Buy.com is leveraging its relationship with the Google Checkout platform in its newest set of banner and web placement creatives.

The newest newsletter from the Buy.com affiliate program (managed through Commission Junction) includes the following banners…

The embedded link in the creatives take you to a landing page which explains the Google Checkout and Buy.com relationship…

“In an effort to provide our customers the broadest selection of checkout options, Buy.com has implemented Google’s new checkout service ‘Google Checkout’. The Google Checkout service assists customers in two distinct ways. First, it shows Google Checkout customers more relevant information in Google search results by displaying the Google Checkout badge on the sponsored links of merchants that offer Google Checkout. Second, it helps simplify the buying process.”

What follows is a graphical set of instructions on how to use Google Checkout from the consumer point of view.

Many argue that eBay’s PayPal is the undisputed champion in the consumer pay service platform, but I’ve argued in the comments here that PayPal is hampered by its close knit association with eBay and it’s inability to reach its customer base via email because of the severity of phishing scams.

Google Checkout stands to broaden the idea of an “online wallet” (though I wouldn’t use those terms because that idea is so tainted with history and baggage) with participating merchants. These co-branding campaigns, along with the placement of the Google Checkout feature on the front page of Google points towards an immenent Checkout/PayPal showdown.