I think there is a good explanation for the lack of PayPal usage. From Paypal's own website - Up through July 1st, 2015, "
The Acceptable Use Policy currently prohibits use of PayPal for activities that violate applicable law or industry regulations regarding the sale of tobacco products or prescription drugs and devices. " This covered e-cigarette products as well.
From what is documented in their Policy Updates at
PayPal, "
merchants will be permitted to use PayPal for sales of non-cigarette tobacco products, e-cigarettes, and prescription drugs and devices only with PayPal’s pre-approval."
But this just took effect in July, so I personally wouldn't ban on online retailer who doesn't accept PayPal since this is a new change that has taken effect. I definitely see the risks of credit card usage, but I have many more options online (and always cheaper) than my B&M. Hopefully thru this year, we will see more online retailers signup because it is not only safer to use, but much easier (I don't need to find my d*mn wallet everytime I want to buy the next new shiny thing).
-peltz.