fast, Compliant, and Feasible
Improving rather than overhauling the flow allowed for faster implementation within deadlines, while updated CIP/KYC steps ensured regulatory compliance without adding friction.
Enhancing the User Experience
Progress indicators, clearer messaging, and smoother verification directly addressed user feedback—leading to better satisfaction and stronger activation rates.
Wireframing and Prototyping
Once the key approaches were defined, I began translating these ideas into wireframes to visualize the redesigned onboarding experience. The focus was on creating a more intuitive, guided flow that addressed the pain points uncovered during research, while ensuring the design remained compliant with PayPal’s regulatory requirements.
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Low-Fidelity Wireframes: I started with low-fidelity wireframes to outline the basic structure and navigation of the redesigned onboarding process. These wireframes helped establish a clear flow from account creation to card activation, incorporating features like the progress indicators and simplified messaging.
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User Flow Enhancements: The wireframes highlighted critical areas where users previously dropped off, allowing me to focus on improving those touchpoints. For example, I redesigned the card activation screen to provide more feedback and added progress updates during CIP/KYC verification steps.
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Iterations: I shared the initial wireframes with stakeholders and the development team to ensure technical feasibility. Feedback was incorporated into subsequent iterations, which helped address any concerns about user confusion and legal compliance.
Key Findings
"When I got to the part about linking the activated card, I wasn’t totally sure what that meant or what I was supposed to do next. I expected to see more information explaining what that step was."
Messaging Confusion
4 out 5 participants expressed confusion about the difference between "Activate Card" and "Link Activated Card." This confusion was likely due to the similar terminology and lack of clear differentiation between the two actions.
Fast, Compliant, and Feasible
3 out 5 participants expected to create an account before activating their card, indicating a mismatch between user expectations and the flow.
Enhancing the User Experience
3 out of 5 participants were unclear about the app's integration with PayPal, unsure whether they needed a separate prepaid account or if logging in with PayPal would suffice.
Iterations based on feedback
To address these issues, we implemented the following changes:
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Simplified Terminology: To reduce confusion between "Activate Card" and "Link Activated Card," we simplified the language and provided additional context in the form of help text.
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Flow Restructuring: We adjusted the flow to allow users to create their accounts first before activating their card, aligning with user expectations.
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Enhanced PayPal Messaging: We provided clearer instructions on how the prepaid card connects to a user's PayPal account and when to use "Log in with PayPal."
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Visual Cues: We introduced visual cues, such as icons or color-coding, to guide users through the onboarding process and make it more intuitive.
Additional Testing and Iterations: Based on the insights from the initial round of testing, we conducted additional user tests with a focus on the revised flow and the newly introduced visual cues. We found that these changes significantly improved user understanding and reduced confusion.
Outcome: Through multiple iterations and continuous user testing, we were able to create a more intuitive and user-friendly onboarding flow. Participants reported a clearer understanding of the process, reduced confusion, and increased satisfaction with the overall experience.