Buy Now, Pay Later (BNPL) has become a payment tender staple at the point of sale, continuing to gain popularity across all generational cohorts. Although this concept is not new, some argue that Buy Now, Pay Later is the modern-day layaway.
The most notable difference is the consumer’s ability to immediately take hold of goods or have the services rendered prior to completing payments in full. Shoppers yearn for the flexibility to pay the way they want to. Most of the BNPL providers offer split payment plans interest-free or without fees, as long as the customer meets the laid out scheduled payment plans.
According to a survey from LendingTree, “nearly 70% of buy now, pay later users admit to spending more than they would if they had to pay for everything upfront.” BNPL can help attract a new customer base and create a stronger relationship with your brand(s) by making your offerings more accessible to existing and prospective customers. Consumers are leaning towards making purchases using BNPL solutions, making it necessary for merchants to support this payment method across their in-store and online properties.