We ditched paypal because:

1. Their site is very slow which hurt conversions. People who may have simply paid using a regular credit card went down the PP funnel and got frustrated and simply left.

2. Retention for monthly subscribers was 10 to 20% lower than credit card subscribers.

3. Refund policy sucked. It would take several days for our customers to get their money back if we refunded them.

4. Tools to manage bulk recurring subscriptions sucked.

So glad we're free of them.