Buy now pay later (BNPL) platforms helps users to first purchase the product or the item at the moment and pay for it as per their convenience. Certain duration is allotted to the user to pay the total amount. In some cases, the amount can be paid in installments as well. This method and such platforms have become highly popular over the period of time. However, even though the user is paying for the product later, the retailer receives the complete payment through the platform payment gateway immediately. Thus, even the retailers are also using this facility extensively. This is the key factor driving the global buy now pay later platforms market.
The BNPL platform is a user-friendly financing option. The customer finds these platforms an easy option to make instant payments without having to worry about the amount instantly. This is the major contributor to the growth in the global buy now pay later platforms market. In addition, the current market scenario is also helping in upgrading the business conversion rate due to this. Thus, not only the users but retailers and merchants are also adopting this technology on a wide scale. It is estimated that the BNPL platforms will provide lucrative market opportunities for the market players within the forecast period. The players are also investing in the research & development activities to improve their market presence and working on their new business strategies and policies to build a bigger customer base. This is another factor behind the rising demand in the buy now pay later platforms market. Moreover, increased usage of smartphones across the world is further uplifting the demands in the global buy now pay later platforms market.
The global buy now pay later platforms market is majorly segmented into type, end-use, enterprise size, and region. In terms of enterprise size, the global market is divided into the cosmetic sector, healthcare, consumer electronics, type, fashion & garment industry, and others. On the basis of end-use, the global market is segregated as small & medium enterprises (SME) and large enterprises. In terms of type, the global market is classified into interest-free, 6 months, 4 months interest-free, and so on.
Geographically, the global buy now pay later platforms market is led by North America with the highest market share across the globe. This is attributed to the increasing number of internet users and increased modes of online payment such as credit & debit cards, digital wallets, net banking, etc. on the purchase of goods and products. The region is further trailed by the Asia Pacific.
The key players leading the global buy now pay later platforms market include Afterpay, Sezzle, Klarna, Zip Pay, Affirm, Humm, Overlay, Latitude Financial Services, Paypal, Openpay, Splitit, Zippay, etc. Following its launch, Afterpay has collaborated with several commodity firms like ALLY shoes, Ray-Ban, NEU Nomads, KINFLYTE, STIO, and many more. The online and retail stores of these brands have integrated Afterpay service at the time of bill payment.